Services and Export Production sectors demonstrate high potential for IT penetration

September 3, 2003 Fujitsu Siemens Computers, the leading international IT vendor, has recently underscored its focus on the IT needs of the Small and Medium Enterprises (SMEs) in Pakistan with the introduction of the new Intel Centrino mobile technology into its Lifebook C series of notebooks. With an integrated wireless LAN and a prolonged battery life, the Lifebook C series now addresses the complete business critical mobility needs of the SME market. Previously available only in the high-end notebooks, the introduction of the Centrino technology in the Lifebook C series provides cutting-edge technology in a cost-effective framework.

“Small and medium enterprises have, in the past, been a largely unexplored market for the IT sector in Pakistan. As part of a mature economy, the Pakistani SMEs are on the threshold of a new era, in which low-tech methods of production and management will be replaced by high-tech methods that increase productivity and streamline operations, leading to higher profitability,” said Roger Holbrook, Sales Director, Fujitsu Siemens Computers.

Pakistan, which has a fairly large pool of trained and skilled IT professionals, has a growing IT sector that has software exports as its main focus. At present, there are over 800 software development houses employing an estimated 13,000 IT professionals. This sector has a growing share of export earnings, as evidenced by US$ 35 million in software export earnings in the past year.

However, the penetration of IT into other sectors of the market has, in the past, been limited to large corporations and partially into the financial markets. Less than 2 per cent of the population is connected to the Internet and the Information and Communications Technology sector has a minimal 3 percent share of Pakistan’s Gross Domestic Product (GDP). PC penetration is similarly low at just over 2 per cent.

The recent initiatives of the Pakistan government have attempted to reverse this situation. The reduction of customs duty on the import of IT related equipment, the reduction in bandwidth rates, expansion of the fibre optic network, the development of an IT savvy human resource pool and the exemption of sales tax for computer networking equipment have all contributed to accelerating IT penetration into the services and industries sectors of Pakistan.

The SME sector is one of the principal sectors earmarked by the Pakistan government for development under the new initiatives. The Small and Medium-size Enterprise Trade Enhancement Finance Project, aided by the Asian Development Bank, has focused on developing the potential of this sector, and the government’s recent policy initiatives to encourage IT penetration and e-commerce among the SMEs, especially those that are export-oriented or in the services sector, are expected to bring the small and medium enterprises increasingly under the IT umbrella.

“Fujitsu Siemens Computers understands the needs of the SME market in Pakistan. The technical know-how of a committed FSC team and the company’s experience gathered in the SME markets of Europe, Middle East and Africa, can be fruitfully used to provide need-specific solutions to SMEs wishing to take the Information Technology highway in Pakistan. The flexibility and scalability of FSC’s business critical products and solutions make them ideal for end-users with increasingly dynamic needs,” said Holbrook.

Fujitsu Siemens Computers has firmly placed itself amongst the top four IT vendors in several Middle Eastern IT markets that it entered just two years ago. The company has structured its portfolio of IT products, services and solutions around the core sectors of Mobility and Business Critical Computing. In Pakistan, FSC’s portfolio includes the Scenic range of desktop PCs, the Lifebook series of notebooks and the Primergy servers. With its partners Siemens and Pakistan ICL, Fujitsu Siemens Computers has also participated in crucial government projects to develop infrastructure for government-to-government, government-to-business and business-to-business transactions.

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About Fujitsu Siemens Computers
Fujitsu Siemens Computers is the leading European computer company. Serving the needs of large corporations, small- to medium-sized enterprises and consumers the company operates in all key markets across Europe, the Middle East and Africa. It offers a unique choice of world-class computer technology and innovative IT infrastructure solutions. Embedded in a global cooperation, Fujitsu Siemens Computers takes advantage of the strengths and the innovative power of its parent companies Fujitsu Limited and Siemens AG. “Powering the Information Age” is the company´s vision. Fujitsu Siemens Computers will enable people to freely access information and services anywhere and at any time with world-leading products, services and solutions, thus ensuring people´s success within a knowledge-based society. The strategic direction is focused on Mobility and Business Critical Computing as the key drivers of the Information Age in the 21st century. The company offers everything for enterprise computing, ranging from best-in-class Intel- and Unix-based servers to mainframes and enterprise storage solutions. It is also one of the leading providers of mobile computing products, PCs and workstations to business customers, and is the No. 1 supplier of computers for home users in Europe. For further information, please visit: www.fujitsu-siemens.com

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© Press Release 2003