Middle East's investment in telecom tech is impressive |
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The Middle East including UAE has been investing heavily in the IT and telecom sector and even the biggest names in the business are impressed by it. "One of the most fantastic things to observe here is the sheer scope and breadth of investment into Information and Communications Technology (ICT) infrastructure," Olivier Campenon, British TelecomsBritish Telecoms
' President for Switzerland, Nordics, Central and Eastern Europe, Russia, Middle East and Africa, told Emirates Business.How has the IT and telecom landscape changed in the Middle East?
I would say the IT and telecom landscape in the Middle East has changed at least as much as the skyline of Dubai. And this not just in terms of the number of vendors, IT providers and telecom operators, but also in the way the industry now operates. One of the most fantastic things to observe here is the sheer scope and breadth of investment into Information and Communications Technology infrastructure, for example. The investment muscle of countries across the Middle East was strengthened by the high price of oil, but a lot of that investment went into infrastructure upgrades.
And this is very encouraging as ICT infrastructure directly underpins development in other areas and the overall development of knowledge-based societies.
Do you think BTBT
will be affected by the economic downturn?Everyone is and will be affected by the downturn. There is no escaping it. At BTBT
, we have a couple of things working to our advantage, though. For example, we help companies concentrate on what they do best by taking over the running of their networked IT services. In effect they outsource their corporate networks and services running on them to us. It is a fact that during downturns, when businesses need to tighten their belts, they tend to look more at the savings outsourcing can bring them. BTBT has a strong position in the market and we believe we can help companies deliver better networked IT services than a decimated in-house IT department could. Having said that, we are being cautious ourselves as well. Nobody knows how long this crisis is going to last and how deep it will be. It is always better to be prepared for worse and then be pleasantly surprised.Do you anticipate the IT and Telecom sector as a whole being affected by the downturn?
The answer is yes. Given the squeeze on the financial markets, if nothing else, investment plans will be scaled back. But as I said already, a lot will depend whether the efforts to boost spending by governments around the world will work, how quickly they will work and what impact they will have. It is also worth noting that, according to a recent survey, telecommunication is one of the expenses that consumers will be last at reducing.
Is the IT and telecom sector safer to be in, in terms of job losses?
The telecom and IT sectors have been suffering from skills shortages just about anywhere in the world, be it developed or emerging economies. Maybe the downturn will ease these pressures on the companies on the one hand. On the other hand, the pay situation in the IT and telecom sectors could also stabilise because of the downturn. I would not want to predict whether the ICT sector is going to suffer less in terms of job losses; I think we need more data to be able to draw conclusions on this.
Why do you think that the technical side of IT and telecom is so rapidly disappearing into back office operations?
The easiest answer to this question would be that the technical side of IT and telecom have been in the forefront for way to long and it is refreshing to see focus on the business impact as opposed to the technology. I mentioned before our MPLS network. While this acronym tells a lot to a technician, it is completely meaningless to a businessperson. It says nothing to a chief financial officer, who will be approving investment so the business can take full advantage that migrating to a MPLS network will bring.
What are the challenges you face in this new global economic environment?
The biggest challenge is always to stay ahead, anticipate demand for new services and have technology and platforms ready to deliver when customers demand it. This stays the same regardless of a downturn. The added pressure during the downturn is pricing of these services.
Who is your closest competitor?
BTBT
has many imitators, but very few true competitors. The fact that we are being imitated is of course a compliment of the highest sort. The fact that we have few true competitors with our breadth of coverage and global reach is demonstrated in the fact that we serve more than 40 per cent of Fortune 500 companies, and 90 per cent of financial institutions in the UK use BTBT's secure networks.How has the year 2008 been for you in terms of growth and profits?
Despite the global downturn and a sea change in business outlook, this has so far been a solid year for BTBT
overall. As BTBT's fiscal year runs from April 1 until March 31, we have to wait for the full year results.Any expansion plans underfoot?
BTBT
Global Services has grown in leaps and bounds over the past three years, making 30 acquisitions and delivering solid growth. We are now more in the phase of consolidation of the acquired capabilities and technologies. However, we always remain open for new ideas.Profile: Olivier Campenon BTBT
's President, Switzerland, Nordics, Central and Eastern Europe, Russia, Middle East and AfricaOlivier Campenon took up his present role in BTBT
in January 2006 with a mission to establish the company as a leading supplier of networked IT services to corporations. Previously, Campenon was president of BTBT, France, for three years, building up a strong operation of more than 1,000 network and systems integration professionals.Campenon began his career as a consultant with Arthur Andersen. He graduated in 1988 from Supélec, a leading French engineering institute.
By Reena Amos Dyes
© Emirates Business 24/7 2008
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