doing ict business in thailand
TRANSCRIPT
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Doing ICT BusinessIn Thailand
Dr. Thanachart NumnondaDirectorSoftware Park Thailand14 May 2012
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Thailand ICT Information
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Thailand Positioning
Rank 27: World Competitiveness Index (IMD)
Rank 10: Economic Competitiveness (IMD)
Rank 50: IT Industry Competitiveness Index 2011 (EIU)
Rank 92:E-Government Development 2012 (UN)
Rank 7: Global Services Location Index 2011 ( AT Kearney)
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IT Industry Competitiveness 2011
Source: EIU2011
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IT Industry Competitiveness 2011
Source: EIU2011
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Internet Usage in Thailand
18,310,000 Internet users; 27.4% Penetration [NECTEC, Dec 2011]
Average Download Speed 6.5 Mbps; Upload Speed 1.5 Mbps; Avg cost $3.72 per Mbps [Net Index, 2012]
Broadband Subscription 3.39 Million users [Reuters, Q4 2011]
14,235,700 Facebook users [Mar 2012]
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Internet Usage in Thailand
Source: TrueHits Statistic
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Mobile Usage in Thailand
Mobile penetration rate in Thailand was estimated at 107.86% over a population estimate of around 66.7 million. [MNO Directory,Mar 2011]
AIS 31.2 Million Subscribers, DTAC 21.6 Million and True Move 17.2 Million [Q4, 2010]
Smartphone usage in 2010 is 18% and expect to grow to 60-65% in 2015 [Frost & Sullivan]
Fixed Line 9.1 Million [Mar 2012]
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e-Commerce in Thailand
e-Commerce usage in Thailand in 2011-2012 is estimated to be at 67%
and M-Commerce is at 37%: One of the top growing country in Asia
[Frost & Sullivan]
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Thailand ICT Market
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ICT Market Survey
Value in Million Baht
Source: NECTEC; April 2012
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ICT Market Survey
Source: NECTEC; April 2012
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Personal Computers(Units)
Source: NECTEC; April 2012
2011 (units)
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Devices sold in Thailand 2011 is follows: Tablet 480,000 units; Desktop 1,320,000 units and Notebook 2,020,000 units. In 2012; The number of
Tablets sold in Thailand is expected to be 2.5 million units.
[NECTEC; Apr 2012]
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Communication Equipments 2011
Source: NECTEC; April 2012
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Mobile Handset
Source: NECTEC; April 2012
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Communication Services 2011
Source: NECTEC; April 2012
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Software Market Survey
Value in Million Baht
Source: TDRI, SIPA; April 2012
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Thai Software Export
Million Baht
Source: TDRI, SIPA; April 2012
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Thailand ICT
Companies & Manpower
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IT Companies in Thailand
Source: NECTEC, SIPA ; 2009
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Software Companies in Thailand
Total 1,200 - 1,300 companies
100% Thai company 79.8%
Located in Bangkok and nearby 75.4%
Source: NECTEC, SIPA ; 2009
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Computer Hardware Companies in Thailand
Source: NECTEC, SIPA ; 2009
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IT Manpower in Thailand
Source: NECTEC, SIPA ; 2009
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Technical Position in Software Industry %
Survey from 139 samplesSource: NECTEC, SIPA ; 2009
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Technical Position in Hardware Industry
Survey from 139 samples
Source: NECTEC, SIPA ; 2009
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Technical Employee in Hardware Industry
Source: NECTEC, SIPA ; 2009
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Thai IT Salary Survey 2012
Monthly Salary in BahtSource: NECTEC, SIPA ; 2009
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IT Graduate in 2007
Source: Office of the higher education commission ; 2009
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Sample IT International Programs
Computer Engineering at Chulalongkorn University, Kasetsart University, Assumption University, King Mongkut's University of Technology Thonburi.
Computer Science at Sirindhorn Institute, Mahidol University, KMITL.
Information Technology at Mahidol University
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Thailand Telecom / e-Goverment
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Telecommunication in Thailand
3 main private operators: AIS, DTAC, True
2 government operators: TOT and CAT
Telecom Regulator: National Broadcasting and Telecommunications Commission (NBTC)
NBTC has approved the draft of the 2012-2016 telecom master plan.
NBTC intends to auction the 3G-2 1GHz licences within Q3 2012.
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ICT 2020 Framework
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Thailand ICT 2020 Strategies
Broadband infrastructure to allow access to information via broadband Internet for about 95 per cent of Thailand's population by 2020.
Developing ICT human capital and general IT literacy.
Aims for a domestic ICT industry that represents at least 6.5 per cent of GDP by 2015, increasing to 7 per cent by 2020
Developing ICT for good governance and smart government.
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Thailand ICT 2020 Strategies
Developing and applying ICT in order to lift the productivity of manufacturing and agricultural industries.
Developing ICT for "life-long learning".
Developing ICT for a green economy and society.
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Smart Thailand
Smart Network– Smart Thailand scheme with planned budget of THB
80 billion to expand a fibre-optic broadband network nationwide.
Smart Government– Smart – Education– Smart - Health – Smart – Government– Smart - Agriculture
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Investment in Thailand
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BOI Investment Services
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Privileges
Maximum privilege regardless of location:
– Exemption of import duty on machinery
– 8 years corporate tax income exemption.
Source: Board of Investment (www.boi.go.th)
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Specific Conditions for Promoted Activity
All revenue related from developed software under BOI project such as ASP (application service provider) could be counted for corporate tax exemption
10 million baht investment capital project must obtain CMM or other international software standards which certified by SIPA
Project must include software development process as specified or approved by SIPA
Source: Board of Investment (www.boi.go.th)
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Software Investment
Foreign Investment between 1996-2007 is 462 projects; total value is 4,950 million baht.
About 30 companies per year.
Mostly come from Japan, USA.
Example:
– Thompson Reuters
– Osellus Asia Pacific
– Hyro Consulting (Thailand)
Source: Board of Investment (www.boi.go.th)
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Gartner: Thailand is one of the top 30 locations for offshore services in 2010
The 10 criteria were: language, government support, labor pool, infrastructure, educational system,
cost, political and economic environment, cultural compatibility, global and legal maturity,
and data and intellectual property security and privacy.
Source : Gartner Dec 2010
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Global Services Location Index 2011
Source : AT Kearney Feb 2011
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CMMI
Software Park has initiative to promote CMM/CMMI since 2002.
Current, there are 52 CMMI companies in Thailand. [March, 2012]
Highest number in ASEAN
Level 2: 16 companies, Level 3: 33 companies and Level 5: 3 companies,
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ICT Bodies
Ministry of Information Communications and Technology (www.mict.go.th)
Office of National Broadcasting and Telecommunications Commission (www.nbtc.go.th)
Software Industry Promotion Agency (SIPA)
(www.sipa.or.th)
Software Park Thailand (www.swpark.or.th)
National Electronic & Computer Technology Center (NECTEC) (www.nectec.or.th)
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ICT Association
The Association of Thai ICT industry (ATCI)
(www.atci.or.th)
Association of Thai Software Industry (ATSI)
(www.atsi.or.th)
Thai Software Export Promotion Association (TSEP) (tsep.or.th)
