Speech by the Taoiseach, Mr. Bertie Ahern, T.D. at the ICT Ireland Annual Members Evening on Wednesday, 13 December, 2006 at 6.30pm
Speech by the Taoiseach, Mr. Bertie Ahern, T.D. at the ICT Ireland Annual Members Evening on Wednesday, 13 December, 2006 at 6.30pm
This annual members evening provides a great opportunity for you all to get together and swap notes on another successful year for Ireland's ICT Industry. I am delighted to be here and to join with you in wishing Michael Daly all the best as he ends his two year term as ICT Ireland's Chairman.
ICT Industry
The Information and Communications Technology (ICT) industry is the largest business in the world. It is global in its reach and touches almost every aspect of economic and social life. Not only is it central to modern production systems, it is key to the provision of services from financial to healthcare and is an important enabler in the entertainment industry.
By any measure, the ICT sector has been a significant driver in the Irish economy, whether in terms of employment, output or revenue generation. As well as being engaged in a range of business functions, it provides the enabling technology to other sectors. It has been a source of successful indigenous enterprise and start-ups and has contributed immensely to the economic success of the country. In short, the ICT sector in Ireland can boast of world-class industry achievement.
In terms of employment alone, the ICT sector provides jobs for over 90,000 people in 1,300 companies. It is also a major source of tax revenue with overseas ICT companies in the IDA portfolio paying €518 million in corporation tax in 2005. ICT companies here operate at every stage of the value chain from manufacturing to customer contact and from research & development centres to European headquarters.
Knowledge Society
Of course, our ultimate goal is to ensure that we harness the full benefit of technology for our economic and social development. To this end, my colleague, Minister of State Tom Kitt is currently working on the development of a new Action Plan on the Knowledge Society. This plan will recognise the need to use technology in the drive towards knowledge economy activities and the need to provide for greater inclusiveness. This is also recognised in 'Towards 2016', the new Social Partnership Agreement, which sees increased investment in human resources and in innovation, particularly around ICT application and use. These are critical building blocks for our development as a knowledge economy, which, in turn, is vital if we are to enhance Ireland’s competitiveness.
A key development in this regard has been the launch by the Government in June of this year of the Strategy for Science, Technology and Innovation. This Strategy is based on a vision of placing Ireland on the global map in terms of the excellence of our research and its application for the benefit of society. It will play an important part in ensuring that we have the appropriate skills here for the future. The National Development Plan which will be published in January will set out the capital investment targets under this Strategy up to 2013.
Ensuring that we have people with the right skills at all levels will be vital to our success and I must compliment ICT Ireland for the great work that it has done in promoting the development of leading skills in Ireland.
Your ICT Ireland Champions Programme in particular has been an effective way of promoting careers in the ICT industry to secondary school students.
Home Computing Initiative
It is also important that we make it as easy as possible for everybody to become comfortable with technology and use it to their benefit. With this in mind, on 22 June last, I signed a Memorandum of Understanding with Craig Barret of Intel to explore putting together an initiative to promote greater PC ownership and engagement with technology in society.
Arising from that, my Department, Intel and other ICT industry players are now working together to scope out this proposal. The resulting initiative will focus on making it easier for people to get what they need for what they want to do. It will take account of their circumstances and whether they are totally new to technology or have some experience and want to do more.
Broadband
Improving our connectivity countrywide is also a central concern in ensuring our evolution as a Knowledge Society. Things are progressing on this front and Ireland is one of the fastest growing broadband economies in the European Union. Up to mid September 2006, there were over 410,000 broadband subscribers in Ireland with 140,000 subscribers being added during 2005 and a further 140,000 up to mid August 2006.
The Metropolitan Area Networks (MANs) Programme, which deploys fibre networks in towns with a population of over 1,500 people, has completed Phase I, comprising 27 towns, and Phase II, with 90 towns, is under way. Under Phases I and II of the Group Broadband Scheme, 162 schemes have been approved and 121 are operational with 6,000 subscribers.
However, the Government is aware that there are still issues around the provision of broadband for public offices, businesses and citizens living in under-served areas and remote rural areas. In order to address this, my colleague, the Minister for Communications, Marine and Natural Resources, Noel Dempsey will implement a Nationwide Broadband Scheme during 2007/2008 to target this deficit. This
€10 million initiative will involve funding coverage in those areas where it is not commercially viable for the private sector to do so. This will bring us closer to our goal of having every reasonable request for broadband met at a reasonable price.
Future
I am confident that the ICT Industry will continue to make a significant contribution to our economy. Undoubtedly, we are facing into a period of major change arising from the convergence of computing, communications and consumer electronics. But the clear message is that this sector continues to rise to the challenge in rapidly changing economic times as it adjusts to global industry trends.
Conclusion
I would like to congratulate ICT Ireland on its work in representing and promoting the interests of the high tech sector. Through the hard work of your members, and particularly your eight working groups, you are making a real contribution to the success of this sector. Your ambition to ensure that Ireland retains and extends a global leadership role in information and communications technology is certainly one that I share.
I know that you are all grateful to Michael for his hard work over the past two years and I would like to wish every success to your incoming Chairman, Lionel Alexander, Vice President of Hewlett Packard.
It only remains for me to wish everyone here an enjoyable evening, a very happy Christmas and yet another bumper year!
ENDS