Ireland is the largest
exporter of software goods in the world. The USA and Ireland are the main
exporting countries, accounting for almost two-thirds of OECD exports of software
goods in 1998. There are currently 840 software companies employing over 30,000
people in Ireland. The top ten independent software companies in the world have
significant operations here. It is an export-oriented industry with over 90% of
domestic production sold abroad.[1]
Over 140 overseas software
companies employ 15,000 people and use their operations in Ireland to carry out
a broad range of activities including core software development, eLearning,
product customization, software testing and fulfillment. Software development
has a range of applications in mobile communications, electronics, engineering,
enterprise resource planning, database management, B2B solutions software,
banking, insurance solutions and Internet security systems. Consultancy service
and systems integration companies use Ireland as a base to support
international business clients in design development, customization and
implementation of total-business systems and products. An increasing number of
companies are also providing technical support to customers worldwide via
toll-free support centers located in Ireland.
A comprehensive list of the major software companies conducting business
in Ireland can be found at: http://www.idaireland.com/industry/software_companies.asp?industry=software
Software development/goods
is one of Ireland’s fastest growing business sectors with growth of over 7%
each year between 1995 and 2000. Growth slowed in 2001 in line with world
markets. There is a rapidly growing cluster of Irish technology companies and
Ireland has become a significant world center because of its skilled, highly
educated workforce (see IT Workforce), an excellent supply infrastructure, cost
competitive environment and sophisticated telecommunications network (see
Telecommunications). Software output makes up 11% of the Gross Domestic Product
of Ireland.[2]
Ireland has a strong
computer-manufacturing base. As well as the major US manufacturers that are
located in Ireland, there is also a strong indigenous sector consisting of both
small specialized firms operating at the forefront of software development
technologies and larger companies that have successfully targeted niche markets
world-wide.
Within the $3.6 billion
Irish information and communications technology (ICT) market, the principal
market segments are as follows:
§
Telecommunications
services: $1.5 billion
§
Computers &
peripherals: $1.0 billion
§
Computer software: $0.6 billion
§
Telecommunications
equipment: $0.3 billion
There is a strong growth
demand forecast for software sector labor during 2001-2005, requiring an
estimated 4,400 computer science professionals and 1,600 computer science
technicians each year. These
assumptions are based on Irish government growth projections for the industry
of 25% per year with software demand across the nation’s economy of 10% per
year, on average. Ireland attributes
the increased demand forecast on the following:
§
Emergence of new IT
sectors (digital media, Internet data centers)
§
Growth in eBusiness and
increasing business IT penetration[3]
Total demand for engineers
has remained constant since 1998.
According to Ireland’s Expert Group on Future Skills Needs (EGFSN),
current average annual demand for 2001-2005 is forecast to be an estimated
2,500 engineering professionals and 840 engineering technicians. This is an increase in overall forecast from
1996 among engineering professionals, largely attributed to the increased
investment and expansion by companies in high value-added activities such as
Integrated Circuit (IC) design.[4]