Singapore
ICT MARKET ANALYSIS
OFFICIAL PROGRAMME
SINGAPORE ICT MARKET ANALYSIS This report provides an overview of the Singapore ICT market with focuses on 5 sub-sectors that Swiss ICT companies have competitive advantage. They are, namely, e-Government/e-Health, infocomm & mobile security, cloud computing, mobile solutions & apps; and digital media/online/gaming.
Essential market information and recommendations are included to falicate the necessary market access. Direct and indirect market entry strategies are discussed based on risk factors.
The report also offers an inside view of the Government ICT polices that drive future developments of ICT industry and its economy. Language: English Number of pages: 300 Author: Swiss Business Hub ASEAN Singapore In corporation with Mr Ng Ek Heng
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Content
1. EXECUTIVE SUMMARY _______________________4 2. INTRODUCTION _____________________________6 3. E-GOVERNMENT/E-HEALTH ___________________9 4. INFOCOMM SECURITY/MOBILE SECURITY _____11 5. CLOUD COMPUTING ________________________13 6. MOBILE SOLUTIONS AND MOBILE APPS _______15 7. DIGITAL CREATIVE MEDIA/ONLINE GAMING ____17 8. SINGAPORE- 2013 AND BEYOND _____________19 9. SWOT ANALYSIS ___________________________21 10. ACCESSING THE SINGAPORE ICT MARKET ___22 10.1. Tax and Regulations ______________________ 22 10.2. Trade Events ___________________________ 22 10.3. Professional/Trade Bodies __________________ 23 10.4. Government ___________________________ 23
11. RECOMMENDATIONS ______________________24 11.1. Success Factors __________________________ 24
12. MARKET ENTRY STRATEGIES _______________26 12.1. Indirect Entry and Risks ___________________ 26 12.2. Direct Entry And Risks ____________________ 26
13. APPENDICES _____________________________28 13.1. References _____________________________ 28 13.2. Highlights Of Incentive Schemes _____________ 28 13.2.1. Product Development and Innovation Grants ____ 28 13.2.2. Technology Grants ______________________ 29
1. Executive Summary ICT companies are pivotal across all sectors of Singapore’s economy. Singapore has an open environment encouraging competition where foreign infocomm companies and talents build on, complement and work hand-in-hand with local ICT businesses, and forge alliances with government, research and educational institutions. This report reviews five of the ICT clusters providing updates and highlighting opportunities in these dynamic sectors. Apart from e-government and e-health, the other four sectors are infocomm security, cloud computing, mobile solutions and apps, and creative, multimedia, video and gaming sectors. Led by the Infocomm Development Authority (IDA), Singapore’s e-transformation began with its civil service computerization programme in 1980. It gave rise to improved efficiencies from consolidation of computing resources and led to the creation of datahubs as well as first generation online government services such as TradeNet, LawNet and MediNet. Policy leadership and a clear cross-sectoral vision, coupled commitment to invest in an ultra-highspeed national broadband, are factors contributing to the country's success in maximising the economic and social returns from ICT. Highlights of its achievements include a world’s first in implementing a national electronic health record and leveraging on the Internet and mobile apps to facilitate access and collaborations between government, businesses and citizens. The fast growth in mobility, social media and cloud adoption do present export opportunities for infocomm security companies. But these new technology platforms have also brought into focus many concerns about the need for confidentiality, integrity, availability and protection across all levels and layers of the infocomm system. ICT security companies with capabilities to address these needs, in addition to offering solutions to strengthen cyber eco-system and national security programmes, will be well placed to capitalize on the opportunities. The recent acquisition of Singapore-based DS3 by Gemalto is an indication of local technology innovation that has gained the interest of global companies. DS3′s main product is its ‘authentication server’ that can be easily integrated with existing hardware and software systems. At the time of acquisition in 2013, it has 100 customers, more than half of which are banks, and the rest are businesses and government department. With international connectivity and a vibrant ICT community, as well as reputation as a trusted communications hub, data centre hosting and cloud computing are two thrusts in Singapore’s aim to level up its ICT services. The availability of cloud has positive impact on disaster recovery and business continuity which are crucial for many companies, especially the financial sector. Not only has it brought down the cost but such services can simplify disaster recovery processes by utilising cloud-based software to automate entire recovery and migration procedures.
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Singapore offers local businesses incentives to adopt cloud computing. SaaS solution providers with capability to offer customized services can work with local SMEs which may qualify for various types of support from the IDA under several incentive programmes, one of which is ISPRINT. With a population of 5.3 million, Singapore has a mobile phone penetration rate of 150% putting the number of handsets, predominantly smartphone at 8 million. The high smartphone usage makes Singapore an ideal test-bed for mobile apps which has become a thriving industry. Singapore foresaw two big technological trends arising from the blurring of lines between platforms and devices labelled as Interactive Digital Media (IDM). The first is the digitization of media content while the second is the emergence of new ways for media consumers to interact with content. The IDM sector provides employment for 24,800 in the arts and culture sector, 47,300 in the design industry with 66,000 in the media sector, while accounting for US$5.9 b in 2011. As an advanced infocomm economy, Singapore no longer looks for incremental benefits from ICT. Swiss Infocomm companies that can transform the competitiveness of businesses through ICT or create new values from innovative use of information are well placed to export their solutions in a market that is known to be transparent. Exchange rates: US$1:S$1.2424 1CHF:S$1.2829
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