michael shraybman - cogniance - stanford - feb 8 2010
TRANSCRIPT
Software Outsourcingin Ukraine
European Entrepreneurship & Innovation Program
Michael Shraybman, CEO, Cogniance Inc.February 8, 2010
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“An orange and two lemons”Sunday Feb. 7 presidential election - does it matter?
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Facts & stats
• 78% Ukrainians• 18% Russians
Ethnicities
• 84% Orthodox Christian• 10% Catholic Christian• 2% Protestant
Religion
• Trade: USA, Germany, UK, Japan, China, Russia, Poland• EU & NATO cooperation agreements• No visa required for citizens of EU, US, Canada, Japan
InternationalRelations
• 98% literacy rate (top 10 rank worldwide)• 70% of adults have secondary or higher education
Education
603,600 km2 (largest contiguous country in Europe)Area
47 million (5th in Europe)Population
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Born in the Ukraine
Trotsky
BulgakovKorolev
DrinfeldGogol
Mechnikov
Meir Hoffmann
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900-1200
Condensed history timeline
4500 BC
Scythians,Greeks,Romans,
Byzantines
First humansettlements
600 BC -600 AD
Golden Age ofKievan Rus’
1200-1900
Turks,Mongols,
Poles, Austro-Hungarians,
Russians
WWI,WWII,USSR
Great Famine(Holodomor)
1930’s, 10M dead
1900-1990
Babiy Yar and othermass exterminations
WWII, 3M dead
1991
Independence(USSR collapses)
2004
DemocraticOrange
Revolution
2012
Ukraine hostsUEFA EURO
2012
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Notable technical achievements
First electronic computer in continentalEurope, 1950 (MESM)
World’s largest aircraft (Antonov-225) - 1988
DniproHES, 1930, largesthydroelectric station inEurope at the time
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Ukrainian SoftwareOutsourcing Sector
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Strong basis & support for outsourcing
world-class engineering
high talent availabilitycultural alignment with the West
manageable time differences
low turnover competitive
growing English & Internet penetrationUS and EU travel-friendly
motivated
Law: “Foundations of the Development of Ukrainian Information Society in 2007-2015”
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Ukraine leads CEE outsourcing
2008 SOFTWARE OUTSOURCING REVENUE BY COUNTRY, $ MLN
Source: Central & Eastern Europe IT Outsourcing Review 2008Booz Allen Hamilton
CEE share of global software engineering market: 15%Ukraine’s share: ~3%
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Fragmented and plentiful supply
NUMBER OF OUTSOURCING COMPANIES2008
NUMBER OF OUTSOURCING PROFESSIONALS2008
Ukraine has abundant supply of software engineering talent,with more than 16,000 new grads with Bachelors degree and14,000 new grads with Masters degree each year
Source: Central & Eastern Europe IT Outsourcing Review 2008
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Top clients of Ukrainian outsourcing
Company Overview
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Competent & cutting-edge
• Established in March 2008• Silicon Valley and Kiev, Ukraine• 75 employees and growing
Full-service software outsourcing partner for early-stage,venture-funded Web 2.0 & Mobile companies globally
• Cash-flow positive from Month 2• < 3% annual staff turnover• 13 venture-funded customers in
US, UK, Scandinavia, Germany,and Israel
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Covering end-to-end product lifecycle
• Full-service delivery partner• Ability to define, design, architect, build, and support the solution• Delivering projects faster, at better value and lower risk
Design Development Operations
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World-class leadership
Juha ChristensenChairman & Founder(Denmark)
• Time Magazine’s 25 most influential Europeans in technology• Founder of Symbian• VP of Mobile at Microsoft• President at Macromedia• Board member at Teleca, VirtualLogix, and an active VC
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Happy customers and happy VCs
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Customer successes
CloudmadeLondon, UK
• “Wikipedia” of maps. Provides developers with tools and APIs to makethe most out of maps in their web and mobile applications.
• Cogniance scaled Cloudmade team from 2 to 25 Designers, Engineers,QA, and Network Operators in less than 30 days.
• RESULT:• 20,000+ registered developers one year later• Selected by the White House for tracking Obama’s “Change” progress• Nominated for Mobile Premier Award at Mobile World Congress next
week
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Customer successes
Ad InfuseSan Francisco, CA
• Mobile advertisement insertion and routing platform for carriers,ad aggregators, publishers and mobile subscribers
• Cogniance provided complete UI design, Engineering, and QAteams
• RESULT: Ad Infuse was acquired by Velti in 2009 for 8X theinvested capital
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Thank you!
Michael ShraybmanCEO and Co-FounderCogniance Inc.www.cogniance.com
@mshraybman, @cogniance
www.facebook.com/mshraybman
www.linkedin.com/in/mshraybman