Economy And Business, November 28, 2008
Argentine software
The country´s software industry employs almost 50.000 people, with more than 1.000 companies exporting their products to more than 100 countries. Argentina has every competitive and comparative capacity to be an outstanding world supplier.
Worldwidely, the growing argentine industry presence is recognized.
Over the years, Information Technology (IT) has become the new paradigm of the world´s economy. Knowledge is the new flagship of modern economics. With this scenario, Argentina has every competitive and comparative capacity to be an outstanding world supplier of software-related products and solutions
According to the Chamber of Software and Informatics Services Companies (CESSI), the industry will see a 90% growth by the year 2016, creating a minimum of 70.000 new jobs. By that time, it has been agreed to aim at reaching a total gross profit of 20.000 million pesos, and exports by 3.000 million dollars. Also, the CESSI´s document Proposals for a 2004-2014 Strategic Plan define the key issues to be kept in mind in order to invigorate the IT industry´s growth in Argentina.
The guidelines of the 2008 – 2011 Software Industry Sectorial Action Plan work as complement of the ones stated in 2004, when the sector defined its strategic 10 year-plan in a document that was produced in the Software and Informatics Services Forum.
Argentina is looking to position itself in the international market. Informatics applied to agro-industry, health, and dynamic web pages, among others, are some of the sectors in which the country can have a competitive involvement. The agro-industry includes advancements in biotechnology, traceabilty, precision agriculture, and soil management.
The efforts of the Argentine SSI sector´s to position itself as a quality software exporter are gaining recognition by prestigious education institutions. For example, a report published by the Software Engineering Institute (SEI) of the Carnegie-Mellon University placed the country in the 12th position regarding the level of adoption of CMMI (Capability Maturity Model Integration). Fifty eight percent of the sector´s companies have made at least one export transaction. From that total, almost 65% does it with a certain degree of regularity, which expresses an exporting pattern which raises above the rest of the industrial SME sectors.
State Policy
In order to promote the sector, the Ministry of Economy issued in 2004 the Industrial Promotion Law (25.922), which gives tax benefits to every national software company. Thus, almost 27% receive these benefits. All together, these companies have an above average dynamics regarding employment and profit.
Also, the National Science and Technology Promotion Agency carries on a finance plan known asFONTAR, which aims at financing new technological projects so they would be able to enter the market.
The country´s IT sector employs almost 50.000 people, from which more than a third are working in off shore solutions. There are approximately 1000 companies based in the country, and around 120.000 students enrolled in undergraduate and graduate programs in different universities and academies.
The Software & IT Services Chamber of Commerce from Argentina (CESSI)
It represents the companies devoted to developing, producing, marketing and implementing software and a broad spectrum of related services in Argentina. CESSI gathers more than 330 companies and institutions, representing 80% of the income and over 85% of the employment in the sector.
Entrepreneurship and Financing in the Software and IT Services Industry
One of the most characteristic and original aspects of the Software and Information Technologies Services industry (SSI) is the celerity with which new and small enterprises can emerge to satisfy specific business niches; a phenomenon that makes ideas and innovative solutions spread as start ups.
NEC opened new centre in Argentina
The Argentine branch of the Japanese company NEC – which has been based in the country for over 30 years - opened a new venue to work as a centre for technological and software development solutions for the entire continent, regarding e-Government as well as biometric, security and health solutions.
Latest news
The Motorola company chose the Software Development Centre of Córdoba to assemble its new model called Team, which will be available next year worldwide.
The multinational company Accenture will open a centre for software development in La Plata to be near the students.
This corporate software company announced they are setting up a subsidiary in Buenos Aires, which constitutes a comeback to the local market.
Zauber is developing solutions for social networks;; it makes AR,5 million.
The Banco Nación (BN) opened an office in Madrid for Argentine Pymes of software to promote their products in Spain.
French automaker Peugeot Citroën is building a factory of software in the country to supply their own it applications.
The software company Globant was founded five years ago. It already exports to 40 countries and has made 40 million dollars.
It would allow the “segmentation” of tissue and quantification of size variation.
Executives from companies will study the software area and computer services situation on both sides of the Cordillera de los Andes.
A Brazilian software developing group opens a branch in Argentina
The technology industry based in Cordoba keeps attracting foreign capital.
The company will increase its staff of 300 for 600 and will make Argentina become leader of the technological development in Latinamerica.
A empresa Latinia, fabricante de software especializado em plataformas de mensageria SMS para entidades financeiras, confirmou que a Argentina figura entre os principais países onde prevê iniciar sua expansão.
It had the highest growth and occupied the second place – after Chile – among the countries with the highest technological development of Latinamerica. There are 994 cellphones for every 1000 inhabitants, which is one of the highest averages in the world.
This goal will be achieved by 2016, by then they hope to give employment to 100.000 people. One of the challenges is to choose the most adequate type of development. As they say, our professionals are extremely talented.
This year the Image Cup will present more than 0.000. .000 will be awarded in Paris. An invitation to the annual program which gives the opportunity of working with technology experts will also be granted.
The number of laptops is growing. How has its influence developed in the market. Two plants, one in Barracas and the other in Villa Lugano, have been added to the assembly plant in Ushuahia. The production of flat TV sets is growing.
