Tech@Peripheria Mobile Monday Sum 02 03 2009

A technology model for Portugal:

Creation of an IT cluster?

Organization

André Marquet

The Case-Studies of Finland and Israel

March, 2009

03/03/2009 © 2009WIT-SOFTWARE – witness the difference. All rights reserved. www.wit-software.com

Out of the spotlight. Looking to the periphery.

pe·riph·ery

• Pronunciation:

– \pə-ˈri-f(ə-)rē\

1. the perimeter of a circle or other closed curve ; also : the perimeter of a polygonperimeter of a polygon

2. the external boundary or surface of a body

3. a: the outward bounds of something as distinguished from its internal regions or center : confines

4. b: an area lying beyond the strict limits of a thing

periphery. (2008). InMerriam-Webster Online Dictionary.Retrieved December 10, 2008, from http://www.merriam-webster.com/dictionary/periphery

“How did peripheric

Portugal

Finland

Israel

Staying

competitive in

Euroland

Economy!

Preventing “How did peripheric

economies with small

sized markets get to be

world leaders in the IT

sectors?”

Preventing

brain-drain

even with low

salaries!

"Man is by nature a political animal."

It’s not a causality that Aristotles “was made” in Greece.

Ibn Khaldun (May 27, 1332– March 19, 1406);Lived in Spain and North of Africa and did most of his

work in the 14th century, almost 400 years before the

works of Adam Smith and is considered the forerunner

of economics and sociology.


Ibn Khaldun was the first schoolar to do

comparative economic analysis, as he was

particularly interested in the why some regions

developed so much while others remained

under-developed.

Portugal

Population*: 10,676,910GDP**: $223.3 billionGDP per capita: $20914Defense spending***: 2.3% of GDP ($5.14 billion)Def. per capita: $481Public R&D: 0,78% of GDP ($1.7 billion)R&D per capita: $163Mobile operators: 3 GSM; 1 CDMA

* - 2008 est.** - 2007 est*** - 2005 est.

Israel

Population: 7,112,359GDP: $161.9 billionGDP per capita: $22763 Defense spending: 7,3% of GDP ($11.8 billion;) Def. per capita: $1659


Def. per capita: $1659Public R&D: 4,46% of GDP ($7.2 billion) R&D per capita: $1015Mobile operators: 4 GSM; 1 CDMA; 1 iDEN

* - 2008 est.** - 2007 est*** - 2006 est.

Finland

Population: 5,244,749GDP: $245 billionGDP per capita: $46713Defense spending: 2,0% of GDP ($4.9 billion;)Def. per capita: $934


Def. per capita: $934Public R&D: 3,46% of GDP ($8.5 billion)R&D per capita: $1616Mobile operators: 4 GSM;

* - 2008 est.** - 2007 est*** - 2005 est.

Myth #1:

“The Portuguese Mobile “The Portuguese Mobile

Market is Small.”

Mobile Telecom Market Sizes

2,5

3

3,5

4

Total Mobile Market Size (1000M euros)

1,50%

2,00%

2,50%

Market-to-GDP (Country’s Mobile Effort Rate)

(2007 consolidated values based on mobile carriers)

0

0,5

1

1,5

2

Portugal Finland Israel0,00%

0,50%

1,00%

1,50%

Portugal Finland Israel

Israel, Negev Desert

Finland, not very far from the Helsinki…

Myth #2:

“You need big urban centers “You need big urban centers

to develop IT companies”

Myth #3:

The truth is that we don’t have enough qualified

“There is lack of qualified jobs”

The truth is that we don’t have enough qualified

professionals!

Look to Past Efforts of Silicon Valley Cloning

• Steven Usdin authored

Communism Engineering, where

he tells the story of two american

nationals that founded the soviet

silicon valley in the 1950’s.

• After the collapse of the Soviet • After the collapse of the Soviet

Union, a number of Jewish

Russians left to help grow the

Israeli Silicon Valley.

• In 2007, Rosenberg

Yaël; Vainunska Karen authored the

study "Israel New Silicon Valley"

Israeli companies

Metro Haifa

• Intel Research

• Microsoft Research

• IBM

• Technion, Haifa Univ.

Israeli engineers

developed the

world’s first cell

phone at

Motorola’s lab in

Haifa, its largest

research center • Technion, Haifa Univ.

Metro Tel Aviv

• Motorola Research

• Checkpoint

• Amdocs

• Comverse

• Tel Aviv Univ.

Pioneered

Voicemail, SMS

and other cellular

phone services.

research center

in the World.

Portuguese companiesMetro Porto/Braga

• Mobicomp

• Ndrive

• Qimonda (??)

• INESC Porto, FEUP.

Aveiro

• PT Inovação

• Instituto de Telecomunicações, Univ. Aveiro

First quantum

chip project in the

world.

• Instituto de Telecomunicações, Univ. Aveiro

Coimbra

• Critical Software

• WIT Software

• Instituto Pedro Nunes, Univ. Coimbra.

Metro Lisboa

• Nokia Siemens Networks

• Microsoft Research

• Ydreams

• INESC/INOV, IST, ISEL, Nova.

Pioneered WAP

Portals,

SMS/MMS and

other cellular

phone services.

Percent of population ages 25-64 with 12 or more years of education (2004)


• Israel has also the highest rate of scientists and engineers per population.

Engineers per 10.000 employees (2002)

Stock and IP markets

• Israel has the third largest number of companies trading in Wall Street

after the US and Canada.

• Portuguese stock market has only three companies, Novabase, Reditus

and Compta.

• Israel 2nd place in patent applications to Europe Patent Office.• Israel 2nd place in patent applications to Europe Patent Office.

• Israel produces more scientific papers per capita than any other nation

with 109 per 10.000 people.

• Israel has the highest percentage in the world of home computers per

capita.

• Highly advanced in renewable energies like thermic and photovoltaic

solar.

• eBuddy, one of the first web based IM platforms was created by a Paulo

Taylor, a Portuguese national.

– Bad news: He based the company in the Netherlands because he

didn’t find financing in Portugal;didn’t find financing in Portugal;

– Good news: Paulo wants to come back to live in Portugal. He says

the weather, the food and the people are more enjoyable.


Wit Software is also taking IM to new levels by leveraging the mobile world.

Action Items for Technology Agenda

• Portugal 2025. First carbon free economy in the World.

• In Infrastracture for the XXI century, ICT should be top of mind for

governments (NGN are a good example).

• The solution is more technology (not more steel, concrete or “TGVs”),

we need a better connected future.

• There are very high returns for ICT.

• We have to increase, not by 50% but, by an order of magnitude our

investments in Public R&D, to be on pair with top performers like Israel

and Finland.

The production of top level engineers must be a priority.

• Portugal needs a strong lobby in Silicon Valley and other IT hubs. (What is

AICEP doing regarding this?)

• Israel has aero-space program (only 9 countries in world have this

capability).

• If Portugal wants to have leading IT sector it has to reborn its IT Defense

and Aero spaceindustry.

– Portugal should look to Brazil for serious technological options.

• We need to stop Lusophobia that is dominant in some national and

SAY STOPTO LUSOPHOBIA.

• We need to stop Lusophobia that is dominant in some national and

international media e.g.“The Economist”.This terminology is simply not

acceptable.

• We need to stop being the P of PIGS (Portugal, Italy, Greece, Spain). And

start being the P of Prosperity.

Action Plan

Conference Tech@Edges to be held in Portugal in 2009

This conference pretends to debate the technological models to be adopted by

Portugal, and confront those politics with other international practices, such as that

of Finland and Israel and other small sized countries like Portugal. A Technological

Plan (version 2.0) should come out of this conference.Plan (version 2.0) should come out of this conference.

Leading Companies (Invitation List)• Ydreams

• Empordef

• Wit Software;

• Critical Links;

• Nokia Siemens Networks Portugal

• Vodafone Portugal• Vodafone Portugal

• Inov Capital

• Conectivity Score Card (coordinated by LEGC)

• Tagus Park

Institutes (Invitation List)

• APCOMTEC

• INDEG Business School

• INESC-INOV

• Tel Aviv University• Tel Aviv University

• mbaESG-Paris Graduate School of Management

Institutional (Invitation List)

• AICEP

• IAPMEI

• ANACOM

• Camara de Comércio Portugal-Israel • Camara de Comércio Portugal-Israel

• Camara de Comércio Finlandia-Portugal

• Gabinete do Plano Tecnológico

• Israeli Association of Electronics and Software Industries

• The Federation of Finnish Technology Industries

Media Coverage (Invitation List)

• EETimes Europe

• SIC Noticias

• OJE (Jornal Económico)

• Mobile Monday• Mobile Monday

Tech@Peripheria Mobile Monday Sum 02 03 2009

Technology

Transcript of Tech@Peripheria Mobile Monday Sum 02 03 2009