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Cover photo by courtesy of www.orangedisc.cz

State SupportCrucial to ITDevelopment

Ministry of Informatics, e-mail: posta@micr.cz, www.micr.cz

The role of the Ministry of Informatics has been chieflylegislative in the recent period. The Ministry is the authorof almost a dozen laws and amendments, and almost onehundred articles that have influenced the laws of otherministries to the benefit of electronic communication (theRules of Administrative Procedure, tax and accountingregulations, the Act on Administrative Charges, the PenalCode, and the Public Procurement Act). In this way, it hasbeen able to eliminate the most serious legislativeobstacles to the liberalisation of the telecommunicationmarket and create the legal prerequisites for the furtherdevelopment of electronic communication.

A Number of New ProjectsHeightened interest of the state in the use of informationtechnologies has motivated the launching of a largenumber of projects in the last three years. A good exampleis the co-operation of the Ministry of Informatics and theCzech Social Security Administration, which has given riseto the expansion of the Public Administration Portal,namely the area that deals with transactions. The numberof its users has reached 43 417. A single software programenables organisations and enterprises to send the stateelectronic pension scheme records, applications for healthinsurance for their employees, tax returns, registrationforms of the self-employed, and data on the movement ofgoods within the European Union. In 2005, the Portalprocessed almost five million of these forms. The numberof people seeking information here is also on the rise. Theinformation section of the Portal was visited by more than220 000 individuals in March 2006 alone.

IT Thrives in the Czech RepublicAmendments to laws, l iberalisation of thetelecommunication market and state support to electroniccommunication are all factors impacting on both thedevelopment of the entire sector as well as on the interestof foreign enterprises in investing in the Czech Republic.With a volume of EUR 6.8 billion on its IT andcommunication technologies market, the Czech Republicsurpassed Ireland in 2005. The dynamic development ofthe market and the country’s advantageous geographiclocation have attracted several large foreign companies tothe Czech Republic in the last three years, including DHL,ACER Computer, SUN Microsystems, and TietoEnator ofFinland, creating several thousand new jobs.

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CZECH INFORMATION TECHNOLOGIESSupplement of:Czech Business and Trade 09-10/2006

C Z E C H I N F O R M A T I O N T E C H N O L O G I E S

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MK ČR E 6379This bi-monthly magazine is published by the Ministry of Industry and Trade of the CzechRepublic in cooperation with the Confederation of Industry of the Czech Republic sixtimes a year in English, German, French, Spanish, and Russian, as a supplement to theeconomic bi-monthly issued in English (Czech Business and Trade), German (Wirtschaftund Handel in der Tschechischen Republik), French (Industrie et commerce tchèques),Spanish (Empresas y negocios en la República Checa), and Russian (óe¯cÍafl Úop„o‚ÎflË Ôe‰ÔËÌËÏaÚeθcÚ‚o).Managing Editor: Jana VápeníkováEditor: Naďa VávrováGraphic Design: Helena Dvořáková, Miloslav BucvanAddress: PP Agency, s.r.o., Myslíkova 25110 00 Praha 1, Czech RepublicPhone: +420 221 406 623, 221 406 626Fax: +420 224 934 383E-mail: journal@ppagency.czwww.ppagency.czwww.mpo.cz/cbtDeadline: 31/07/2006Attitudes expressed by the authors of articles in this magazine are not necessarilyconsistent with the viewpoint of the Publisher.

PP Agency Company with the ISO 9001 certified quality management system for publishing services

CONTENTS:INTRODUCTION

3 State Support Crucial to IT Development

ANALYSIS4 Boom in Information Technologies6 Strategic Services in Information and Communication Technologies Experience Boom

LEGISLATION8 SPIS – Association for the Promotion of ICT Development8 Joint Support of Czech ICT Abroad

EDUCATION10 Unique Project to Raise IT Prestige11 Czech Students Enter the World of Research and Science under IBM’s Wings

ENTERPRISE12 Number One Czech Producer of Enterprise Information Systems

WE ARE INTRODUCING14 Gold Award for Czech Quality

CZECH TOP15 T-SOFT - Top Solutions for Tomorrow16 ANECT Hitting the Mark in IP Telephony Projects17 INTEGRATED DELIVERY CENTER – New Innovative Concept of Services

RESEARCH & DEVELOPMENT18 New History of Hewlett-Packard19 Czech Space Alliance under the Auspices of CzechTrade21 World Centre of Pacemaker Software Development in Prague

SURVEY22 Poll of Successful Firms Operating in the Information Technology Sector

INFORMATION26 Information Technology Trade Fairs and Exhibitions in the Czech Republic (2nd half of

2006)26 Important Contacts

PRESENTATION OF COMPANIES:2 CPE, spol. s r.o.25 AEC, spol. s r.o.27 GRISOFT, s.r.o. 28 T-SOFT spol. s r.o. ZONER software, s.r.o.; COMPUTER MCL Brno, spol. s r.o.; T-Systems PragoNet, a.s.; Atlas,spol. s r.o.; 3C, spol. s r.o.; Minerva Česká republika, a.s.

Boom in Information Technologies

Pavel Říha, Ministry of Industry and Trade, e-mail: rihapa@mpo.cz, www.mpo.cz

The development of IT production hasalways been dependent on foreigndi rect investment by companiestransferring new technologies to theCzech Republic, a country with anadvantageous geographical location,adequate infrastructure, and availablehuman resources. Fore ign d i rectinvestment into more than seventyelectrical engineering projects hastotalled EUR 2 430.7 million.

Computers account for more than 50 % of high-tech products exportedby the Czech Republic.

Development of ManufacturingCentresIn the years 2000 to 2006, a number ofgreenfield projects for the constructionof new centres for computermanufacture were carried out in theCzech Republic. Most of these projectswere those executed by Hon HaiPrecision Industry, First InternationalComputer, Celestica, and ASUSTeKCOMPUTER.

The Hon Hai Precision Industry group(known as FOXCONN), a recognisedglobal partner in the manufacture andprov i s ion of comprehens ive ITso lut ions , invested into theconstruction of a new computermanufacturing centre in the CzechRepubl ic . The main bus iness ofFOXCONN CZ Pardubice i s themanufacture of custom-madecomputers for companies of worldrenown. FOXCONN CZ co-operateswith its clients in the implementationof the la test technolog ies . Thecompany p lans to become themanufacturing centre of Europe,a supplier for the EMEA area, anda provider of comprehensive services.

First International Computer has builtits FIC CZ base at Rudná near Praguefor the manufacture of computersmade to order. This investment isrelated to an order made by Compaq,which dec ided to t ransfer i t sproduction from Great Britain to the

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Table 1: Foreign trade in products at current prices in 2000–2005

Total exports (million EUR)

2000 2001 2002 2003 2004 2005

CPA 30 553.6 1 154.8 2 430.7 2 731.2 3 305.1 4 088.6

Year-on-year index X 199.7 197.9 116.7 121.1 123.7

OEM supplier group at the beginningof 2001. FIC CZ has also opened itsEuropean trade representation atRudná near Prague.

The ASUSTeK COMPUTER group hasdecided to build a European centre forthe manufacture and servicing ofcustom-made computers for renownedinternational companies. The ASUS CZproduction site and repair centre wereopened in the spring of 2005.

Celestica is the world’s third largestelectronics manufacturing servicescompany. It provides manufacturingservices on a contractual basis tolead ing companies of g loba lsignificance. Celestica CZ Kladnospecialises in the manufacture ofservers, telecommunication systemsand payment point of sale terminals.

Foreign TradeThe export of computers manufacturedin the Czech Republic amounted toEUR 4 088.6 million in 2005. Officemachinery and computers accountedfor 6.7% of the Czech Republic’s goodsexports in 2005. The year-on-year05/04 index shows a rise of 23.7% inexports. Items with the greatest sharein 2005 exports include (HarmonisedSystem 8471 – customs tar i ff )"Automatic data processing machines,opt ica l readers , machines fortranscribing data, etc." with EUR 3431.9 million and (Harmonised System8473 – customs tariff) "Parts andaccessor ies of computers andautomatic data processing machines"with EUR 756.6 million.

The sharp growth in computer exports

Graph 1: Export destinations in 2005 : CPA 30

CPA = Classification of Products by Activity; Data as of 9 March 2006Source: Czech Statistical Office

Source: Czech Statistical Office, calculations of the Ministry of Industry and Trade

Netherlands 23%Others 19%

Germany 16%France 11%United Kingdom 7%

Italy 5%

Spain 4%

Slovakia 4%

USA 3%

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continued into the first quarter of 2006amounting to EUR 1 230.8 million. Theyear-on-year 06/05 index shows a riseof 65.5% in exports.

The main destinations for exports ofoffice machinery and computers (CPA30) in 2005 were the Netherlands,Germany, France, the United Kingdom,Italy, Spain, Slovakia, and the USA.

The competitive strength of CPA 30products in the period 2000-4/2004can be quantified by comparing theposition of economies in transition(CEFTA countries) on the EU market.Eurostat data show that computerexports from the Czech Republic to thecountries of the EU in the period 1 -4/2004 amounted to EUR 1 087.5million, i.e. 43.4% of total CEFTAexports.

Eurostat data show that computerexports from the Czech Republic to theinternal EU market in the period 5 -12/2004 amounted to EUR 1 551.7million, i.e. 33.3% of total exportsfrom the new members.

The Czech TOP 100 Association haspublished a survey of the 100 mostsignificant companies in the CzechRepublic in the year 2005. The top tenlargest exporters included FOXCONNCZ of Pardubice with exports of EUR767.2 million and FIC CZ of Rudná nearPrague with EUR 705.4 million.

Expansion of High-tech RepairCentresA FOXCONN CZ high-tech repair andservice centre has been opened inPardubice.Symbol Technologies is operatinga centre in Brno for high-tech repairand customer support and a centre forshared f inancial serv ices for thebranches of the Symbol Technologiesgroup. The centre serves branches andclients in twelve European countries.

ACER, an important manufacturer ofboth desktop and portable computers,opened a new Central European repaircentre and a client support centre inthe Černovické terasy complex in Brnoin July 2005 for technical support andmaintenance of ACER CZ computers.

GigaByte Technology is buildinga high-tech repair centre in theČernovické terasy complex in Brno, fornotebooks , graphic cards , andcomputer motherboards.

Technical Asset Management CZ plansto build a high-tech repair centre forcomputers in Brno to serve the wholeof Europe, as well as Central and EastAfrica (the EMEA area).

Williams Advanced Materials plans tobuild a repair centre in Louny that willprov ide h igh-tech serv ices wi tha special focus on semiconductors andmemory media.

Pilot Projects in StrategicServices A Framework Programme for Supportof the Establishment of TechnologicalCentres and Strategic Services Centreshas been announced. It is to benefitthe development of strategic services ininformat ion and communicat iontechnologies. Shared services centresand other s t rateg ic serv icesconvenient ly complement thetraditional production sectors and helpto restructure and diversify the Czecheconomy.

The first pilot project for a Centreof Strategic Services was the IBMGlobal Services Delivery Centre CZ. In

Apr i l 2006, IBM announced anexpansion of its activities in theCzech Republic and opened a newse r v i c e s cen t re , t he I n t eg ra tedDelivery Centre, in Brno. This centreis one of the largest investments intohigh value added strategic servicesand intellectual capital in the CzechRepublic. The new centre will provideservices in strategic outsourcing andremote IT management to hundredsof clients around the globe. The IBM IDC centre in Brno employs 1 500specialists.

The second pilot project in strategicservices was the Accenture ServicesCentre in Prague. The new centre ispart of Accenture’s Shared ServicesCentre in the Czech Republic, andbelongs to the Global Delivery CentreNetwork. It will primarily serve asa multi-language and multi-clientEuropean Centre of Accenture HRServices, offering large multi-nationalcompanies services in human resourcesmanagement.

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Table 2: Exports of CPA 30 products to EU countries from 2000 up till EU accession

(thousand ECU, EUR, %) 2000 2001 2002 2003 1 - 4/2004

From CEFTA (incl. CZ) 2 541 454 2 922 248 3 772 391 3 889 606 2 506 169

year-on year index X 115.0 129.1 103.1 103.7

From the CZ 248 489 843 351 1 770 481 1 795 304 1 087 492

year-on-year index X 339.4 209.9 101.4 85.7

Source: EUROSTAT

Table 3: Exports of CPA 30 products to the internal EU market from selected

groupings following accession to the EU

(thousand EUR) 5 – 12/2004

from the CZ 1 551 734

from the new members 4 663 282

from developed EU countries (15) 82 433 137

from OECD countries (excl. EU members) 24 011 472

Source: EUROSTAT

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Many new centres offering strategicservices in information and communicationtechnologies have opened in the CzechRepublic in the last few years.Multinational companies such as Hewlett-Packard and Sun Microsystems havelocated their centres here due to theavailability of qualified labour and theadvantageous geographical position.

Hewlett-Packard CZ, Rudná nearPragueThe management of Hewlett-Packardopened a Regional Centre for theorganisation of relations in themanufacture, installation, and distributionof computing equipment. The new centre,opened in the logistic complex at Rudnánear Prague in the second quarter of 2006manages the manufacture and distributionof products for printing and pictureprocessing, as well as the distribution ofpersonal computers in Europe, the MiddleEast, and Africa (the EMEA area). Thecharacter of the new centre is thus pan-European. Hewlett-Packard changes itsproduct series every six to twelve months.This part of the Hewlett-Packardcorporation is entirely independent of theCzech commercial representation. Themajority of Hewlett-Packard PCs and workstations for the entire EMEA area aremanufactured in the Czech Republic byexternal sub-suppliers. DHL Worldwide Express CZ, PragueAnother significant project is theestablishment of the DHL WorldwideExpress BV Centre of Shared Services inPrague to manage the ICT activities ofEuropean branches of the DHL group.ExxonMobil Business Support CentreCzechia, PragueExxonMobil Business Support CentreCzechia in Prague serves as an example ofa centre of shared services providingaccounting services in 16 languages tocompany branches in 23 countries ofEurope.SAP CZ, PragueIn September 2005, SAP opened anotherSAP Business Services Centre Europe in the

Avenir Business Park in Prague. The centreprovides HR and financial services, as wellas SAP administration in the EMEA area.TietoEnator CZ, OstravaTietoEnator is opening a new centre ofstrategic services in Ostrava. The centre willfocus on managing relations with clients, ontelecommunication systems, on managingthe quality of data in large customerdatabases of telecommunication andfinancial companies, as well as on systemintegration, custom-made IT solutions, andthe development of applications.Computer Associates International CZ,PragueRecent years have seen an unprecedentedboom on the market of strategic services ininformation and communicationtechnologies. In August 2005, ComputerAssociates International (CA) opened its firstglobal centre for software development, theMainframe Centre of Excellence, in The Parkcomplex in Prague, thereby considerablyexpanding its activities in the CzechRepublic. The new centre focuses on thedevelopment, maintenance, verification,and quality assurance of software formainframe computer platforms.Monster Technologies CZ, PragueMonster Technologies is an Internetcompany that operates job search portals.It will bring investment, jobs as well asknow-how to the Czech Republic. Itscentre is to engage software specialists forthe development and administration ofadvanced Internet applications. They are towork on both Microsoft and Delltechnologies.Sun Microsystems Czech, PragueIn mid-2005, Sun Microsystems decided tocarry out a major expansion of itsdevelopment activities in the CzechRepublic and to this end it openeda development centre in Prague. Thecentre will engage 400 qualified expertsfor the development of key softwaretechnologies. Sun Microsystems alsopartakes in educating new specialists atuniversities in the Czech Republic.LogicaCMG CZ, BrnoLogicaCMG is the world’s most important

supplier of messaging systems. In additionto a product centre, the company hasopened a branch in Brno that caters forclients in the EMEA area. The Brnoresearch and development centre employsover 100 specialists and manages suppliesto dozens of telecommunicationoperators.Red Hat CZ, BrnoRed Hat, a world renowned company,plans to establish a Centre for SoftwareDevelopment in the Czech Republic and toprovide related strategic IT services. TheRed Hat Czech Centre is to create morethan 200 highly qualified jobs.Interoute CZ, PragueInteroute opened a Centre of Support toEuropean Clients in Prague in March 2006.The centre is to provide custom solutions,sales management, custom networkoperation, and client support. Lufthansa GlobalTeleSales CZ, BrnoIn April 2006, Lufthansa air line openeda new call-centre in the Spielberk OfficeCentre Brno. GlobalTeleSales Brno is thenewest of the nine Lufthansa call-centres. GE Money Multiservis CZ, OstravaGE Money Multiservis opened a customerservices centre in Ostrava in April 2006. Schneider CZ, OlomoucSchneider Logistics Europe is buildinga Centre of Shared Services and a Centreof Client Support for the administration ofinvoices for end clients in Olomouc.ITONIS CZ, PragueITONIS CZ plans to open a centre forsoftware development and a design centrefocused on audiovisual content in Prague.

Strategic Services in Information andCommunication Technologies Experience Boom

Pavel Říha, Ministry of Industry and Trade, e-mail: rihapa@mpo.cz, www.mpo.cz

Investors of 2005Investors deemed the most important inthe Czech Republic in 2005 received the"INVESTOR OF THE YEAR 2005" awardfrom the hands of Czech ministers. SunMicrosystems Czech of Prague,T ietoEnator CZ of Ostrava, andComputer Associates CZ of Praguereceived the award for their investmentinto strategic services which has broughtthe greatest economic benefit.

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SPIS – Association for the Promotion of ICT Development

The Association for Information Society(SPIS) was founded in March 1998 asa professional organisation of enterprisesoperating in the information andcommunication technology (ICT) sector. Itschief objective is to create an informationsociety based on knowledge andinnovation. The Association advocates theimportance of modern informationtechnology as a fundamental tool forbuilding an efficient public administrationsystem, a prerequisite of the full integrationof the Czech Republic into Europeanstructures and essential for increasing thecompetitive strength of the Czecheconomy.

Focus in 2006The principal objective of SPIS in 2006 is thefull implementation of e-government, aswell as improving services for citizens andreducing the bureaucratic burden byemploying modern methods and

technologies. This involves monitoring andinfluencing the law-making process in thecase of laws related to the use of ICT,particularly in areas that impact on the livesof citizens, on enterprises, the state, andparticularly the public administration.

Another important task is the provision ofinformation to SPIS members in thepreparation of projects that potentially canand are financed from EU funds. SPIS is alsoinvolved in the introduction of internationalICT standards in the Czech Republic.

Co-operation with EICTA(www.eicta.org)In September 1998, SPIS became an activemember of the European ICT Association,which represents some 10 000 enterpriseswith over 2 million employees and revenuesexceeding EUR 1 000 billion. It acts as thevoice of the ICT industry in relation to theEuropean Union. The re-election of a SPISrepresentative to the EICTA Executive Board

in 2006 has facilitated SPIS participation inthe "Digital Europe for All" programme,and has opened the availability ofEICTA‘s wealth of knowledge well beyondthe SPIS membership. ■

Zdenka Indruchová, SPIS - Association for Information Society, e-mail: zdenka.indruchova@spis.cz, www.spis.cz

Joint Support of Czech ICT AbroadMichal Zálešák, Czech ICT Alliance, e-mail: info@czechict.cz, www.czechict.cz

SPIS Members:ACER, AKTIS, ANECT, AQUASOFT, ATCOMPUTERS, AUTOCONT, BGS LEVI,COMPAREX, CSC COMPUTERSCIENCES, DELOITTE, DISKUS,ED’SYSTEM CZECH, ERNST & YOUNG,EURO MEDIA, EUROTEL, FUJITSUSIEMENS COMPUTERS, GOPAS, GTSNOVERA, HEWLETT PACKARD, IBM,ICZ, KPMG, LCS INTERNATIONAL,LEXMARK Intl, LOGICACMG, MHMCOMPUTER, MICROSOFT, NOVELL,OLYMPUS, ORACLE, PVT, SIEMENSBUSINESS SERVICES, SOFTWARE602,SUN MICROSYSTEMS, TRIADA, T-SOFT,UNISYS, and VELETRHY BRNO

The Czech ICT Alliance, an official allianceof the Czech Trade Promotion Agency/CzechTrade (www.czechtrade.cz) of theMinistry of Industry and Trade, has a clearmission: The Czech information andcommunication technology sector (ICT) isstrong and competitive with goodeconomic prospects. As such, it must bepromoted abroad.

The Alliance does so through CzechTradeoffices abroad, through Czech embassies,the www.czechict.cz Internet portal, trademissions, lectures and through regulardialogue with international consulting andlaw firms (such as KPMG, Baker &McKenzie).

Trade Missions Organised by the Alliance The Alliance organises trade missions to

those countries identified by Alliancemembers as priority markets. The mostsuccessful missions include those to theUnited Kingdom, the Netherlands, Germany(especially the Czech ICT day at the CeBITfair, and Systems), Scandinavia, and Austria.Missions to Scandinavia, Switzerland, andthe Systems Fair in Germany are due to takeplace soon. Missions offer Czech businessesthe opportunity to meet potential clients andpartners (in the United Kingdom, forinstance, a match-making seminar wasorganised, participants outnumbering Czechfirms 50 to 10).

The Alliance is also frequently addressedby foreign partners seeking help with theirsearch for a suitable Czech counterpart.Early in June, Alliance officials mediatedmeetings with an OECD representative forthe purposes of preparing an official study

on the Czech Republic as an importantEuropean and world destination forsoftware development.

ICT Members Alliance membership is open to enterprisesof all sizes – from small companies with upto just 20 employees offering interestingproducts (such as DC concept, the onlyCzech firm to be included in the Top 100Vendors 2006 list of global suppliers of ITsolutions), to website developers (ETNETERA, iMagic), and large multinationalcompanies that operate worldwide (Ness).Alliance members also include enterpriseswith proven export success - CN ResourcesInternational was the first IT company torank among the most successful clients ofCzechTrade, overall in 6th place. The CzechICT Alliance has 25 members at present. ■

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The Czech information technologiesmarket has been experiencing a boom inrecent years. Many enterprises of worldrenown are investing or expanding theiroperations here and CzechInvest, theInvestment and Business DevelopmentAgency, is striving to create a platform forthe development of IT applications andfor the training of top professionals. Theplatform is the SoftInvest project,a unique idea that should secure theincreasing prestige of the Czech Republicin the sector of information technologiesfor many years to come and providegraduates with work experience in thebranch. Universit ies, professionalorganisations, and private enterprises willjointly support the establishment ofa development centre where graduateswill have the opportunity to work onspecific projects. As part of this co-operation, private enterprises will placeorders, professional organisations willcontribute new know-how, anduniversities will provide the personnel.

SoftInvest in TransformationSoftInvest is taking on a new form.Although the concept remainsunchanged, the project is becoming moreuniversal and new entities are joining in.A new technological platform is takingshape gradually, the chief focus of which

will be on embedded systems. These arespecial software solutions thedevelopment of which requires close linkswith hardware elements. At this moment,the first tasks are already becoming clear.The development centre shall concentrateits efforts on satellite navigation andcommunication with subsequentapplication in the automobile industry.Other tasks are related to themanagement of industrial processes andto applications for use in the medicineindustry.

IT Specialists Training CentreThe most important partners of thisdevelopment centre include, for example,Microsoft, and the Czech Space Office asa professional organisation. The centreshall "breed" several dozen IT specialistsevery year who are to work here ondifferent projects, increasing theirprofessional qualif ications. Theexperience of leading IT companies showsthat the costs of training one IT specialistare approximately equal to those ofacquiring a degree in management in anMBA programme. This is one of the manyreasons why private enterprises are alsoinclined to join the project. They arenaturally very interested in recruitingaccomplished professionals ready to takeon expert tasks independently and

immediately. The centre’s staff will thus berecruited from the ranks of freshuniversity graduates. Those graduateswho succeed in the difficult selectionprocedure can expect the costs of thispostgraduate education equivalent to becovered within the framework of theproject.

SoftInvest’s Contribution to the Development of OtherEnterprisesThe experience acquired through co-operating with large enterprises on thedesign of partial applications givesindividuals who pass through the centrethe unique possibility to open their ownbusiness. This is something that isreckoned with, and the business plans ofindividuals will be given support. The ITmarket seemingly appears to be in thehands of just a handful of players, but inreality, there are many opportunities outthere for small enterprises. Smallbusinesses can either collaborate, oroperate independently. Many softwaresolutions both for small and medium-sized enterprises as well as the publicsector are designed by smallmanufacturers. The SoftInvest project is tocontribute significantly to raising thenumber of these enterprises in the CzechRepublic in the future. ■

Unique Project to Raise IT Prestige

Jana Strejčková, Tomáš Grombíř, CzechInvest, e-mail: jana.strejckova@czechinvest.org, tomas.grombir@czechinvest.org, www.czechinvest.org

Deutsche Börse Group (DBG –Frankfurt Stock Exchange) is to open itsbranch, Deutsche Börse Services s.r.o., inPrague to support the development ofin-house applications within the DBGGroup and to take over tasks at presentdealt with by external IT serviceproviders. This step is to enhance the keyknow-how of DBG in this, a strategicallyimportant IT area. The new DeutscheBörse Services s.r.o. is to becomea 100% subsidiary of the DGB Group inthe Czech Republic. The company isexpecting to create 150 highly qualifiedjobs, and envisages further developmentin the future.

Czech Republic - the Best Choice"An economic comparison amongseveral Central European countriesclearly highlighted the Czech Republic asthe best choice for the location of ournew branch. The CR is able to offerhighly qualified IT specialists with a goodgrasp of English and German", says Dr.Michael Kuhn, Deutche Börse GroupCIO.

Another key factor besides the amplenumber of qualified specialists is theavailability of direct air flights toFrankfurt and Luxembourg, the locationsof the company’s other developmentcentres. The possibility of a flexible

transfer of experts between thesecentres therefore played a significant rolein the company’s decision.

Qualified Applicants WelcomeDeutsche Börse Services s.r.o. is currentlyaddressing qualified applicants for itsnew development centre, which is tolaunch operations in 2006. "Today,students of information technology canbe sure of finding a good placement inthe branch. University towns arebecoming the object of ever-growinginterest from similar companies.Technical education offers tremendousprospects today.

Prague to Develop Software for Frankfurt Stock Exchange

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Czech Students Enter the World of Researchand Science under IBM’s Wings

In May 2006, IBM Czech Republicrewarded the best research projectsdesigned by students of the CzechTechnical University in Prague (ČVUT). Theprojects originated in a competitionorganised for the students of the ČVUTFaculty of Electrical Engineering,Department of Computers.

Student Projects Programme This research projects programme wasa continuation of a similar programmeorganised in 2005. Students had theopportunity to choose one of thepublished themes for bachelor and end ofsemester papers. The topics wereconceived on the basis of concreterequirements and interests of the researchunits of the Department of Computers atthe ČVUT Faculty of Electrical Engineering,and of the Voice Technologies andSystems Department of the Czech IBMbranch. Cognitive technologies andmultimadal interfaces for computer tohuman interaction dominated theselection, although there were alsoa number of themes from other branches.Both teachers and IBM professionalshelped students with the definition,analysis, and elaboration of the themes.One of the objectives of the programmewas to teach students to solve complextasks, to document and present theirwork. Of the thirty projects entered for thecompetition, the best five went through tothe final round.

Winning ProjectsThe jury awarded the First Prize to theCityRider II project by Jaroslav Nosál andRadek Tykal. The Second Prize went totwo projects: Talking Head by LadislavKunc and Adéla Chrastinová and BlueCarof the trio Štěpán Kňákal, VladislavMalaník, and Tomáš Chytil. The Third Prizewas again shared by two projects – ZigBeeby Martin Veselý and iPod by LiborBanovský.

In addition to the five winning projects,the jury commended another four projectsfor their innovative approach. Prizes went

Vladimíra Králíková, IBM Czech Republic spol. s r.o., e-mail: vladimira_kralikova@cz.ibm.com, www.cz.ibm.com

to Cell processor (DSP) by Jan Kryl and PetrKurtin, Furby by Tomáš Dvořák, JaroslavMatoušek, and Miloslav Pavlíček,Identification of Gestures by Jan Ondřej,Ondřej Novák and František Ondřej, andAI Dialog by Oleg Kovařík, Josef Krupička,and Michal Svoboda.

The projects dealt with a broad range oftasks, from the implementation ofalgorithms for digital signal processing innew parallel architecture of the Cellprocessor to new user interfaces (theprojects Furby, AI Dialog, andIdentification of Gestures). All the winningprojects have been implemented and putinto operation. For instance, the BlueCarproject has resulted in the development ofa voice-controlled robotic platform withwireless connection via Bluetoothinterface. The ZigBee project developeda mechanism for controlling householdappliances such as lights and blindswithout the need for cables and withminimum energy consumption. iPod, onthe other hand, addresses the control ofMP3 players in automobiles. Talking Heademploys a three-dimensional model ofa head linked to a speech synthesiser sothat lip movement is made realistic. Thewinning project, CityRider I I , isa continuation of the 2005 projects. It

conducts a 3D simulation of a drivethrough landscape along a motorway. Itcan, for instance, simulate the additionalcognitive load when using a phone in thecar has on the driver.

Students Engaged by IBMThe authors of the best of 30 projects willbe given the opportunity to furtherdevelop them with IBM support. Besidesa financial reward, the prizes include thepossibility of part-time employment withIBM. The most talented individuals areoffered the opportunity to further theirscientific growth. IBM provides thesestudents with support in the form ofinternal scholarships. The opportunity toget better acquainted with the practicaloperation and issues of a technologicalcompany is expected to attract studentsand inspire some of them to pursue theircareer with the company. This has been soin the case of some of the 2005 winners.These students continue to work with IBMas part of the team and are given thepossibility to further develop theirscientific talent here, says Jan Šedivý,manager of the IBM research team forvoice technology and voice identification.

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Ceremonial launching of the Student Projects Programme

phot

o: IB

M a

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Number One Czech Producer of EnterpriseInformation Systems

LCS was established in 1990 as a small ITfirm of four. Nowadays it is the mostimportant Czech producer of EnterpriseResource Planning (ERP) applicationswithout any foreign capital involvementever. It is engaged in developing,implementing, and supporting specialisedinformation systems intended formanufacturing, services and trade – thesystems of LCS SIS, LCS Helios, and LCSNoris. Each of these systems issupplemented with a broad range ofservices and partner programmes. "Atpresent, LCS has almost 200 employees.Its 2005 turnover was EUR 7.2 million",says Petr Maňas, Foreign and StrategicDevelopment Director.

Can you draw a comparisonbetween Czech and foreignenterprise systems?Nowadays we live in a very globalisedworld, but still, information systems carrycertain features indicating their country oforigin. For example, German systemscome with more detailed and elaboratedocumentation than Czech ones, givingthe user concrete guidelines. What theylack, however, is technological innovationand flexibi l ity. MostCzech systems, on theother hand, aretechnologically moreinnovative; however, wehave greater problemswith their use, forinstance, in banking andauditing applications, asthese technologies areless standardised thanthey are in West Europe.

For four years now,LCS has rankedamong the mostrapidly growing ITcompanies inCentral Europe. Onwhich of the foreignmarkets is yourposition thestrongest?All indicators suggest thatSlovakia is our mostrapidly growing market.

Growth trends also look favourable inGermany – although it is necessary topoint out that a rapid growth is alwayseasier to achieve on markets where ourshare is small.

Which products are the mostsuccessful on foreign markets?We export information systems formedium-sized (LCS Helios) and large (LCSNoris) organisations, reserving LCS SIS,intended for small businesses, for the localCzech market. This is because of the factthat small companies as a rule do not forminternational networks and thus preferlocal applications.

In 2002 you opened branches inSlovakia and Germany. What wasbehind your decision to take thisstep?We had been operating in Slovakiathrough partners since 1993 and settingup a branch was a logical step in the

development of our activities. Thesignificance of locating a branch inGermany was quite different. At that time,the Czech Republic was not a EuropeanUnion member yet and it was far easier forus to operate in the old EU states asa German company than as a Czech one,which still holds good at present.

Are you planning to expand toother foreign markets?We are, and our strategic target is simple:we want to be able to satisfy all clientswithin the Germany-Greece-Estoniatriangle. We have gone furthest in Polandand Austria, but we do want to continuelet’s say in centric circles.

Naďa Vávrová

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Gold Award for Czech Quality

Unicorn, a provider of comprehensiveservices in the area of informationsystems (IS) and information andcommunication technology (ICT), hasbeen operating on the market for morethan 15 years. The company wasestablished in 1990 and at present

operates chiefly in the Czech Republic.Partners include IBM, Oracle, Siemens,Hewlett Packard, and BEA. Thecompany’s chief areas of interest areEurope and the USA.

Unicorn provides effective solutionsfor IS design and construction, IS

Otto Vitouš, Unicorn, e-mail: otto.vitous@unicorn.cz, www.unicorn.cz

more at: www.unicorn.cz

integrat ion, IS operat ion andmaintenance, consulting, training andeducation, software and hardware,standard solutions, the Internet andmultimedia, infrastructure and security,team-leasing, and ICT recruitment.Unicorn’s ICT product portfolio thusoffers an interesting synergy.

During the course of 2005, Unicorncarried out 78 projects for custom-made software, 42 team-leas ingprojects , 25 pro jects re lated toconsulting and 57 maintenance andsupport projects, as well as running 133training courses.

The Quality of Services andProducts Wins InternationalRecognitionUnicorn’s constant emphasis on thequality of services and products hasattracted international attention.

Vladimír Kovář, Unicorn ChiefExecutive Officer and Chairman of theBoard, was awarded the Gold Awardfor Quality and Business Results by theBus iness In i t iat ive Di rect ionsorganisation in New York in May 2006.

For 20 years now, Business InitiativeDirections has awarded this prize tocompanies with h igh qual i ty ofproducts and serv ices , f lawlesscollaboration with business partners,and to companies that introduce newtechnologies and procedures to themarket . The jury apprec iated inparticular the rapid growth in thecompany’s orders , which d isp laya recurring year-on-year rise of at least20%.

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T-SOFT is an IT company that focuses onthe development of systems for thehandling of emergency situations, forsecurity, and crisis management. Its mostvaluable knowledge and experienceinclude the capability to develop andimplement, with very short advance notice,crisis management systems with nation-wide scope. Crisis management is thecompany’s flagship product. T-SOFT offerscomplete solutions based on EmOff(Emergency Office) with the possibility ofmodelling and simulations, including themodelling of terrorist attacks. Systemintegration is another of our specialties.This includes the comprehensive supply ofhardware and software, expert servicesbased on Microsoft platforms, softwaretailored to meet the users’ needs,interoperability of systems, co-ordinationof suppliers and their development teamsas well as ensuring system security,complemented by consulting and training.Other services include the development ofsystems made to order and systemsolutions for securing data and processes.The interoperabil ity of differentinformation systems requires their effectiveinterconnection. T-SOFT provides solutionsto procedural interoperability, especially byemploying military and business standards.

International Research ProjectsIn addition to handling domestic business,T-SOFT also participates in internationalresearch projects partially financed by theEuropean Union with the involvement ofEuropean universities, research anddevelopment centres, and innovative firms.One such project was the MEDSI project ofthe IST (Information Society Technologies)6th framework programme in the area ofImproving Risk Management. The MEDSIobjective was to create an integratedcomplex of web services and instrumentsto improve the performance of crisisplanning and management in private andgovernment organisations. The highestpriorities were devoted to the mitigation ofthreats, the protection of criticalinfrastructure, and the handling ofemergency situations. In 2006, this projectwas successfully completed and tested; itssubsequent distribution is currently being

T-SOFT – Top Solutions for Tomorrow

Michal Vaněček, T-SOFT, e-mail: vanecek@tsoft.cz, www.tsoft.cz

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planned. Work on these projects involvesour cooperation with partners in 9European countries. Cooperation withpartners in the USA also dates back severalyears. Furthermore, we participate in theteaching of crisis management andmodelling at the NATO School inOberammergau, Germany. Ourinvolvement at the NATO School ismutually advantageous – we are the onlyCzech company to present Czech solutionsto NATO in this way, and on the otherhand we have the opportunity to verify the acceptability of these solutions withinNATO.

The Present and Future of CrisisManagementTo support the development of thisdiscipline, T-SOFT has been organising andhosting an annual international conference

since 1997 on The Present and Future ofCrisis Management. This conference isregularly attended by over 300 expertsfrom all over world. T-SOFT and otherorganisations regularly present their latestinnovations at the conference, innovationsin comprehensive support to crisismanagement, security, and modelling. Inthe last two years, the conference hasfeatured reports on the ongoing MEDSIproject and on experience made in thedifferent countries.

The latest innovation in security is theCryptoSafe data encryption programme,which is an original Czech solution toprotect computer data by encrypting itwith the use of smart cards. T-SOFT iscurrently in the process of selectingpartners for the distribution of thissoftware abroad.

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T-SOFT’s priority orientation is an area of systems focusing on security and crisis management

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ANECT a.s. is a supplier of professionalsolutions in information andcommunication technologies. Throughoutits existence, is has focused on supplyingcomprehensive communication systemsand on constructing multi-protocolcomputer networks for medium-sized andlarge enterprises.

ANECT is a partner to leading globalfirms (such as Cisco Systems, Czech Point,Microsoft, Oracle, Symantec, and SunMicrosystems) operating in informationtechnologies and computer networks. Thecompany owes its prominent positionamong IT firms to having been awardedthe highest possible certification by keypartners.

ANECT is currently expanding to Slovakiain particular. The ANECT s.r.o. subsidiarywas established in Slovakia in 1997 inorder to better satisfy the requirements oflocal clients. In 2000, it was transformedinto a joint-stock company and is nowbased in Bratislava.

The latest most significant innovation incommunication technologies is theintegration of voice services into datanetworks, (VoIP), and the new MPLS(Multiprotocol Label Switching)technology for the switching of packets incommunication networks. We havesuccessfully implemented both of thesetechnologies in several important projectsand have done so far ahead of our rivals.

ANECT is a holder of the highest partnercertification, Gold Certified Partner CiscoSystems, which it was awarded in 1998.The standard of partners and thecertification level are re-evaluated by anindependent audit each year. Gold Partnercertification guarantees the holderconforms to the high requirements ofCisco Systems on the quality of suppliedsolutions and services, on the number ofcertified professionals, and on facilities.The Slovakia-based ANECT was recentlyawarded the "IPC Partner of the Year2005" title at the Cisco Expo 2006conference for its significant projects in IPTelephony.

Entrepreneur of the YearCompetitionThe Principality of Monaco is the annual

venue of the crowning ofthe World Entrepreneur ofthe Year selected by anindependent jury comprisedof business and academicrepresentatives. The criteriaare strict. Trade results,performance, and thequality of companies arecompared in accordancewith international rules thatguarantee internationalcomparability. Competitorsinclude entrepreneurs fromall branches and areas ofcommercial activity. Thenine members of the jurywho elected the WorldEntrepreneur in 2006included Miroslav Řihák,ANECT Director and holder of theEntrepreneur of the Year 2004 andPersonality of Czech Informatics andTelecommunications of the Year 2005titles.

What is the forte of yourbusiness?I have had the opportunity to sample workin several sectors, from moderncommunication technologies to electricalengineering and health care services.Although the environment differs, therules and principles are similar. Productsand services are purchased by people. Thetask is to understand their needs and tofind ways of best satisfying them.

The basic principle applicable to allsectors is honesty. I do not mean honestymerely in the sense that you must nevercheat your customer, that you must treatyour suppliers and your rivals in a correctmanner. You must also be honest withyourself; you must have a preciseunderstanding of your position and abilityto judge your potential. Neveroverestimate yourself. And this I believeare skills we have mastered!

How can success be achieved inthe face of the presentcompetition?A trade model can be copied, however, ifnot adapted to a particular situation its

success in a certain time and place caneasily be followed by failure in anothertime and place. One must look around,link thoughts and ideas, see what couldbe improved and done otherwise.Perseverance is most important. Successmay not come immediately, taking sometime to materialise.

Why should it be more difficult toachieve success in the face of presentcompetition? There are two sides to everycoin. Stronger competition logically leadsto better awareness of products, trademodels etc. The sources of inspiration areunprecedented.

Is there any personal experienceyou made as member of the jury?I constantly rack my brains aboutimproving the organisation of myenterprises. This is a continuous process.In Monaco, I had the opportunity to peekunder the l id of the very bestentrepreneurs, which did not leave meindifferent. All of a sudden, in my mind,I began to see the links between ideas thatI had not been aware of until then. Theideas were so many in fact that I did notmanage to make a note of them all. Notall of them can be applied in practicethough. When I think them over againI find that one thing or another hasa snag. In any case, I brought back heapsof inspiration. ■

ANECT Hitting the Mark in IP Telephony Projects

Šárka Beránková, ANECT a.s., e-mail: sarka.berankova@anect.com, www.anect.com

ANECT is the holder of awards for important projects in the areaof IP Telephony

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INTEGRATED DELIVERY CENTER – New Innovative Concept of Services

The newly opened IBM centre in Brno,the Integrated Delivery Center (IDC),provides service to clients located all overthe world. The IDC Brno concept is builton a unique trade model. The centreprovides what is probably the broadestportfol io of serv ices in strategicoutsourcing and remote IT managementto customers worldwide. IBM has manymore centres of this type around theglobe, and although based in differentcountries and on different continentsthey have one thing in common –integration.

Guarantee of Unique TradeModelThere are many companies that operateon an international scale.What many of them lack,however, is integrity, i.e.one s ingle way ofproviding serv ices,irrespective of the locationof the seat of the branch.Clients with internationalrepresentation can thusrest assured that they willbe provided the samestandard of serv icesthroughout the world.Naturally, the final solutionis accommodated toa specif ic marketconditions; however, theprocedure should becommon to all. The Brnocentre streaml inescompany procedures,which helps our clients tofocus on their corebusiness and thus ensuresbetter competitiveness,and at the same timefacilitates adaptation tothe changing businessenvironment. "The Brnocentre offers our globalclients top-quality capacityfor outsourcing, allowingthem to focus on the core

area of their business, to reduceexpenditure considerably, and to deploythe latest technology to supportgrowth“, says Aleš Bartůněk, GeneralManager of IBM Czech Republic.

Operating 24 Hours Every Day of the YearIDC Brno provides its services to clientsnon-stop, 24/7. Due to complexity ofservices that IDC outsources, employeesof the centre range from fresh graduatesto experienced administrators andexperts in the given field. Since thecentre operates irrespective of stateborders, its staff must include talentedindividuals with a good grasp of foreignlanguages. Today, the centre employs

more than 1 400 employees who speakin total over twenty languages. Thecommon IBM language, however,remains English. The basic prerequisitesfor working in IDC Brno includeknowledge of English and the abilitiesrelating to information technologies,possibly experience in the sector. IBMalso co-operates with local universitiesand communicates intensively withstudents as potent ia l employees.Because even though competit iveadvantages depend on finding newapproaches and improving processes, itall comes down to human skills, thatcreate and define the best technologies.

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Vladimíra Králíková, IBM Czech Republic spol. s r.o., e-mail: vladimira_kralikova@cz.ibm.com, www.cz.ibm.com

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New History of Hewlett-Packard

Hewlett-Packard (HP) is establishing itsregional centre for Europe, the MiddleEast, and Africa (EMEA) in the CzechRepublic to manage relations in theproduction and distribution of printers,cameras, and personal computers. Thecentre was officially opened at theLogistic Park in Rudná near Prague inMay 2006. The investment amounted toapproximately EUR 9.2 million, creating200 highly qualified jobs in engineering,production management, logistics,purchasing and sale planning.

The centre co-operates with Czechtechnical universities and universities ofeconomics, g iv ing students theopportunity to apply for internships atHP both in the Czech Republic andabroad.

Why have you chosen the CzechRepublic and Prague? What arethe key benefits this regionoffers you?Primarily, it was the availability ofeducated employees (able to supervisepartners in a complex and large-scalecompany work environment and tomanage processes in our supply chainwhich stretches across several countriesand organisations) in a broad range offunctions and levels of responsibility(business development for EMEA,management of production in EMEA andAsia, etc.), the reasonable costs, andgood quality of the university network.Government support through funds(managed by CzechInvest) was a keyelement that kept the Czech Republic atthe forefront of our interest. Last but notleast, it was the proximity of tradepartners with whom we co-operate atthe EMEA level, and the appeal of thelocation to a global market player.

Why did you choose theoutskirts of Prague, the LogisticPark in Rudná?Our location on the outskirts of Praguemakes it possible to engage qualifiedlabour whilst avoiding the high costs ofthe c i ty centre. I t offers stronggovernment incent ives and theposs ib i l i ty of further expansion.Moreover, the Logistic Park in Rudnácombines the above-mentionedadvantages with the proximity of the

airport and the convenience of a metrostation nearby.

What are your plans for thefuture?The offices of this centre are very welllocated and will allow our furtherdevelopment. HP is clearly the numberone in the EMEA region in all three ofthe company groups (Personal Systems,Imaging & Printing, and TechnologySolutions) and the company continues tofurther develop. Prague is an importantpoint for two of the three groups.

How long will HP stay in theCzech Republic? Is it consideringa transfer of its activities furthereast?We are establishing key and complex

activities in this country. Our investmentrequires a long-term approach; themajority of it is directed at job creation.Finding and training new teams is justthe tip of the iceberg. Labour in theCzech Republic is relatively young andour complex company environment isvery challenging (for instance, themanaging of international projects fromPrague, and the supervision of trainedsuppliers across several continents andorganisations). Building experience iscrucial to us and will take a great deal oftime.

Karel Taschner

More at www.hp.com

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Czech Space Alliance under the Auspices of CzechTrade

Petr Bareš, Managing Director, Iguassu Software Systems a.s., e-mail: petr@iguassu.eu

CzechTrade, the export promotion agencyof the Czech Ministry of Industry andTrade (MIT), encourages groups ofcompanies from various industry sectorsto form export alliances. Members ofsuch al l iances complement eachother’s range of skills and join forces andresources in common marketing activities.Among further advantages, alliancesallow small companies to presentthemselves at international events as partof a larger, more significant, entity. Beingunder the auspices of the Czech MITfurther enhances their image.

The latest addition to the growingnumber of CzechTrade export alliances isthe Czech Space All iance (CSA),established in 2006. Iguassu SoftwareSystems (www.iguassu.cz), one of the

charter members of the already veryactive ICT alliance, is the leader of thenew space alliance and specialises in thedesign and development of hightechnology solutions, from aerospaceapplications to embedded control systemsfor automotive industry. The otherfounding members of the CSA are theCzech Space Research Centre (CSRC)(www.csrc.cz) and BBT Materials(http://bbt.mysteria.cz). CSRC is an expertin design and development of highreliability electronics and a supplier ofEuropean space industry. BBT Materials’skills in the development of advancedmaterials and crystals have even landedtheir equipment on board the RussianMIR space station. Most recent addition isTL elektronic (www.tl-elektronic.com),

specialising in aerospaceinstruments and equipment.

Within the CSA, IguassuSoftware Systems representsthe IT sector. Its success inspace projects is proof of thehigh skill of Czech softwareengineers and demonstratesthat even small Czechcompanies can win access toprestigious internationalspace projects. This isparticularly admirable giventhe fact that over the last 15years there has been verylittle scope to gain anyexperience in this sector.

Promotion of SpaceOpportunities at HomeIguassu strives to use theposition it has built up notonly for its own goals, butalso to encourage otherCzech small and mediumenterprises (SMEs) which maybe intimidated by what mightlook like "rocket science" butmuch of which is simplyindustr ial technologydevelopment, albeit of veryhigh quality standards. As

a member of the Czech Board for SpaceActivities, an advisory body to the CzechGovernment on space-related matters,and in co-operation with CzechTrade,Iguassu will lead the CSA to contribute toorganising events and providing practicalinformation for the broadest spectrum ofCzech companies. These need to becomeaware of the opportunities that may existfor them in the space industry, which theymight not instinctively consider. Theseopportunit ies have augmentedsignificantly since the Czech Republicjoined the European Space Agency’s (ESA)"Plan for European Co-operating States"(PECS).

Promotion of Czech Space Know-how AbroadCzech space skills are being presented byIguassu for some years, from as far as Riode Janeiro, at the annual InternationalAstronautical Congress, to as near asPrague, in a keynote speech at theinternational conference about ITtechnologies in space DASIA 2003.Iguassu was invited to inaugurate thelatter by the Canadian Space Agency andthe association of European spaceindustry, Eurospace, following a previousvis it to the Canadian agencyheadquarters and a presentation of Czechspace achievements by Iguassu. Here itshould be noted that the Canadian SpaceAgency being an associate member ofESA, underlines the fact that ESA is notan organ of, or formally linked to, theEuropean Union.

Iguassu also participated in the recentofficial mission by President V. Klaus toIndia, where it made a presentation aboutCzech space experience, interests andplans on behalf of the Czech Space Officeand Czechinvest, to the director of theinternational relations of the Indian SpaceResearch Agency and his senior colleagues.

Where has Czech Softwarealready Contributed to SpaceProjects? The CSA charter members started

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gathering experiencewell before Czechentry into ESA. Duringthe negotiations withthe Czech Republic,ESA commissioneda review of Czechtechnological readinessfor the exigencies ofspace projects. Thisreview, conducted bythe French NODALConsultants, assessedthe general level ofskills in this country asvery high. The finalreport highlighted twoprojects as bestexamples of verysuccessful contributionto international spaceprojects. One was MSGTest Tools from IguassuSoftware Systems, theother Demetrius fromanother CSA chartermember, CSRC. MSGTest Tools was a fixedprice development ofa test environment tocheck out the multi-million USD groundcontrol system for Eumetsat’s MeteosatSecond Generation (MSG) satellite, whichwas being developed in parallel in the UK.This project, carried in Iguassu’s office inPrague, was on critical path of the MSGproject and was delivered on time, tobudget, and the required high qualitystandards.

When the Czech Republic joined ESAPECS programme, Iguassu Software wasthe most successful industry participant,though overall PECS budget limitationsmeant that it could finally be awarded"only" two of the approved projects inthe initial phase. One of these was todesign software for new technologies insatellite navigation for SISNeT (Signal inSpace through Internet) EGNOS(European Geostationary NavigationOverlay System), the first European steptowards GALILEO. The other projectinvestigates the application of GRIDtechnologies to processing high volumesof satellite remote sensing data, and thenport identified processes to GRID. Thefirst project has already been completedto full satisfaction of ESA and the CzechSpace Office. The high level ofsatisfaction with the quality and cost-effectiveness of this Czech software ledESA to propose and CSO to approve

a substantially larger second phase to thisdevelopment, which wil l includedevelopment of SISNeT navigation serverand other real-time elements of thenavigation system.

Whilst the GRID PECS projectprogresses wel l in ESA’s ESRINestablishment near Rome, another spaceproject has been added to the portfolio.Iguassu is a member of a Europeanconsortium, lead by Spanish INDRA, andincluding Thales, Cap-Gemini, AlcatelSpace, CNES, and others. Thisconsortium has won the bid to theGali leo Joint Undertaking for theGALILEO search & rescue system. ThusIguassu currently has staff co-located ininternational teams in Spain and Italy.Past projects have been carried out onsites in the UK, Germany, Austria, theUSA, and even as far as Argentina.

Iguassu not only provides IT services butalso offers marketing support toEuropean companies aiming at the LatinAmerican aerospace IT market. This isbased on successful track record of anIguassu consultant, including the win forthe British company Anite Systems ofa 2.4 million USD satellite data station forthe Argentine Space Agency CONAE(Comisión Nacional de ActividadesEspaciales).

Concluding RemarksThe last few years have demonstratedthat despite the toll of the transition fromthe past economical system, the standardof Czech software knowledge and skillcompares very well to that of all highlydeveloped economies, even in one of themost technologically demanding areas –the space industry. CzechTrade, with itsnumerous offices around the world,provides important and effective help tomake broader international audiencesaware of this know-how. It alsocontinuously contributes to the excellentrelationship between the internationalagency ESA and the Czech Republic. Thisincludes the visit of the deputy minister ofindustry and trade Mr Martin Tlapa toESTEC, ESA research and technologycentre in the Netherlands.

The Czech Space Alliance will work withCzechTrade, the non-profit companyCzech Space Office, CzechInvest andothers, not only to advance their businessgoals, but also to contribute to thereputation of the Czech Republic asa valued partner in high-tech projects andprogrammes.

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The XMM satellite of the European Space Agency is the most powerful exploration device for astronomers

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World Centre of Pacemaker SoftwareDevelopment in Prague

The inventions of the Department ofCybernetics at the Czech TechnicalUniversity in Prague (ČVUT) resemble thesubject matter of sci-fi novels. Theyinclude robotic scouts capable ofcommunicating with one another,submarine engines that report faultsa week ahead so that repairs preventfaults from ever occurring, or pacemakerswith self-diagnosis. The ideas of theCybernetics Department are purchased bycompanies such as Bosch, Toyota,Rockwell, Honeywell, Boeing, and Denso,as well as by the US Army. The Departmenthas 120 researchers and graduants, andeight teams where the average age is 32.The results they produce are comparableinternationally and some findings are infact unique. One of the first founders ofthe Department was Vladimír Mařík, nowDepartment head. In addition, he alsoheads the Rockwell Automation researchcentre in Prague, which has some 50researchers.

Unique DiscoveriesWhen asked to say whichinventions of his team hetakes the greatest pride in,Professor Mařík first mentionsthe system "for predictivediagnosis of asynchronousmotors". He readily explainsto the layman that the motorhas a small case able toidentify basic faultsimmediately, or up to a weekin advance. It informs uswhether the rotor bar iscracking or whether theinsulation is burning off. Thisis crucial to know in advancein the chemical industry, forinstance, where an ecologicaldisaster can thus beprevented, or on boardsubmarines that surface onceevery three months.

The second most significantinvention addresses themanner in which software istested for vitally importantapplications. This technologycaptured the attention of

Vitatron Medical, a Dutch manufacturerthat dominates half of theworld’s pacemaker market. "Over the lastfive years, the company has transferredthe entire testing of its pacemakers toPrague. Testing is conducted in twoprivate companies outside ČVUT, we arepurely in charge of technical quality. Inaddition to this, Vitatron Medical hastransferred its chip development here. Wehave designed an expert diagnosingsystem for the company that makes itpossible for a doctor to check the state ofthe pacemaker and the patient withoutever extracting the device. Up to now, thedoctor could only make an estimate ofthis," Professor Mařík explains. In just fiveyears, the Czech Republic has thusbecome a world centre of pacemakersoftware development.

Technical innovations that have resultedfrom the Department’s research includea system of wheel centring for Bosch, andcameras able to distinguish faces,designed for Samsung. Work is in progress

on a system that would guide firemeninside burning buildings, and on a systemof co-ordination of up to six robots.

The findings of the Department ofCybernetics include a device commendedby the European Commission with theprestigious 2006 European InformationSociety Technologies Prize, a device mostwelcomed by handicapped people inparticular. Instead of using a mouse, thedevice allows the cursor to be movedacross the computer screen by mere eyemovement. "This is a wonderful solutiondevised by our graduants. It involvesa cleverly situated camera that recordsprecisely what the eye is doing", ProfessorMařík says.

For more information:Vladimír Mařík, Czech TechnicalUniversity in Prague, Department of Cyberneticse-mail: marik@fel.cvut.cz, www.cvut.cz

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Software602 a.s.

Hornokrčská 15, 140 21 Prague 4, phone: +420 222 011 602, fax: +420 222 011 218, e-mail: info@602.cz,www.software602.cz

Turnover: CZK 120 million – approx. EUR 4 millionNumber of employees: approx. 60Contact: Mr Pavel Nemrava, e-mail: obchodni.reditel@602.czExports: Within the EU: Slovakia (Subsidiary)Outside the EU: subsidiary in the USA – USA/Canada and all English-speaking countries

Software602 a.s. has been operating on the market as a traditionalCzech supplier of software since 1991. The company motto is toprovide high quality at a reasonable price.

Software602 a.s. operates a subsidiary in the USA.Through its founding your products have penetratedmarkets in over 80 countries worldwide. Which

products are in greatest demand on these particularmarkets?First and foremost, it is the 602LAN SUITE, a communication server forsmall and medium-sized enterprises (electronic mail, Internet sharingwith integrated protection) and the 602Print2PDF – which offers theautomated conversion of MS Office documents into the PDF format atstations or servers.

Can you mention any recent achievements?We consider significant the market launch of the 602XML FormPublishing for the collection of XML data via interactive (602XML Filler)forms, the winning of decisive references in the Czech and Slovakpublic administration area, and the launch of our products on themarkets of English-speaking countries (see www.602xmlforms.com).

Sun Microsystems Czech, s.r.o.

The Park, Building 3, V Parku 2308/8, 148 00 Prague 4, phone: +420 233 009 311, fax: +420 233 009 355, e-mail: sales_czech@sun.com, www.sun.cz

Turnover - Sun Microsystems, Inc. (FY 2005): approx CZK 279.3billion – approx. EUR 9.4 billionNumber of employees: approx. 350Contact: Mr Petr Ryvola, e-mail: petr.ryvola@sun.com

Sun Microsystems is the world’s leading provider of products,services, and supporting solutions for the construction andmaintenance of computer networks. Sun offers computer andstorage systems that allow further expansion, high-speedmicroprocessors, and a broad range of highly efficient software forthe operation of computer networks.

The company was awarded the title of INVESTOR OFTHE YEAR 2005 in the "Greatest Economic Benefit –Investment in Business Support Services" category. Forwhich project?The Investor of the Year title is awarded by CzechInvest and theAssociation for Foreign Investment (AFI) under the auspices of theMinistry of Industry and Trade. It is awarded as part of a programmeentitled Partnership for Support to Foreign Direct Investment in theCzech Republic.

The Sun development centre in Prague was opened in March 2006.Sun Microsystems has invested approximately EUR 8.7 million intocreating new jobs for top experts in software development and EUR8.4 million into technological facilities. The new centre will employover 200 developers and their number should double by 2008.

What is the main objective?Sun Microsystems development centre in Prague launched itsoperation in 1999 with the acquisition of the NetBeans project,a development environment for the Java platform. From 1999 until2005, dozens of developers worked at the centre. The key turningpoint came in the middle of 2005, when Sun Microsystems, withsupport from CzechInvest, decided to significantly expand itsdevelopment activities in the Czech Republic.

At present, more than 200 highly qualified specialists are workingon the development of key software technologies at the Praguedevelopment centre. NetBeans and NetBeans Mobility Pack, the bestintegrated development environments for the Java platform, remainthe centre’s chief project. We are also partaking in the developmentof the Solaris operating system and the Java Enterprise Editionplatform.

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GRISOFT, s.r.o.

Lidická 31, 602 00 Brno, phone: +420 549 524 011, fax: +420 541 211 432, e-mail: obchod@grisoft.cz, www.grisoft.cz

Turnover: CZK 426.4 million – approx. EUR 14.7 millionNumber of employees: 190Contact: Mr Miroslav Jirků, e-mail: Miroslav.Jirku@grisoft.czExports (largest recipients): USA, United Kingdom, Canada, Australia

GRISOFT ranks among the world’s largest suppliers of securitysoftware. Since its founding in 1991, the regional Czech companyhas grown into an international enterprise with branches in manycountries of the world including the USA. This dynamic developmentis attributable to the quality and reliability of the AVG AntivirusSystem equipped with extra security functions, and to the confidenceof investors such as Intel Capital and Enterprise Investors. GRISOFTproducts now protect more than 40 million computers around theglobe.

In the spring of 2006, you opened a new specialisedfacility for the provision of global technical support toclients. What is its main task?The most important task of this technical support facility is to helpregistered users of the commercial version of the AVG AntivirusSystem to solve problems connected with data protection.Experienced IT professionals on the staff of the new facility in thePlatinium administrative centre are working round-the-clock toanswer the queries of users and to solve any difficulties they mayhave, step by step. Due to worldwide client interest, the teamreceives some 20 000 e-mails and 4 000 phone calls a month,replying within an average of 90 minutes. The team of 50 will bejoined by another several dozen in 2006. Almost one-fifth of them

are the students of local universities, especially the Faculty ofInformation Technology of the Brno University of Technology. Theytest software and prepare virus samples. Some of them later join theGRISOFT development department.

In June 2006, you introduced a new technologicalprogramme. Could you give us some idea of what itis? What other innovations do you have in store forthe near future?The technological programme offers the integration of the mostimportant part, the core of the AVG Antivirus System into theproducts of other manufacturers. Such products then posses theadded value in the form of antivirus protection. The advantages ofthis integration include, for instance, its easy application, flexibility,reasonable price and professional support, which have all met witha good response on the part of our partners. The first significantsuccess has been the establishment of co-operation with GFI. TheAVG core is to become a part of a new version of GFI MailSecurity10. In addition to other functions, it will provide antivirus protectionto e-mail servers. GFI is a leading supplier of network securitysoftware. The users of its products include IBM, Peugeot, Toyota,NASA, the US Navy, and USAF. We are now preparing new productsof the AVG series for the autumn of 2006. In addition to antivirusprotection and the firewall, users will have Grisoft anti-spyware andanti-spam at their disposal. In doing so, we want to join the largestworld players in the area of security software, providing the Internetuser with a fully integrated system of user protection.

TietoEnator, a.s.

Na Strži 1702/65, 140 62 Prague 4, phone: +420 261 142 451, fax: +420 261 142 454, e-mail: info.cz@tietoenator.com,www.tietoenator.cz

Turnover: EUR 1.68 billion globally (TietoEnator Corp.)Number of employees: over 500 in the Czech RepublicContact: Mr Zbyněk Eiselt, e-mail: zbynek.eiselt@tietoenator.com

TietoEnator is among the leading architects in building a moreefficient information society and one of the largest providers of ITservices in Europe. It specialises in consulting and the developmentand operation of trade processes in a digital economy environment.Company services are based on a combination of profoundknowledge in selected sectors and the latest informationtechnologies. TietoEnator employs more than 15 000 professionalsin some 25 countries of the world.

The company was awarded the INVESTOR OF THEYEAR 2005 title in the "Greatest Economic Benefit –Investment in Business Support Services" category. Forwhich project?In 2006, CzechInvest commended those companies which had madethe greatest investment into production, development or business

support services in the Czech Republic in the previous year.TietoEnator received an award in the "Greatest Economic Benefit –Investment in Business Support Services" category, winning secondplace for its project for a centre for administration, operation, andsecurity of data networks, servers, databases, and applications inOstrava where it created 330 new jobs. At present, the company hasover 500 employees in the Czech Republic; the 2006 target is 800.

How do you stay permanently ahead of your rivals?Our first-rate knowledge is used for the development of innovativeIT solutions that digitalise the processes of our clients with whom weco-operate in close partnership. We focus on areas where we havethe most profound knowledge of the given sector. The mostsignificant of these are the global telecommunications sector,banking, the energy industry, and forestry. In these and other areaswe co-operate with very many leading enterprises and organisationsworldwide. Another of our competitive advantages is a perfectlyfine-tuned system of company processes that enables us to providetop-quality services and solutions anywhere around the world.

C Z E C H I N F O R M A T I O N T E C H N O L O G I E S

S U R V E Y

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AEC, spol. s r.o.

Bayerova 799/30, 602 00 Brno, phone: +420 541 235 466, fax: +420 541 235 038, e-mail: info@aec.cz, www.aec.cz,www.aec-security.com

Turnover 2005: approx. CZK 56 million – EUR 1.8 millionNumber of employees: 42Contact: Ms Marcela Parolková, e-mail:marcela.parolkova@aec.cz, and Ms Amelia Sokolowska, e-mail: amelia.sokolowska@aec.czExports: 1.77%Export recipients: Slovakia, Hungary, Poland, Bosnia, Germany,Greece

AEC, spol. s r. o. is a leading Czech producer and provider ofsecurity software and services. Significant acknowledgementsinclude a place among the Czech TOP 100 in 2005. Selectedproducts have been certified as conforming to the ISVS (Publicadministration information systems) standards of the Ministry ofInformatics, some of them having won a number of awards,such as the Prix Security Bratislava.

What is the current position of the company on themarket? What are your greatest achievements?AEC, spol. s r. o. has been operating in IT security since 1991

addressing both antivirus and anti-spam protection, as well asthe coding of sensitive data, shredding, electronic signatures,etc. Thanks to the vast experience and knowledge of its experts,AEC, spol. s r. o. now has its place among the best in thisbranch of the Czech market. In 2004, the company introduceda unique technology for the protection of stations and serversfrom harmful codes and spam. The TrustPort Phoenix Rebel isdoing well on both the domestic and foreign markets. Our mostimportant clients include Česká spořitelna a.s. (member of theErste Bank group) with 12 000 protected computers, and manyother equally important institutions and enterprises.

Which products have you introduced on whichforeign markets?We have been doing well in Hungary (TrustPort InternetGateway), Poland (all TrustPort security products), Greece(TrustPort Workstation), and we are winning new markets in theMiddle East. A recent achievement worth mentioning is theconclusion of a Partnership Agreement with Optimati of NewZealand.

Computer Associates CZ, s.r.o.

V Parku 12, 140 00 Prague 4 – Chodov, phone: +420 226 205 800, fax: +420 226 205 920, e-mail: prague@ca.com,www.ca.com/cz

Turnover (worldwide): approx. EUR 2.8 billionNumber of employees (worldwide): 16 000Contact: Ms Martina Reitingerova, e-mail:martina.reitingerova@ca.com

Computer Associates (CA) is one of the world’s largest providersof IT management software. It helps businesses to unify andsimplify the management of company information systems.Computer Associates, founded in 1976, is based in Islandia, NewYork, and provides services to clients in more than 140 countries.The CA branch in Prague was opened in 1998 and has 20 localand regional employees. Prague is also the seat of the CAMainframe Centre of Excellence, a development facility which isto employ more than 200 developers of solutions for mainframecomputer platforms in the coming years.

Computer Associates was awarded the INVESTOROF THE YEAR 2005 title in the sixth year of theseawards. For which project?CA ranked third in the "Greatest Economic Benefit – Investmentin Business Support Services" category for its investment into theMainframe Centre of Excellence in Prague. The total investmenthere amounted to EUR 1.4 million, creating 126 new jobs.

The company operates a development centre. Whatare its main projects at present?CA systematically invests into the development of new software

technologies to satisfy the requirements of clients for theunification and simplification of IT infrastructure managementand for the optimisation of its use from a technological andfinancial point of view. The development of solutions enables usto keep pace with market requirements and to respond to theexpansion of new computer technologies in IT. Internationalteams work to develop software that secures both the ITenvironment and operated applications, as well as the highefficiency of the security environment for all types of enterprises,from the very smallest companies to multinational corporationswith extensive and technologically varying environments inremote parts of the world. Developed software solutions enableeffective and highly reliable data management that meets therequirements of all, even the largest of companies. As testimonyto CA’s emphasis on the development of software technologies,a new development centre was opened in Prague in 2005. Itcovers part of the company’s development activities, especiallythe development of software for the IBM z/Series computerplatform. For this purpose it chiefly employs young graduates,and is working to create the prerequisites for the furtherdevelopment of this platform of highly efficient computers. Anexample of the success of the CA strategy for the developmentof highly efficient database software is the recently releasedversion of database systems developed by CA – Datacom andIDMS, which enable clients to save and process very largevolumes of data, whilst maintaining a high degree of efficiencyand accessibility.

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I N F O R M AT I O N

INVEX 2006International Fair of Information and CommunicationTechnologies 9-13 October 2006, Brno Exhibition GroundsVeletrhy Brno, a.s., e-mail: invex@bvv.cz, www.bvv.cz

Official Participation of the Czech Republic in InternationalTrade Fairs and Exhibitions Abroad

VIFInternational Industrial Trade Fair23-25 October 2006, Hanoi, Vietnam

Hanoi – VEFAC – Vietnam Exhibition Fair Centre, e-mail: vefac@netnam.vn, www.vietnamindustrialfair.com

Messe MünchenSystems 2006: International Trade Fair for ICT, IT, Media, and Communication23-27 October 2006, MunichEXPO-Consult+Service, www.expocs.cz, e-mail: vondruska@expocs.z

Information Technology Trade Fairs andExhibitions in the Czech Republic (2nd half of 2006)

Important Contacts Ministries

Ministry of Industry and Trade www.mpo.cz mpo@mpo.czMinistry of Informatics www.micr.cz posta@micr.czMinistry of Education, Youth, and Sports www.msmt.cz msmt@msmt.czMinistry of Defence www.mocr.cz info@army.cz

State InstitutionsCzech Telecommunication Office www.ctu.cz podatelna@ctu.cz

Associations and UnionsAssociation for Information Society (SPIS) www.spis.cz ondrejf@spis.czCzech Society for System Integration (ČSSI) www.cssi.cz rada@cssi.czCzech Association of IT Managers (CACIO) www.cacio.cz miroslav.hubner@cacio.czConfederation of Industry of the Czech Republic www.spcr.cz spcr@spcr.czEconomic Chamber of the Czech Republic FITPRO(Facilitation of International Trade Procedures) www.hkcr.cz office@komora.czCzech ICT Alliance www.czechict.cz Info@CzechICT.czAssociation for Electronic Commerce (APEK) www.apek.cz info@apek.cz

Research Organisations and InstitutesInstitute of Computer Science of the Academy of Sciences of the Czech Republic, Prague www.avcr.cz info@cas.czInstitute of Information Theory and Automation, Prague www.avcr.cz info@cas.czMathematical Institute of the Academy of Sciences of the Czech Republic, Prague www.avcr.cz info@cas.cz

UniversitiesUniversity of Economics in Prague - Department of Information Technologies www.vse.cz infokit@vse.czCzech Technical University in Prague, Faculty of Electrical Engineering - Department of Applied Cybernetics - Department of Computers www.fel.cvut.cz dean@fel.cvut.czMasaryk University in Brno, Faculty of Informatics www.muni.cz info@fi.muni.czBrno University of Technology, Faculty of Electrical Engineering and Communication www.feec.vutbr.cz rousova@feec.vutbr.czBrno University of Technology, Faculty of Information Technology www.fit.vutbr.cz info@fit.vutbr.czUniversity of West Bohemia in Plzeň, Faculty of Applied Sciences, Department of Informatics and Computing Equipment www.zcu.cz suchome@fav.zcu.czTomáš Baťa University in Zlín, Faculty of Applied Informatics www.utb.cz info@utb.czVŠB - Technical University of Ostrava, Faculty of Electrical Engineering and Computer Science portal.vsb.cz sekretariat.fei@vsb.cz