Country profile of the Czech Republic plus Czech ICT / ITO markets profiles

1. IT SOURCINGEUROPE Central and Eastern Europe’s Country Profile: Czech Republic

2. Area: 78,866 km2 Population (est. 2009): 10.212 million Human Development Index (est. 2007): 0.903 GDP/capita (est. 2009): 18,208€ GDP growth rate (est. 2009): -0,09% IT Outsourcing market value (est. 2009) – 220€ million GENERAL DATA

3. * Based on the 2009 Legatum Institute estimation PROSPERITY INDEX*

4. PROSPERITY INDEX

7. The biggest area of concentration of ICT channel players remains the capital region with almost 1/3 of the total channel population. The South Eastern part of the country is in a development phase, as more ICT companies are making their appearance in the area.MARKET TRENDS

9. ITO opportunities exist in integrated security solutions, advanced communication systems, financial systems, healthcare, mobile applications and mobile content platform development as well as new digital technologies, mobile applications and e-commerce solutions.

10. As of 2009, the country’s software market reached EUR 618 million and IT services market – nearly EUR 1,2 billion.

11. Both IT salaries and operating costs are rather high in the Czech Republic, which makes it a less favorable outsourcing location compared to its slower developing neighbors such as Ukraine or Bulgaria.MARKET TRENDS

12. THANK YOU by: IT Sourcing Europe Limited 2010 www.itsourcing-europe.com Info(at)itsourcing-europe.com