About BRASSCOM

Position Brazil as one of the top five key global IT centers.

Spread the excellence and innovative capabilities of IT to other sectors, increasing Brazilian economy’s productivity and quality.

VISION

MISSION

INSTITUTIONAL

Sector Strategy Institutional Relations Public Relations

MARKETDEVELOPMENT

Marketing Strategy

Promote and develop the IT-BPO sector

locally and overseas

BRASSCOM’s Agenda

INFRASTRUCTURE & DIGITAL CONVERGENCE

Infrastructure investments to develop

the IT-BPO sector

HUMAN RESOURCES& EDUCATION

Educational programs aligned with the

IT-BPO sector

REGULATORY

Promote a globally competitive, fair, and ethical IT-BPO sector

BRAZIL IT 2022 STRATEGIC PLAN

Legislation and Taxes, International Agreements,

IP & Piracy Control

Technical Education, English Education, Talent Mapping,

Career Promotion

Broadband, Digital TV, Mega Events, IBCD,

Innovation

Demand Generation, Promotional Events,

Roadshows, Media & Web

Source: Brasscom, IDC TOTAL IT SPENDING ACCOUNTS FOR 4% OF BRAZIL’S GDP

US$

BIL

LIO

N

IT-BPO MARKET

4

IT-BPO EXPORTS

US$

BIL

LIO

N

44% 9 %

Brazilian ICT Market

ICT MARKET 2010 (US$ Billion) IT-BPO 85.1COMMUNICATIONS 80.6

165.7

85.1

7th largest ICT market in the world and 8th largest IT market

1st ICT and IT markets in Latin America

Sources: IDC and Gartner – Emerging Market Analysis, IT – Brazil – July 2010 – LATAM includes México

Regional Leadership

403 million cards - debit and credit (2010)

56 billion banking transactions per year (2010)

13 billion online banking transactions (2010)

US$ 13 billion invested in technology by the sector - largest IT buyer in Brazil (2010)

106 million trades – Bovespa (2010)

Sources: Abecs (Brazilian Association of Credit Card Companies and Services), Febraban (Brazilian Federation of Banks) and Bovespa

Financial Services

135 million voters

5.500 municipalities

300 thousand votes processed per minute

3 hours for the results

24 million electronic tax declarations (personal)

1.1 million electronic tax declarations (business)

Sources: Superior Electoral Court and Federal Revenue Bureau

E-Government

47% renewable sources

27 billion liters of ethanol produced per year

365 billion cubic meters reserves of natural gas

2.5 million barrels of oil produced per day – technology for offshore fields (most oil reserves are on the continental shelf, in deep and ultra-deep waters)

Technology to exploit oil in the pre-salt

2.8 million flex cars registered (2010) - software developed in Brazil

Sources: Ministry of Mines and Energy (MME), National Association of Motor Vehicles Manufacturers and Associated Industries (ANFAVEA) and Petrobras

Energy, Oil & Gas

US$ 76.4 billion in agricultural exports (2010)

160 million tons of grains produced (2010)

25% of world food supply

400 Agribusiness Software (2009)

Technology and IT Innovation – Embrapa

Satellite - environment control and agriculture expansion through technology

Sources: Ministry of Agriculture, Cattle and Supply (MAPA) and Brazilian Agricultural Research Corporation (Embrapa)

Agribusiness

3rd largest IT buyer in Brazil (after finance and telecom)

43% of ERP market

66% of ERP market in Brazil is supplied by national

companies - US$ 1.4 B in 2010

250 thousand IT professionals have deep knowledge in Manufacturing and Retail

Manufacturing

1.2 million IT professionals (2010)

750 thousand new IT professional needed until 2020

2.314 universities (2008)

568 thousand students registered in Technological Education courses (2008)

4.355 undergraduation courses related to IT (2008)

55 thousand scientific articles published in International media (2008)

Sources: Brasscom, IDC, Ministry of Education (MEC) and Ministry of Science and Technology (MCT)

Human Resources and Education

210 million mobile phone lines

41 million broadband connections

4th largest PC market in the world

6th largest market for mobile phones

2nd largest number of airports in the world - 35 international / 33 domestic

880 weekly-international flights

Sources: National Agency for Telecommunications (Anatel), IDC, Brazilian Association of Telecommunications (Telebrasil) and Teleco

Infrastructure

Economic Strength and Stability

7th Largest Economy in the World and 1st in Latin America

2010 GDP: US$ 2.1 T 2011 Expected GDP growth: 4.5%

FDI 2010: US$ 48.5 B 2011 Expected FDI: US$ 60.0 B

Top multinationals have been in Brazil for decades – IBM: 1917; J&J: 1933

World’s top 5 in regulation of securities and exchanges

34 Brazilian companies in the Global Fortune 2000: Petrobras, Embraer, Vale, CSN, Gerdau, Aracruz, Suzano, Brazil Foods, Inbev, Itau/Unibanco, Bradesco, among others

Effective policy to control inflation since 1994 83% of population in urban centers

Sources: Economist Intelligence Unit, IMF, World Economic Forum

Sources: UNESCO, IBGE, BNDES, Petrobras Website, The Boston Consulting Group – BCG, SECEX

28 technology parks

3rd largest manufacturer of aircrafts

6th largest manufacturer of automobiles

2nd largest producer of biofuels

9th largest producer of oil

1st producer and exporter of coffee, sugar, orange juice and ethanol

Diversified Economy

92.7 million

Afro-Brazilians

18 million

German-Brazilians

15 million

Hispano-Brazilians

10 million

Arabic-Brazilians

1.8 million

Polish-Brazilians

1.6 million

Japanese-Brazilians

25 million

Italian-Brazilians

Cultural Landscape

High Productivity

Industry / Business knowledge

Cultural compatibility

Low-turnover rates

Total Cost Competitiveness

Optimized On-Shore / Offshore Ratio

Timezone: Real-time communication

Nearshore: Lower management / travel costs

High Quality

Low levels of rework

Share of GDPShare of GDP

Cloud Mobile

Social MediaBig Data

Cleantech

Global Economic, Demographic, and Political Changes

Global Economic, Demographic, and Political Changes

Growth of BRICs

Growth of BRICs

TechnologyTrends

TechnologyTrends

Asia PacificLatin America

Growth of Global IT Markets

Growth of Global IT Markets

Innovation

Human Capital

Infrastructure

Competitive Costs

Science Without Borders

Pronatec

Brasil Maior Plan

PNBL, 2014 World Cup, 2016 Olympics

2010 2022

Economic PowerEconomic Power

IT-BPO MarketIT-BPO Market

IT-BPO ExportsIT-BPO Exports~ 8x

~ 2x

Brazil 2022: Opportunities and Challenges

US$ 150.0 – 200.0 BUS$ 150.0 – 200.0 B

5th5th

6.0%6.0%

US$ 20.0 BUS$ 20.0 B

7th7th

US$ 85.1 BUS$ 85.1 B

4.0%4.0%

US$ 2.4 BUS$ 2.4 B

Thank You!