On August 18, 2020, IT Park took its next step towards attracting foreign orders to Uzbekistan. It registered its representative office in the US, Delaware.
The representative office is opened to promote products and services of company residents in international markets, attracting foreign investment in start-up projects, increasing the volume of outsourced services provided by local companies and freelancers.
Why the USA?
Today, the United States is the largest IT market in the world, so named by CompTIA (Computing Technology Industry Association of America), the volume of the US market in the information technology in 2019 amounted to $1.7 trillion in 2019, which is equal to 32% of the total global information technology market. Imports of IT services amounted to 152.3 billion US dollars, which is 68% of the entire global outsourcing market. Currently, the leading exporters of IT services in the US market are India, China, Malaysia and Brazil.
The opening of the first IT Park representative office in the United States was also since the world's largest IT companies are located in the United States, which need to reduce the cost of their products by attracting IT companies from developing countries.
Goals of the IT Park representative office in the USA
The primary mission of the representative office is to create favourable conditions for the export of local products and services to the US markets.
The representative office performs tasks to promote products and services of local companies in the United States, conduct advertising campaigns, search for orders, and assist in the conclusion of contracts between customers from the United States and IT Park residents.
The representative office also acts as a guarantor for both parties – for the customer on the quality of work performed, for the contractor on payment for the work performed. For this purpose, insurance and guarantee systems that meet international standards will be introduced.
It should be noted that several IT Park residents have already successfully mastered the markets of the USA, Europe and the CIS. Thus, the total volume of exports made by residents in the first half of 2020 amounted to more than 6 million us dollars.
Another feature of the representation is that a person living in the United States (a US citizen or our compatriot) who is familiar with the IT market in the United States, has a wide experience in the IT sector in the United States, and has business relationships will be selected for the role of IT Park representative.
It is planned that the work of the IT Park representative office will be carried out both through a representative and our compatriots in the United States, especially with those who conduct their activities in the IT field.
The Advantages of Uzbekistan
As the successful experience of countries exporting IT services indicates, the key factors in the development of foreign markets is the low cost of production and the availability of a sufficient number of industry specialists in the country.
In this regard, all conditions have been created in Uzbekistan. Thus, thanks to the measures taken by the state, IT companies in Uzbekistan are entirely exempt from paying all taxes, and they are granted customs privileges when importing products. All this helps to reduce the cost of products and services of local companies, making it competitive in foreign markets.
The development of human capital is a priority of the IT Park's activities - without qualified personnel, it is impossible to increase the export of IT services to the country.
To create an IT specialist's generation, IT Park:
Export of IT services is impossible without the necessary infrastructure and working conditions for specialists. Thus, for technical support of international platforms in 24/7 mode, you need an uninterrupted power supply, high-speed Internet and the necessary equipment.
IT Park branches are being opened in the regional centers of the country (currently, three branches have already started full operation), equipped with all the necessary conditions for the work of IT specialists in order to solve this problem.
As a result of the implementation of this strategy, by 2023 it is planned to:
- increase the export of IT services to us $100 million;
- train more than 500 thousand qualified IT personnel;
- create more than 15 thousand new jobs in the IT sector.
To conclusion, it is worth noting that the representation of IT Park in the United States is only the first step on the way to attracting foreign IT orders. The opening of such representative offices is also planned in other countries, such as Australia, Japan, the United Arab Emirates and the European Union. We are open to cooperation with our compatriots all over the world to promote and develop the IT industry and increase the investment attractiveness of Uzbekistan as a whole.