| IT Industry competitiveness Index 2011: The Netherlands drops 5 spots. Now ranks 10th, BSA |
| Thursday, 13 October 2011 12:11 |
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UK Makes takes the spot of the Netherlands in Global IT Competitiveness Study
London, 27th September 2011 — The UK has advanced one place in the Business Software Alliance (BSA) 2011 Global IT Industry Competitiveness Index to 5th position since the index was last published in 2009. Continuing to outperform the other large European economies including Germany, France, Italy and Spain, technology and content industries now contribute £102 billion in gross value-added to the UK economy, according to the Council for Industry and Higher Education. Updated for the fourth time since 2007, the index benchmarks 66 countries on a series of indicators covering the critical foundation areas for IT innovation; overall business environment, IT infrastructure, human capital, research and development (R&D), legal environment, and public support for industry development. This year's index finds that countries traditionally strong in IT are maintaining their positions of leadership in part because advantage begets advantage — they have built up solid foundations for technology innovation through years of investment, and they are continuing to reap the benefits. But the global field of competition is becoming more crowded as new challengers, especially in developing economies, raise their games to meet the standards the leaders have set. Image courtesy of BSA.org India and China currently lie mid-rankings but both countries have gained ground in the Index since its inception. Having built competitive IT industries in the services and manufacturing sectors, both countries face a threat to their low-cost labour advantage as wages rise and commoditising businesses move to other emerging markets. As innovation gathers pace, the enforcement of intellectual property rights is likely to improve. Europe continues to look attractive in terms of IT infrastructure and the legal environment, among other factors. However, the continent is failing to keep pace with other regions when it comes to human capital with suggestions rigid labour market regulations and a poor climate for investment in next generation broadband networks could slow the development of the IT sector in the future. The biggest movers in this year's Index compared to the previous edition in 2009 include Malaysia, which vaulted 11 spots in the overall rankings because of a surge in research and development activity, and India, which leapt 10 spots on the strength of its robust research and development and dynamic human capital environment. A number of other countries — including Singapore, Mexico, Austria, Germany and Poland — posted strong overall gains this year by showing new levels of strength across the board in all IT foundation areas. "As the global economy starts to recover, it is more important than ever for governments to take a long-term view of IT industry development," said BSA President and CEO Robert Holleyman. "Policy and business decision makers cannot just look at this issue on an annual basis, or they risk being left behind. They must assess the next seven to nine years, and invest accordingly, in order to make substantive gains in IT competitiveness." The 2011 IT Industry Competitiveness Index is available for download on BSA's website along with interactive ranking tables, detailed country summaries, industry case studies, and video interviews with IT experts. For more information, please visit http://globalindex11.bsa.org/country-table/ |
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