ARMENIAN IT

Mari BarseghyanProject Manager, Enterprise Incubator Foundation

Challenges in IT talent market

▸ Established in 2002, within the framework of the World Bank’s “Enterprise Incubator” project,

▸ Acting as a cross-point for all entities in the sector - public and private institutions, international organizations and government agencies, major multinationals and small startups - and bring them together to act jointly towards the ultimate goal of ICT excellence. 

ENTERPRISE INCUBATOR FOUNDATION

450 COMPANIES IN 201512% increase from 2014

>50 NEW COMPANIES REGISTERED IN 2015

$560mln TOTAL REVENUE IN SOFTWARE & INTERNET SERVICES 17.7% GROWTH FROM 2014

$48,000 PER 1 TECHNICAL EMPLOYEE LABOUR PRODUCTIVITY

IT INDUSTRY OVERVIEW

Local64%

Foreign36%

COMPANYOWNERSHIP

USA/CANADA80%

EUROPE11%

Russia/CIS9%

EXPORT DESTINATIONS

MAJOR SPECIALIZATIONS

Customized software and outsourc-ing

19%

System design and automation17%

web design and development15%

Networking and system communications10%

Other39%

IT INDUSTRY OVERVIEW

EDUCATIONALINFRASTRUCTURE

Universities with strong IT and High Tech SpecializationState Engineering University of Armenia Yerevan State UniversityAmerican University of ArmeniaEuropean Regional Academy Russian-Armenian (Slavonic) University Yerevan State University of Architecture and Construction French Higher Institute of Engineering in Armenia

12%

IT/High techOthers

Structure of students in Higher Education System, 2014-2015

60 Universities, out of which 15 have strong IT and High Tech Specialization

In academic year 2014-2015 a total of 9352 students were enrolled in departments related to informational and high tech specializations, which constitutes 11.71% of total student population

Educational Infrastructure

▸ 60 Universities, out of which 15 have strong IT and High Tech Specialization

▸ In academic year 2014-2015 a total of 9352 students were enrolled in departments related to informational and high tech specializations, which constitutes 11.71% of total student population.

▸ IT sector has about 15,000 employees and the highest salaries

EDUCATION & WORKFORCE

In order to sustain the growth based on the high quality labor force, Armenia currently faces the issue of providing sufficient supply.

The number of graduates with IT specializations annually closely coincides with the annual demand in the overall market, but only 45% of the graduates consider or qualify to be employed in the sector, thus, creating a quantitative imbalance of workforce (IT Skills assessment report, 2014).

~900 graduates being

employed

~2000 new specialists demanded

SKILL DEMAND & GAP IN IT

AITC provides a specialized infrastructure and high-performance facility for the delivery of IT-related trainings and R&D programs that create new opportunities for the development of IT workforce skills in Armenia

ANEL is a center of excellence that hosts 30 state-of-the-art education and research laboratories. Lab aims to strengthen the educational capabilities and enhance the research potential of the Armenian engineering sector by upgrading and expanding the NPUA educational and research facilities to the world standard.Synopsys is heavily investing in microelectronics education and is engaged in many successful cooperation programs with major universities of Armenia such as National Polytechnic University of Armenia (NPUA), Yerevan State University (YSU), Russian-Armenian (Slavonic) University (RAU), etc. TUMO is a digital media learning center. Since its opening in 2011, the center has provided thousands of students aged 12–18 an open environment where they can use the latest in digital tools, learn from media professionals, and explore the intersection of technology and art.With more than 100 engineering laboratories/ clubs established in the schools, the project aims to promote technological education in all schools of the Armenian communities, to assist pupils in their early interest emergence in modern high technology, to promote the development of engineering mindset from early ages, and to prepare competent students.  UEICT supports implementation of Basics of Telecommunication subject at high schools. Particularly, introduction of professional subjects such as “Microelectronics”, “Basics of Telecommunication” and “Information Technologies” is done.

SUCCESSFUL EDUCATIONAL INITIATIVES

Worldwide University program

ENTREPRENEURIAL LANDSCAPE

ACCELERATORS, INCUBATORS TECHNOPARKS INNOVATION ECOSYSTEM

ANGEL INVESTORS

GRANTS

VENTURE FUND

HIVE network

FOREIGN ANGEL

NETWORKS (DIASPORA,

PROFESSIONAL INVESTORS)

FOREIGN VENTURE FUNDS

MATCHING GRANTS, GYUMRI AND VANADZOR MATCHING GRANTS,

SCIENCE AND TECHNOLOGY ENTRPRENUERHSIP PROGRAM

(STEP),CLEANTECH PROGRAM

STARTUP FINANCING INFRASTRUCTURE

THE STARTUPS [SOME OF THEM]

INNOVATION ECOSYSTEM

WiFi free internet access devices installed in 344 rural areas with up to 1,000 residents

- UCOM continues the started program

Computer for All mechanism is still operating through the revolving fund. - Model replicated by the many Banks.

GYUMRI TECHNOLOGY CENTER

100% occupancy rate with local and international companies

>2000 people trained in GTC >50 companies received business development

consultancy Laboratories in filed of Engineering, CleanTech &

Multimedia

VANADZOR TECHNOLOGY CENTER

>40 companies received business development consultancy

>25 teams received Assistance in Establishment of startup technological teams

> 600 beneficiaries were involved in the training programs conducted at VTC

MIC/ANEL/ARMINDIA/ISTC >5000 training participants annually in the areas of

Programming, Engineering, Mobile, Business/management

Centers continue to cooperate with private sector to provide trainings based on the industry needs

INNOVATION CLOUD

Ideas

Expertise

Entrepreneurs

Creativity

Funds

Networks Peopl

e

Connections

Partnerships

Advice

Credibility

Start-ups

Hi Tech

EducationIT

EXPERIENCE WITHMULTINATIONALS

ACQUISITIONSBY MULTINATIONALS

MADE IN ARMENIA

ARMENIAN IT INDUSTRY FAST GROWING INDUSTRY AT A CRITICAL JUNCTURE

THANK YOU!

ENTERPRISE INCUBATOR FOUNDATION123 Hovsep Emin str, 0051Yerevan, ArmeniaTel: +374 10219797E-mail: info@eif.amwww.eif.am