spain information and communication technologies sector · 2020-07-13 · spain is one of the most...
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SPAIN
Information and Communication
Technologies sector
I. ICT Sector in Spain
❖ Spain is one of the most important ICT markets by volume in Europe: €108,862Million.
❖ There are more than 34,000 ICT companies, including digital content, operating inSpain. The sector employs more than 496,000 workers.
❖ The gross added value at market prices represented the 4.3% of GDP in 2017.
❖ The flow of foreign investment in the ICT sector in Spain was €2,168 Million in 2017.
❖ Exports of ICT products grew again for the fifth consecutive year to stand at €14,775Million in 2017.
Source : ONTSI (National Observatory for Telecommunications and the Information Society ), 2018. Data 2017 (Last data available)
Spain ICT Sector Turnover, 2017
25.6%
32.8%
19.5%
18.7%
3.4%
Telecommunications
Information Technologies
Production
Digital Content
€108.86 Billion
Commerce
Overview
3
32.6%
21.4%
17.8%
6.5%
6.1%
7.2%
4.4%
2.3%
1.6%
USA
Europe*BRIC
Japan
Middle East & Africa
Asia Pacific**
LATAM***Canada South Korea
€ 3,434 Billion
*except Russia **except China, India, South Korea and Japan ***except Brazil
The World ICT market by region, 2017
Source: ONTSI, 2018. Data 2017 (Last data available) 4
❖ Digital Content: There are included publication of books, magazines and other
publication activities. Cinematographic, video and television programs. Sound recording
and music edition activities. Other information services, programming and broadcasting
activities, Video Games and Online Advertising.
❖ Telecommunication: Telecommunication services operators and companies dedicated
to the provision of specialized telecommunication services and applications.
❖ Commerce: Companies engaged in the wholesale of computers, peripheral equipment,
software, electronic and telecommunications equipment.
❖ Information Technologies: There are included software companies, programming, IT
resources management, consulting, data processing, hosting and repair and
maintenance services.
❖ Production: Companies that manufacture electronic components, printed circuits, as
well as computers, telecommunications equipment, consumer electronics and magnetic
and optical media.
Number of companies Workers Turnover (€ Million) Investment (€ Million)
Digital Content 9,785 105,760 21,236 3,072
Telecommunication 3,632 71,521 27,904 4,650
Commerce 3,0007 27,502 20,404 1,025
Production 932 15,190 3,648 498
Information Technologies 16,648 276,788 35,670 9,022
Overview by Segments
Digital Content
5
Spain Digital Content Turnover , 2017
25.9%
35.1%
22.7%
8%3.4%
3.1%1.8%
€21.24 Billion
Publication of books, magazines and other publication activities
Programming and broadcasting activities
Cinematographic, video and television programs
Online Advertising
Video GamesOther information services Sound recording and music edition activities
Data from Digital Content in 2017
Number of companies WorkersTurnover(€ Million)
Investment(€ Million)
Publication of books, magazines and other publication activities 3,182 33,786 5,497 1,795
Cinematographic, video and television programs 2,817 28,786 4,815 873
Sound recording and music edition activities 154 747 386 105
Other information services 2,440 19,332 669 93
Programming and broadcasting activities 1,192 23,109 7,448 206
Video Games 450* 5440* 713 ND
Online Advertising ND ND 1,708 ND
Source: ONTSI, 2018. Data 2017 (Last data available)
(*): White Paper of Spanish Videogame Development. DEV, 2017. Data 2016 (Last data available)
Source: White Paper of Spanish Videogame Development. DEV, 2018. Data 2017 (Last data available) 6
Videogame companies distribution Turnover by business model(% Turnover)
❖ The Spanish Videogame development
industry had a turnover of 713 million
euros in 2017
❖ There are 455 Videogame companies
in Spain and more than 6,300 workers in
the industry
Turnover by regions(% Global Turnover)
Offline Shopping
Online Shopping
F2P + Advertisement
F2P + in-Game Purchases
Others
Spain
Rest of Europe
Middle East & Africa
North America
LATAM
Asia Pacific
Digital Content. Video Games
Development for third parties
Sale of services
Sale of assets
Source: CNMC (Spanish Commission for Market and Competence), 2018.
Data 2017 (Last data available)
Turnover by Operator (€ Million)
Company Turnover
Movistar 14,884.43
Vodafone 5,591.45
Orange 5,427.79
Masmovil 1,303.12
Atresmedia 858,72
Mediaset España 814,96
Euskaltel 557,08
Rest 4,862.67
Total 34,300.22
Telecommunication. Operators
Main mobile operators
Movistar www.movistar.es
Vodafone www.vodafone.es
Orange www.orange.es
Masmovil www.masmovil.es
Mobile Virtual Network Enablers (Complete)
Brand Main Host Operator
Aire NetworksDIGI MobilLycamobileTeleCable
Movistar
Lowi Vodafone
EuskaltelIbercomIOSRSimyoTruphone
Orange
Mobile Virtual Network Enablers (Redistributors)
Brand Main Host Operator
PepePhone Movistar
Lebara, Hits Mobile, EroskiMóvil
Vodafone
BT, Carrefouronline, Día Móvil,LCR Telecom, Lemonvil,Moreminutes, Ocean’s,OpenCable, Procono, Quattre,República Móvil, Sarenet, VozTelecom, The TelecomBoutique, You Mobile
Orange
Source: CNMC, 2018. Data 2017 (Last data available) 7
43.4%
16.3%
15.8%
3.8%
2.5%2.4%
1.6%
14.2%
Rest
Vodafone
Orange
Masmovil
Atresmedia
Mediaset EspañaEuskaltel
Movistar
Commerce
8Source: ONTSI, 2018. Data 2017 (Last data available)
Commerce in 2017
Number of companies WorkersTurnover(€ Million)
Investment(€ Million)
3,0007 27,502 20,404 1,025
2,495 2,5022,662
2,809 2,884 2,940 3,007
0
500
1000
1500
2000
2500
3000
3500
2011 2012 2013 2014 2015 2016 2017
15,70514,12514,179
15,91317,694
19,55620,404
0
5000
10000
15000
20000
25000
2011 2012 2013 2014 2015 2016 2017
25,448
24,126
23,458
24,98625,193
26,557
27,502
21000
22000
23000
24000
25000
26000
27000
28000
2011 2012 2013 2014 2015 2016 2017
892
683 667760
971
1,354
1,025
0
200
400
600
800
1000
1200
1400
1600
2011 2012 2013 2014 2015 2016 2017
Number of companies
Workers
Turnover (€ Million)
Investment (€ Million)Evolution 2011 - 2017
Production
9
Production in 2017
Number of companies WorkersTurnover(€ Million)
Investment(€ Million)
932 15,190 3,648 498
Source: ONTSI, 2018. Data 2017 (Last data available)
865855
874
907
934 932 932
800
820
840
860
880
900
920
940
2011 2012 2013 2014 2015 2016 2017
3,966
2,433 2,378
2,941
3,367 3,4593,648
0
500
1000
1500
2000
2500
3000
3500
4000
4500
2011 2012 2013 2014 2015 2016 2017
17,722
15,41014,462 14,230 14,474 14,478
15,190
0
5000
10000
15000
20000
2011 2012 2013 2014 2015 2016 2017
Number of companies
Workers
Turnover (€ Million)
Investment (€ Million)Evolution 2011 - 2017
489 483
403
286
397
566
84.6
0
100
200
300
400
500
600
2011 2012 2013 2014 2015 2016 2017
Information Technologies
10
Information Technologies in 2017
Number of companies WorkersTurnover(€ Million)
Investment(€ Million)
16,648 276,788 35,670 9,022
Source: ONTSI, 2018. Data 2017 (Last data available)
12,617 12,409 13,03513,975
15,03215,899
16,648
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
2011 2012 2013 2014 2015 2016 2017
27,65726,825 26,89628,383
32,50535,178
35,670
0
5000
10000
15000
20000
25000
30000
35000
40000
2011 2012 2013 2014 2015 2016 2017
199,770197,926 198,232
215,393237,266
255,003276,788
0
50000
100000
150000
200000
250000
300000
2011 2012 2013 2014 2015 2016 2017
7,2017,624
6,8106,264
7,7828,363
9,022
0
2000
4000
6000
8000
10000
2011 2012 2013 2014 2015 2016 2017
Number of companies
Workers
Turnover (€ Million)
Investment (€ Million)Evolution 2011 - 2017
❖ Spanish software for air-traffic control is worldwide
renowned and used
❖ High-Tech and Defense Industry
❖ Telecommunications, Utilities, Energy, Banking…
▪ Spanish companies are present and recognized inmajor international markets…
▪ Spain is a leader in advanced technologies:
Main Players. Overview
11
Main Players. Other Spanish Companies
12
Leading ICT multinationals are already successfully located in Spain, taking advantage ofSpain’s benefits:
Software Vendors Hardware Vendors
Telecom equipment vendors
ICT Services and Consulting Companies
ICT Multinationals in Spain
Service Providers
13
The German company has been operating in Spain since 1895. The company currently hasa workforce of over 3,400 in Spain, with three factories (in Cornellá, Getafe and Rubí)whose products are exported to all corners of the world, its HQ in Tres Cantos, and salesoffices in the major cities.
Siemens is currently making a decisive contribution to the modernization of the high-speedrail network by installing cutting-edge safety and signaling systems. They have also helpedmake sustainable mobility a reality in cities like Madrid, with the first electric car chargingstation that uses the braking power of trains, and Barcelona, where modern signalingsystems have increased the efficiency of the metro lines.
Also, there has been a production and R&D center in Getafe since 1957 for portableradiology equipment and imaging systems that form part of other diagnostic equipment.
Foreign Investment. Success Stories
HP has a strong commitment with Spain since 1971, with presence in cities such asMadrid, Sant Cugat (Barcelona), Leon, Sevilla or Bilbao.
HP’s facilities in Sant Cugat (Barcelona), hosts one of the corporation’s most emblematicR&D Business Centers outside the US. Sant Cugat employs over 1,700 highly qualifiedprofessionals, with around 500 engineers working on R&D and innovation. Recently, thesefacilities have also become the worldwide headquarters of HP’s 3D printing business.
HP’s commitment with Spain and the R&D is also shown in other centers as LeonCompetence Center, stablished in 2005 and focused on the creation of advance softwaresolutions for the printing and the computing organizations. 14
Huawei launched its operations in Spain in 2001. Since then, they have been developing its
lines of business and establishing itself as a key organization in the Spanish ICT sector.
The company also has various joint innovation centers in Spain with Telefónica and
Vodafone. Huawei Spain is focused on providing customers with cutting-edge ICT solutions
and services. Their product portfolio includes wireless, fixed-line network and network core
solutions, data network technology, apps, software and terminals.
Huawei have created a workforce of over 1,000 employees, of which 85% are local. They
have a head office in Madrid, along with five further offices in Barcelona, Valencia, Seville, A
Coruña and Bilbao.
Foreign Investment. Success Stories
IBM was set up in Spain in 1926. Today the company coordinates the activities in Portugal,Greece and Israel. The Spanish subsidiaries have over 7,200 employees.
The IBM environment includes very relevant projects developed in Spain:
Centre of excellence in Barcelona to develop solutions for financial entities and the healthsector; INSA, an IBM branch, has set up two centres (Caceres and Salamanca) forsoftware developments to be applied worldwide; MareNostrum, supercomputer installedin the Barcelona Supercomputing Centre in collaboration with the University of Catalonia;Technology Expert Council (TEC), which integrates IBM’s best talents in Spain to enhancethe leadership of the company and develop its technical knowledge.
15
aDigital
The Spanish Association of Digital Economy, Adigital, integrates businesses and organizations interested in thedevelopment of the digital economy for promoting and defending their interests.
C/ Entença 218, Entlo - 08029 BARCELONATel: +34 93 240 40 70 http://www.adigital.org
AMETIC
AMETIC, the Association of Electronics, Information and Communications Technologies, Telecommunications and DigitalContent Companies, is a point of reference in a sector which is one of the most dynamic in the Spanish economy and ofunique importance for the development of the country. AMETIC is one of the largest and most representative businessorganizations in Spain, with over 3,000 members, comprising individual members and business groups, whose activitiesare related to the electronics, information technologies and telecommunications sector.
C/ Príncipe de Vergara 74, 4ª planta - 28006 MADRID Tel: +34 91 590 23 00http://www.ametic.es
Main Players. Associations
16
CONETIC
The Spanish Confederation of Information Technology, Communications and Electronics Companies is a collaborativeproject consisting of 14 Associations united in that same interest and actively working for the competitive improvement ofthe more than 1,200 companies represented, promoting the development of the individual competences of the more than55,000 professionals active in those companies, disseminate and facilitate the knowledge and application of technologiesin all sectors of the economy and society and thereby contribute to generate interest in ICT vocations and new talent forthe sector.
C/ Orense, 85 Edificio Lexington – 28020 MADRID
Tel: +34 91 567 84 54http://www.conetic.info
Red.es
Red.es is the public corporate entity attached to the State Secretariat for the Digital Advancement (SEAD) from theMinistry of Economy and Business. Their mission is developing programs to boost the digital economy, innovation,entrepreneurship, training for young people and professionals and support to SMEs by promoting the efficient andintensive use of Information and Communication Technologies (ICT). They also deploy technology implementationprograms in the public services of the Administration and work for the development of Intelligent Cities and Islands.
Plaza Manuel Gómez Moreno s/n - 28020 MadridTel: +34 91 212 76 20e-mail: [email protected]://www.red.es
Reports
▪ CNMC: Annual Report 2018
▪ ONTSI: Annual Report 2018
▪ Telefónica: Digital Society in Spain 2018
ONTSI
The National Observatory for Telecommunications and the Information Society is a body attached to the public corporateentity Red.es, the main objective of which is the monitoring and analysis of the Telecommunications and InformationSociety sector.
ONTSI prepares, gathers, synthesizes and systematizes indicators, prepares studies and offers informative and updatedservices relating to the Information Society and is currently the leading public Observatory of the Information Society inSpain. ONTSI is also a meeting and dialogue point between the Information and Communications Technology sector andthe different public administration bodies, for the definition of policies and the subsequent evaluation thereof.
Plaza Manuel Gómez Moreno s/n - 28020 MadridTel: +34 91 212 76 25e-mail: [email protected]://www.ontsi.red.es
Main Players. Government
17
Important Operations (2017)
18
US video game developer Take-Two buys Spanish company Social Point for €235 million.
Take-Two Interactive Software, owner of Rockstar Games or 2K, has announced the
acquisition of Spanish social Point, dedicated to the development of video games for mobile
devices, for an aggregate amount of $250 million (€232.5 million), it said in a statement.
El Economista, February 2017
Telefónica sells up to 40% of Telxius to KKR for €1,275 million.
Expansión, February 2017
The technology firm Epson has inaugurated the new headquarters of the subsidiary in SantCugat del Vallès. The Japanese multinational has ended 30 years of history in Cerdanyola tomove to a facility that welcomes a vision of the future that the firm has to transfer itstechnological know how to everyday life. It is a space of 3,000 sqm which has meant aninvestment of two million euros and where the hundred employees who up to date workedin Cerdanyola have been moved.
El periódico, February 2017
19
Hewlett Packard Enterprise has inaugurated in Las Rozas (Madrid) a new installation of
1,200 sqm. This center will accommodate all HPE technology solutions for the educational
community, its network of partners and startups.
El Economista, May 2017
The Japanese company Ricoh, specialized in printing and digital services to companies, has
acquired Techno Trends, a Spanish company specialized in solutions of telepresence and
visual communication by distance. The operation will serve the Japanese to expand digital
transformation services to companies.
La Vanguardia, July 2017
Chinese telecommunications giant Huawei has opened its new Center for Experiences and
Technological Demonstrations (CSIC) in Madrid, in which it aims to teach its customers the
added value of the technology it develops for telecom operators.
Cinco Días, May 2017
Important Operations (2017)
Other Operations
20
Main Venture Capital Operations Published in 2016
Company Private Capital Entity Sector Type of Operation
Maxi Mobility Spain (Cabify) Rakuten Internet Late Stage Venture Capital
Job&Talent Atomico, Kibo Ventures Internet Late Stage Venture
Xperience Consulting (Userzoom) Stepstone Group, TC Growth, TridentCapital
IT Services Late Stage Venture
HundredroomsSeaya Ventures, Bankinter Capital Riesgo, Inveready Technology
Internet Other early stage
4IQ (former Survela)Trident Cibersecurity, Adara Ventures, Telefónica Ventures
Internet Start up
Salupro Bonsai VC, Vitamina K Internet Start up
ABA English Kennet Partners, Nauta Capital VC Partners Internet Other early stage
iContainers Solutions Serena Capital, Kibo Ventures, Vitamina K Internet Other early stage
Sherpa Europe Alma Mundi Software Start up
OlapicFelix Capital, Unilever Ventures, FungCapital, Longworth Venture Partners
IT / Internet Other early stage
Source: Spanish Association of Capital, Growth and Investment. Report 2017.
II. Competitive Advantages in ICT sector
❖ In 2017, mobile lines reached the 52.5 million mark (112.9% penetration rate)
❖ There are over 145,000 stations all over the country for mobile telecommunications
❖ There are over 34 million internet users in Spain
❖ 86.7% of households are equipped with computers (desktop, laptop, netbook or tablet)
and 83.4% of households are connected to Internet
❖ 93.4% of people over 15 years old have a mobile phone (76.3% if smartphone)
❖ Spain has 14.7M gamers that play 5.8 hours/week in average
❖ 98.7% of the companies in Spain are connected to internet and 87.4% of companies use
some Open Source Software
❖ Spanish is the third most used language in the Web with over 515 million users, only
after English and Chinese Mandarin
❖ In May 2019 the registered .es domains reached 1,923,199
❖ E-commerce turnover in Spain in 2017 was €31,347 million
❖ Spain is the European country with the largest FTTH network and 3rd country in the
OECD
22
Spain in Numbers
23
Highways: Logistics Hubs and Road Infrastructures Ports: World Logistics Platforms
Airports: Business Infrastructure & Tourist Main Entrance
Urban Transport: Smart Cities
Railway: High Speed Networks
ICT and Telecommunication Networks
▪82 Science and Technology Parks throughout Spain
Infrastructure for Business Development
Source: FECYT, 2019
Network Infrastructure Plan – RedIRIS Network (Network for the Scientific Community)
24
Infrastructures
Source: RedIris, 2019
86.7% of households are equipped with computers (desktop, laptop, netbook or tablet):
Source: INE and ONTSI, 2018. Data 2017 (Last data available)
ICT in Spanish SMEs & Big Companies
0
20
40
60
80
100Computer
Internet Connection
Internet Connection &Web Page
Broadband (fixed ormobile)
Social Networks
Big Data Analysis
E-Commerces Sales
RFID
Total 10 - 49 employees 50 - 249 employees 250+ employees
25
ICT Household equipment in Spain
0
20
40
60
80
100Computer
Smart TV / FlatScreen TV
Tablet
DVD or Blu-RayPlayer
Video gameconsole
Home Cinema
2016 2017
Technology. Household & Business Penetration
Internet use in Spain by age rangePercentage of Internet users
Internet use in Spain by level of educationPercentage of Internet users
98 97.4 96.7
91.5
76.1
46.5
86
0
20
40
60
80
100
120
16 to 24 25 to 34 35 to 44 45 to 54 55 to 64 65 to 74 Totalpopulation
55.4
86.5
95.698 99.1
86
0
20
40
60
80
100
120
PrimaryEducation
SecondaryEducation,First Level
SecondaryEducation
Second Level
VocationalTraining,
Higher Level
TertiaryStudies
Total
26
Broadband. Use of Internet
Source: INE and ONTSI, 2018. Data 2017 (Last data available)
27
E-commerce
Source: INE and ONTSI, 2018 (Last data available)
❖ The spending in e-commerce in Spain in 2017 was €31,347 million. It means an
increase of 23.6% with respect to 2016.
❖ The number of new online shoppers have increased 4.7% in 2017, totaling 22.9 million
people.
10,91712,383 14,610
16,259
20,74525,354
31,347
0
10000
20000
30000
40000
2011 2012 2013 2014 2015 2016 2017
Spain e-Commerce Turnover, (€ Million) Online shoppers, 2011 - 2017
❖ Clothing, accessories and sporting goods are the goods and services most demanded
with 50.5%.
66.769.9
73.1 76.180.8
81.786,4
50.755.7 60.6 62.0
64.3 65.9
67,4
0
20
40
60
80
2011 2012 2013 2014 2015 2016 2017
Internet users / population 15 years old +
Online shoppers / Internet users
7,219 12,887 18,859 29,590 35,570 43,47671,158
85,309
298,600
507,874
805,327
108,2757
120,78321,247,978
1,458,371
1,614,149
1,696,5381,755,224
1,795,0371,838,066
1,890,0261,923,787
1,923,199
0
500.000
1.000.000
1.500.000
2.000.000
2.500.000
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: Red.es, 2019
In May 2019 the registered .es domains reached 1,923,199
28
Broadband. “.es” Domains
Encourage the deployment of ultra-fast networks
▪ At least 50% households 100 Mbps in 2020
✓ Promote an improved user experienceand promote appropriate serviceconditions
✓ Encourage the deployment of ultra-fastbroadband networks, optimizing the useof radio spectrum and improve theexperience for broadband users
More than 2.4 Billion Euros allocated by the government to fulfil theDigital Agenda, assuming the Digital Agenda for Europe in 2020.
It contains 106 lines of action structured around 6 main objectives:
Develop the digital economy
▪ 33% of SMEs make online purchases orsales
✓ Promoting the developmet of e-commerce✓ Promoting an innovative industry of
digital content✓ Increasing public-private partnerships
and identify and maximize theopportunities that are presented in thisnew scenario
Improve e-government and digital public services
▪ Increasing effectiveness and efficiency inpublic Administrations
✓ Bringing the Administration to citizens and businesses
✓ Increasing the levels of use of eGovernment
✓ Rationalize and optimize the use of ICT in public administration
Building confidence in the digital
▪ Establishment of capabilities formonitoring and diagnosis of digital trustpermanent
✓ Boost market confidence services✓ Strengthen existing capacities to
promote digital trust✓ Promote excellence in the organizations
on digital trust
Encourage R & D + i in the industries of the future
▪ Double the total annual public spending onresearch and ICT development, in 2020
▪ Leverage an equivalent increase in privatespending
✓ Increase the efficiency of publicinvestment in R & D in ICT
✓ Encouraging private investment in R & Din ICT
✓ Promote R & D in ICT in SMEs✓ Expand the Spanish participation in R &
D in ICT in the international arena
Supporting digital inclusion and ICT training new professionals
▪ Reduce to below 15% the percentage ofpopulation that has never used internet
✓ Promote inclusion and digital literacy✓ Adapt training systems for digital training
and ICT training new professionals
29
Government Support. Digital Agenda for Spain
R&D:
The Centre for Industrial Technological Development (CDTI) has got a widerange of grants and loans at competitive low interest rate for technologicalprojects.
The State Secretariat for Innovation in the Ministry of Science, Innovationand Universities also offers support with grants and loans for technologicalprojects developed by companies and public bodies.
ICEX - INVEST IN SPAIN has developed a program for supporting foreigncompanies up to €200,000 for investments with a high degree of R&D incompetitive tenders.
The National Innovation Company (ENISA) finances SMEs up to €1.5 millionwith participative loans at a very competitive interest rate and where no-guarantee is required.
The Public organization RED.ES promotes the IT activities of technologicalcompanies and start-ups financing investments in infrastructures,equipments and so on.
Spain has got many Institutions that promote incentives in different calls along the year
Government Support. R & D
30
31
❖ Labour costs in Spain are below the EU-28 average(Spain is 21.3€/hour and EU-28 is 26.3€/hour)
❖ Favourable fiscal system for foreign investors and R&Dactivities
❖ 40.9% of the population aged 25-34 have a tertiaryeducation
Talent at Competitive Cost
Global MBA ranking 2018
2018 School name Country
1Stanford Graduate School of
BusinessUS
2 Insead France
3 University of Pennsylvania: Wharton US
4 London Business School UK
5 Harvard Business School US
6 University of Chicago: Booth US
7 Columbia Business School US
8 Ceibs China
9 MIT: Sloan US
10University of California at Berkeley:
HaasUS
11 Iese Business School Spain
12 Northwestern University: Kellogg US
13 University of Cambridge: Judge UK
14 HKUST Business School China
15 Yale School of Management US
16 Dartmouth College: Tuck US
17 Cornell University: Johnson US
18National University of Singapore
Business School Singapore
19 Duke University: Fuqua US
20 Esade Business School Spain
Source: Financial Times 2018
43,641,7 41,7
37,3 36,834,5 34,1 33,7 33,4
29,8
27,3 26,8 26,3
21,3
16,915,9
14,3 13,4 12,8 12,2 11,4 11,39,2 9,2 9 8,5 8,2
6,14,9
0
5
10
15
20
25
30
35
40
45
50
Source: Destatis 2018 (Federal Statistical Office Germany)
Cost per hour Private Sector, 4Q 2017€/hour
Job CategoryExperience
(0-2 years)
Experience
(2-5 years)
Experience
(5-10 years)
Experience
(>10 years)
Country Manager 82 (20%) – 110 (40%) 105 (20%) – 146 (40%) 130 (20%) – 180 (40%) 142 (20%) – 200 (40%)
Chief Information Officer 82 (10% ) – 105 (20% ) 92 (10% ) – 115 (20% ) 130 (10% ) – 160 (20% ) -
IT Director 53 (10%) – 67 (20%) 58 (10%) – 78 (20%) 68 (10%) – 88 (20%) 78 (10%) – 98 (20%)
Chief Technology Officer 42 – 53 (10%) 54 – 68 (20%) 72 – 90 (20%) 92 – 130 (20%)
Chief Security Officer 52 – 55 (10%) 68 – 72 (10%) 88 – 90 (20%) -
Development Manager 40 – 55 (10%) 46 – 65 (10%) 57 – 73 (10%) 65 – 80 (10%)
SW Architect (Java, .NET, etc.) 37 – 47 (5%) 43 – 50 (5%) 55 – 60 (10%) 60 – 80 (10%)
Team Lead (SW Development) 33 – 45 (10%) 42 – 48 (10%) 47 – 53 (10%) 52 – 58 (10%)
IT Business Analyst 28 (5%) – 38 (10%) 32 (5%) – 43 (10%) 37 (5%) – 52 (10%) 43 (5%) – 60 (10%)
Business Intelligence Consultant 26 – 35 (10%) 31 – 42 (10%) 36 – 55 (10%) 42 – 60 (10%)
IT Security Consultant 25 – 34 30 – 40 35 – 48 43 – 57
Java/J2EE Developer 22– 27 (5%) 29 – 38 (5%) 36 – 46 (10%) 42 – 50 (10%)
.NET Developer 23 – 28 (5%) 30 – 36 (5%) 34 – 42 (10%) 39 – 45 (10%)
PHP Developer 23 – 27 (5%) 27 – 35 (5%) 33 – 40 (10%) 40 – 44 (10%)
ERP Consultant (SAP mainly) 25 – 35 (10%) 33 – 43 (10%) 38 – 50 (10%) 43 – 60 (10%)
Mobile Apps Developer 26 – 33 (5%) 31 – 40 (5%) 42 – 48 (10%) -
CRM Consultant 28 (5%) – 35 (10%) 32 (5%) – 42 (10%) 36 (5%) – 45 (10%) 42 (5%) – 54 (10%)
Network Engineer 25 – 30 26 – 32 28 – 37 31 – 42
System Administrator 21 – 31 25 – 36 31 – 42 35 – 48
IT Labor costs in Spain
Data: Thousand € (In brackets, variable salary)
Study for the cities of Barcelona, Bilbao, Madrid, Seville and Valencia
Source: Guide of the labor market in Spain. Hays, 2018 32
IT Labor Costs in Spain
Spanish is the third most used language in the Web with over 515 million speakers
around the world, only after English and Chinese
Internet Users by language
Percentage of Users Number or Users (millions)
950,3
92,1
109,5
118,6
134,1
168,7
169,1
219
337,9
804,6
1055,3
0 200 400 600 800 1000 1200
Other
German
Russian
Japanese
French
Indonesian/Malaysian
Portuguese
Arabic
Spanish
Chinese
English
22,80%
2,20%
2,60%
2,90%
3,20%
4,10%
4,10%
5,30%
8,10%
19,30%
25,40%
0,00%5,00%10,00%15,00%20,00%25,00%30,00%
Source: Internet World Stats, 2019. Data December 2017 (Last data available) 33
Spanish Language in Internet
34
❖ Spain is the 1st country in Europe in terms
of quality of life for ex-pats and 2nd-ranked
worldwide
❖ With large communities of many different
nationalities, Spain is known for its highly
cosmopolitan character. On average, 12.2%
of the Spanish residents are foreign-born,
a figure that rises to 16-17% in regions
like Catalonia or Madrid
❖ One of the largest number of International
Schools in Europe
❖ Outstanding & modern health system with
very high standards
❖ Favourable fiscal regime for expatriates
❖ Law enforcement: Assurance & stability in
business and social life
❖ Excellent climate, first-class gastronomy,
wide range of cultural and leisure activities
Quality of Life
Worldwide Cost of Living Ranking
Rank Rank Rank Rank
1 Singapore 11 Tokyo 21 Shanghai 30 London
2 Paris 11 Osaka 22 Milan 30 Muncih
2 Zurich 13 New York 23 Shenzhen 30 Rome
4 Hong Kong 14 Los Angeles 24 Auckland 34 Dusseldorf
5 Oslo 14 Melbourne 24 Wellington 34 Barcelona
6 Seoul 14 Reykjavik 26 Brisbane 34 Madrid
6 Geneva 17 Vienna 26 Minneapolis 37 Washington DC
8 Copenhagen 18 Helsinki 28 Amman 37 San Francisco
9 Tel Aviv 19 Frankfurt 28 Hamburg 37 Brussels
10 Sydney 19 Dublin 30 Adelaide 37 Stockholm
Source: The Economist Intelligence Unit, 2018
35
Business opportunities
Spain offers interesting opportunities in
✓ 3D Printing
✓ Big Data
✓ Cyber Security
✓ Digital Entertainment – Video Games
✓ e-Government
✓ e-Health
✓ e-Justice
✓ FinTech
✓ Internet of Things
✓ Nearshore Platforms
✓ Open Source Activities
✓ Smart Cities
✓ Smart Grids
✓ Social Media – Social Business
