Microsoft deal boosts Jordan's ICT ambitions

A strategic partnership between the kingdom's Ministry of Information and Communications Technology (MoICT) and the US based firm, which was first established in 2003, has just been renewed until 2009. The multi-million dollar tie-up will see Microsoft, via its strategic partner the General Computers and Electronics Company, provide software licences, training and technical support to various governmental departments.

Details on the deal

The agreement will first and foremost see public sector bodies receive a sizeable discount of up to 65 per cent on various Microsoft product licences. Specialists will also visit the various departments on a regular basis to provide recommendations with regard to enhancing performance through the use of IT, support the installation and operation of Microsoft's Systems Management Server and give training to staff.

Microsoft will also allocate several million dollars to the implementation of certain strategic projects alongside the MoICT as well as setting up development programmes for its local software solutions partners and funding an internship programme for students at the government department.

Indeed, Microsoft has been very pro-active in supporting IT education in Jordan and has worked closely with the Ministry of Education. Its global Partners in Learning initiative has targeted both teachers and students in the kingdom, while it has also set up e-libraries in Amman and Marka, as well as 'knowledge stations' throughout Jordan which promote the use of IT.

Basem Rousan, Jordan's Minister of Information and Communications Technology, said deals with multi-national IT firms like Microsoft had done much to aid the development of a 'specialised labour force' and had encouraged innovation in the kingdom's information and communications technology (ICT) sector.

ICT revenues looking good

Figures provided by the Information Technology Association of Jordan (int@j) certainly seem to back up the minister's comments. In 2006, the Jordanian ICT industry generated revenues of $1.8bn, up 17.5 per cent on the previous year's figure.

The communications sector provided the lion's share of earnings, over $1bn, and witnessed a growth rate of a respectable 7.8 per cent but IT saw an increase of 32.6 per cent and income rising above $770m. int@j's CEO Sabri Tabaa has estimated that the ICT industry in Jordan should grow by at least 25 per cent this year.

The government is keen to see ICT revenues grow substantially in the near future and wants current export earnings from the IT sector of just under $200m, mostly in the form of consultancy services and software, to rise further through the effective regional marketing of Jordanian companies.

National strategy

The main focus of Jordan's attempts to develop its ICT sector will undoubtedly be its newly unveiled national strategy which has been put in place until 2011. The plan was put together by the likes of the int@j, the MoICT and the Telecommunications Regulatory Commission. The USAID funded Sustainable Achievement of Business Expansion and Quality Programme, or SABEQ, a five year economic development initiative, will provide technical assistance and financial support.

The strategy includes some fundamental objectives such as increasing Internet penetration in the kingdom from its present level of just 11 per cent up to 50 per cent and ramping up the number of people working in the ICT industry from 16,000 to around 35,000. One main goal is to see ICT revenues almost triple to $3bn within five years.

The plan comprises four key 'pillars' covering connectivity, research and development, labour and education and investment regulations. The strategy was implemented at the start of July and to make sure it stays on track and on schedule, a work unit has been put in place which will issue quarterly bulletins on progress.

Jordan's ICT professionals believe the strategy is both ambitious and achievable. But seeing major international operators like Microsoft extending public-private partnerships and subsequently exposing more and more people in the kingdom to IT training and resources, will certainly give fresh impetus and drive to the aims of the MoICT and int@j.

See also:
Jordan Telecom on the road to expansion