Argentina Software Development Center Felipe Richard January 2011
Agenda The Software Industry in Argentina Government Incentives A Fast Growing Sector
An Intel Success Story: ASDC – Argentina Software Development Center
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The Software Industry in Argentina Government Incentives
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Software Promotion Law – 25922 Benefits 1. Approximately 50% reduction of Employer Labor Tax
2.
60% abatement of Corporate Income Tax
3. Federal Fiscal stability for 10 years
Requirements (2 out of 3) 1. +3% of revenues in R&D activities 2. Software exports are +8% of software revenues 3. Quality Certification
30% of software companies are enrolled in this Program Software and Services Group
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Agreement between the Province of Cordoba and Intel Province of Cordoba Commitments
Intel Commitment • Hire 430 employees
• Subsidy of 7.5% of payroll costs • Facilities
• Turnover and Stamp Tax exemptions
Other multinationals have similar agreements Software and Services Group
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The Software Industry in Argentina A Fast Growing Sector
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The Academic World University Careers: • • • • •
Systems Engineering Computer Science
Electronic Engineering Telecommunications Engineering
Countrywide: 25,000 students start every year 2,700 graduates per year In Córdoba: 6 major universities 350 graduates per year
Computer Engineering
Intel Programs: • • •
Post-graduate Program
Scholarship programs & Internships Research grants & Laboratory
donations
• • •
Train-the-trainer courses
Open Source Innovation Center 4
Seminars, lectures and talks
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Multinationals with presence in Córdoba:
• EDS/HP – ~1500 employees Application Development and support.
• Motorola – ~300 employees Distributed systems, telecommunication , embedded, real-time Operating Systems)
• IBM – ~100 employees IT & Infrastructure support services • Indra - ~250 employees Application Develop. (ERP) and Air Traffic control systems
Multinationals in Argentina (Buenos Aires): • Google, Oracle, Nokia, Microsoft, NEC, Verizon, Sabre Holdings,
Tata. Software and Services Group
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Revenues, Exports and Employment Software Industry - Argentina Revenues (U$S M)
Exports (U$S M)
Employment
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An Intel Success Story: ASDC Argentina Software Development Center
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Where we are
Córdoba Province
Time zone difference with US • 1hr ahead of EDT and 2hrs EST
• 4hrs ahead of PDT and 5hrs PST
• •
Córdoba City Population: ~1.4 Million.
•
6 major universities are located in the city
12% of the total population are university students
Argentina
•
Highly educated population in LAR 97.2% literacy rate° (US is at 99%)
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Short history... 2003 Barrett commits to the region
2004
2005
Potential sites C贸rdoba selected, evaluation LOI signed
Economy Minister, Roberto Lavagna and CEO Craig Barrett
2006 Agreement signed (March 27)
Legislature (May 10)
Pioneer class (May 15)
State Governor, De La Sota and CEO Paul Ottellini
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ASDC Basics Staff of 150 (30% of them has a post graduate degree, 7 PhDs). Expected to grow up to 400+ in the next several years. The only SSG site in Latin America, home to workgroups that belong to:
• Developer Relationship Division (DRD) • Software and Services Division (SWSD) • Software Pathfinding and Innovation (ASPI) • Developer Products Division (DPD)
Paul Otellini
And everything else we need to function:
• Human Resources, Finance,
Renee James SSG
Ops and Facilities, and Biz Dev Christos Georgiopoulos DRD
Bill Savage DPD
Jose Luis Romanutti ASDC
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Don Harbert SWSD
Emerging Market Maturation HW and SW Development
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Vision : ASDC is a leading software Center of Excellence within Intel, on par with any other leading Intel site anywhere in the world. It has a definite technical and site identity, and contributes directly to strategic programs within Intel.
But in 5 years‌ ď Š Software and Services Group
But what does ASDC’s vision take?
Universities
Schools
Innovative Talent Families
Teams
Innovation is much more than good ideas, it is about execution …. 16
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Executing the vision: going beyond technology & engineering Research and Path finding
Architecture
Business Development
User experience design
Hosted services operation
• Argentina Software Pathfinding and Innovation team • 45 IDFs submitted; 13 accepted for patent filing; 1 trade secret; 0.95 IDF/employee/year • TSLRP 2010 finalists
• In house architecture teams for all our major projects • Contribute on key forums & projects
• Many employees with business degrees • Experience on business and Market Research, Financial analysis and business models
• Leverage external contractors for graphic design • Ramping up an in house user experience design team
• We operate a services scaling to millions of consumers (AppUp, IWD, MV update) • We have a team to provide 3 tier support for our products
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ASDC Projects in the Corporate Strategy Context
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Current ASDC Projects AppUpp
HPC
• AppUp Store • Strategy & Product Management
ASPI
Tango Creek Services Infrastructure
Software Path finding and Innovation
• iPhone Apps • AppUp Lab Porting • Smart Cloud • Parallel universe • Privacy on Social Networks Software and Services Group
Plataforma de Servicios
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The App Store
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Thank You
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What is in for Cordoba?
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What is in for the local community?
• • • • • •
High Profile Employment Repatriation of talent Business for local companies R&D in conjunction with local universities Sound competition for talent Enhance the brand of Cordoba as a Technology Hub
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Evaluating Locations as R&D Centers Destinations
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Back Up
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ASDC People ProfileHigh Maturity ASDCEngineering Experience
Development
• High Availability Carrier Grade Platforms > 3 Years 45%
experience. (Advance TCA, 3G UMTS Base Station and TMN Networks).
Up to 3 Years 28% Up to 3 Years
• Large scale Data Management and Distributed Systems experience (over 5TB sets & 100's of machines)
> 10 Years
> 10 Years 27%
> 3 Years
• Frameworks and tools applications experience. High Academic Profile
Quality
ASDCEngineering Profile PhD, 7%
• Experience achieving ISO-9000:2001 certification and CMM Level 5.
MS, 22%
Academic
ED
• More than 40 scientific publications
MS PhD
ED, 71%
(*) ED – Engineer Degree (5 years + thesis)
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Engineering Excellence Participation in Intel sponsored Technical events 10 9 Intel System Software Conference
8 7
IDFs 70.00% 60.00%
50.00%
SWPC
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40.00%
5
Research at Intel Day
4 3
30.00%
CTG Country Fair
20.00%
SES
10.00%
Interesting factoid: our innovation practice 0.95 IDFs per employee per year ratio compares favorably to Intel Labs’ 0.7
29.17%
2
1 0
63.64%
20.00%
0.00%
2007
2008
2009
2006
2007
2008
2009
Improving filings, not submissions ď Š
Steadily growing in depth and breadth
Participation in industry-sponsored technical events 14
National
International
13
12 10 8
22 29
6
5
4
4
2 0
2006
+50 technical articles Software and Services Group
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2008
2009
20+ Organizers and Chairs
ASDC Operations and Controls Risk Assessment Level
Center risk assessment conducted by SSG Controls, LAR risk and controls, IIRS, and local operations.
Definition Culture Experience Process Application
Maturity Grading: Repeatable ZERO high priority “A” gaps were found
1
2
Ad Hoc
Initial
3 4 Repeata Managed ble
Import/Export Controls
US Export Regulations: •
Argentina Regulations:
Argentina is considered a Non Controlled Country
HPC lab in ASDC since 2007
•
No restrictions to technology / software / hardware import
• •
International Conventions adhered National standards organizations: – –
Argentine Institute of standards and certification All electrical equipment must comply with IRAM certification
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