Presentation by Software Park Thailand's Director to MATRADE (Malaysia)

1. Doing ICT Business
In Thailand
Dr. Thanachart Numnonda
Director
Software Park Thailand
14 May 2012
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2. Thailand ICT Information
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3. 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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4. IT Industry Competitiveness 2011
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Source: EIU2011

5. IT Industry Competitiveness 2011
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Source: EIU2011

6. 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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7. Internet Usage in Thailand
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Source: TrueHits Statistic

8. 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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9. 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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10. Thailand ICT Market
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11. ICT Market Survey
Value in Million Baht
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Source: NECTEC; April 2012

12. ICT Market Survey
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Source: NECTEC; April 2012

13. Personal Computers(Units)
2011
(units)
13
Source: NECTEC; April 2012

14. 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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15. Communication Equipments 2011
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Source: NECTEC; April 2012

16. Mobile Handset
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Source: NECTEC; April 2012

17. Communication Services 2011
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Source: NECTEC; April 2012

18. Software Market Survey
Value in Million Baht
18
Source: TDRI, SIPA; April 2012

19. Thai Software Export
Million Baht
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Source: TDRI, SIPA; April 2012

20. Thailand ICT
Companies & Manpower
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21. IT Companies in Thailand
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Source: NECTEC, SIPA ; 2009

22. Software Companies in Thailand
Total 1,200 - 1,300 companies
100% Thai company 79.8%
Located in Bangkok and nearby 75.4%
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Source: NECTEC, SIPA ; 2009

23. Computer Hardware Companies
in Thailand
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Source: NECTEC, SIPA ; 2009

24. IT Manpower in Thailand
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Source: NECTEC, SIPA ; 2009

25. Technical Position in Software Industry
%
Survey from 139 samples 25
Source: NECTEC, SIPA ; 2009

26. Technical Position in Hardware Industry
Survey from 139 samples
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Source: NECTEC, SIPA ; 2009

27. Technical Employee in Hardware Industry
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Source: NECTEC, SIPA ; 2009

28. Thai IT Salary Survey 2012
Monthly Salary in Baht 28
Source: NECTEC, SIPA ; 2009

29. IT Graduate in 2007
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Source: Office of the higher education commission ; 2009

30. 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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31. Thailand Telecom / e-Goverment
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32. 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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33. ICT 2020 Framework
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34. 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. 34

35. 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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36. 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 36

37. Investment in Thailand
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38. BOI Investment Services
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39. Privileges
Maximum privilege regardless of location:
– Exemption of import duty on machinery
– 8 years corporate tax income
exemption.
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Source: Board of Investment (www.boi.go.th)

40. 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
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Source: Board of Investment (www.boi.go.th)

41. 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)
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Source: Board of Investment (www.boi.go.th)

42. 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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43. Global Services Location Index 2011
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Source : AT Kearney Feb 2011

44. 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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45. 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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46. 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)
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47. Thank you
thanachart@swpark.or.th
www.swpark.or.th
www.facebook.com/softwareparkthailand
www.slideshare.net/softwarepark
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