Transformation of ICT Industry in Hong Kong

How ICT Helps to Win the Game!

Charles MokInternet Society Hong Kong

2008.07.09

ICT in Hong Kong

From IT to ICT

Dominated by service providers The Pillar of Hong Kong's Pillar Industries

No. of Employment

Distribution of no. of

establishment in 2005

Distribution of no. of persons

engaged in 2005

Manufacturing of IT&T products 2938 1.6% 3.9%

Communication system installation and maintenance

3767 2.9% 5.0%

Distribution of IT&T products 25467 38.7% 33.8%

Telecommunications services 18309 3.1% 24.3%

Information technology services 24864 53.8% 33.0%

Total 75345 100% 100%

Source: Hong Kong as an Information Society 2007 (Dec 2007), Census and Statistics Department, HKSARG

Hong Kong's ICT Services Sector

Mainly composed of SMEs Georgraphic markets served:

Hong Kong (78.2%), Mainland (12.7%), other economies (9.1%)

89.0%

36.7%

29.2%

20.5%

17.5%

15.9%

13.6%

11.0%

7.8%

6.8%

0% 25% 50% 75% 100%

Software design and development

IT consultancy

Application support and maintenance

System integration and implementation

Web design and development

Hardware consultancy

Hardware support and maintenance

Wesite hosting services

Infrastructure consultancy and support

Hardware design and development

Source: Study on Hong Kong IT Services Sector 2006 , (Mar 2007), Hong Kong Productivity Council

ICT in Hong Kong

Banking and Finance Trading Transportation Manufacturing Shipping,

freight forwardingand logistics

E-government Digital entertain-

ment

ICT in Hong Kong

32.1%

25.1%

21.0%

21.0%

14.4%

11.9%

10.3%

9.1%

8.6%

7.8%

0.00% 10.00% 20.00% 30.00% 40.00%

Manufacturing

Business Services

Import/Export Trades

Wholesale & Retail

Banking & Finance

Education

Government

Logistics

IT & Telecommunications

Cross Industry

Source: Hong Kong IT industry Study 2005, (Nov 2005), Hong Kong Productivity Council

ICT Issues in Hong Kong

ICT Industry Positioning Market development Manpower supply

People Future and career ladder Professional status

Whole economy Missing layer of core competency Missed opportunities Missed responsibilities

Ten Policy Suggestions to SCED 2007.07.01

Manpower development e-Government using Web 2.0 Optimize industry support structure Government ICT procurement Maintain liberalized telecom regime Wireless and ubiquitous city Security and privacy Progressive copyright protection Sustained support for digital inclusion Freedom of information and PSB

Where do we go from here?

ICT Industry Transformation

From service provision to value creation for the whole economy

From job creation to environment building From looking at our own industry to the whole of

Hong Kong

Richard Florida's 3T's: Technology, Talent, Tolerance

Focus on the development of the Creative Class From Environment to People to Economy

From asking to giving

How ICT Wins the Game of Tomorrow?

From Web 2.0 to: Economy 2.0 – our businesses and economy Governance 2.0 – our government Sharing 2.0 – our people

Technology and the Internet are breeding Creative Minds

Building a Ubiquitous Hong Kong Responsible ICT

Green ICT Technology for the benefits of others

Bill Gates' Creative Capitalism

Are You Ready?

Thank You!

Charles MokInternet Society Hong Kong

mok@hknet.comhttp://www.it360.hk http://charlesmok.blogspot.comhttp://www.isoc.hk