Notes for Editors

VICTORIAN Information Technology and Multimedia companies will benefit from a landmark co-operation agreement between Multimedia Victoria and Enterprise Ireland, Mary Harney, Tánaiste and Minister for Enterprise Trade and Employment announced today (Tuesday 9th February, 1999) in Melbourne, Australia. She was leading a group of six Irish technology companies who were seeking business opportunities in Australia.

"Multimedia is the fastest growing sector of Irish software and Ireland is well positioned to become a world centre for both content development and service provision. Each year, for the past four years, the number of multimedia companies in Ireland has increased by over 10%" the Tánaiste said. Irish multimedia software companies provide specialisation in web services, localisation, content conversion, video conferencing and other areas. They have built export markets in Europe, North America and Asia. There are now over 100 indigenous and 20 multinational companies in the sector, and their combined annual sales last year were equivalent to close on A$400 million, 75% of which was exported.

"The future prospects for the Irish software industry are excellent and we have established a prime positioning and reputation in one of the biggest and fastest growing global industries. It is estimated that by the year 2002 total Irish software exports will be one of Ireland's top three export categories, running at an annual value equivalent to more than A$20 billion. The exports of Irish-owned companies will increase fivefold to the equivalent of !$4 billion. Employment in the industry will double to over 40,000".

Victoria State Acting Premier Pat McNamara said the agreement would enable Victorian and Irish companies to leverage off each others' strengths, opening up opportunities for Victorian companies in Europe and for Irish companies in the Asia-Pacific.

"The agreement will also promote the transfer of technology between Ireland and Victoria."

Mr McNamara said the agreement was a major coup for Victoria, with Ireland regarded as the European hub of IT and multimedia.

"The deal will allow Victorian companies to leverage off Ireland's proven reputation in IT and multimedia and secure joint venture partners in Europe," he said.

"It will also provide opportunities to exchange information and industry sector knowledge between two agencies which have successfully operated in different regions".

Mr McNamara said Ireland would also benefit from Victoria's reputation as the IT and multimedia capital of the Asia Pacific.

"Victorian companies have a justifiable reputation for innovation, creativity and professionalism in technology-based industries" he said.

"This fact has helped Victoria attract some of the world's biggest IT and multimedia companies including NEC, Ericsson, Fujitsu, Oracle, IBM, Nokia, Siemens, Nortel, Unisys, Hewlett-Packard and Ascend Communications.

In the past four years Victoria has attracted investments worth more than $2 billion, directly creating about 10,000 jobs in the multimedia and IT sector.

• Victoria has the world's first Minister for Multimedia, the Hon Alan Stockdale (who is also the State Treasurer).
• Victoria has attracted $2 billion in IT investment in the past four years, leading to the direct creation of more than 10,000 jobs.
• Of the 50 most innovative companies in Australia, 21 of them are based in Victoria. Of the top 10 most innovative companies, six are based in Victoria.
• Victoria has a higher number of scientists and engineers engaged in research, a rate of 50 per 10,000 of the population, than Singapore (30 per 10,000), South Korea (37 per 10,000), Taiwan (38 per 10,000) and the United Kingdom (45 per 10,000).
• Australia has the second highest rate of personal computer deployment among APEC nations. The highest is the US (37 for every 100 people), followed by Australia (32 per 100). This compares to Singapore (22 per 100), Japan (13 per 100), Korea (14 per 100) and Malaysia (4 per 100).
• Australia is the 12th largest economy in the world. When combined with New Zealand, Australia is a larger economy than all of South East Asia combined.
• Australia is the second largest market (after Japan for IT&T goods and services in the Asia Pacific.
• Australia's IT market of US$7.2 billion, compares favourably with China (US$11 billion), South Korea (US$10 billion), Singapore (US$2 billion) and Malaysia (US$2.2 billion).

Heads of Agreement

Enterprise Ireland, an agency of the Government of Ireland, and Multimedia Victoria, in the Victorian Department of the State Development formally agree to co-operate for the mutual benefit of their respective indigenous companies.

This agreement is based on the fact that the aims of Enterprise Ireland and those of MMV are similar, in that they seek to assist the development and growth of our respective industrial sectors, and in recognition of the fact that through cooperation between the two parties, these aims can be facilitated.

The two parties hereby agree to work together wherever such cooperation advances the specific and general aims of both organisations:

Such activities may include, but are not limited to:

• Promotion of technology transfers between Irish companies and companies and companies from the State of Victoria.
• Identification and promotion of business partnership opportunities between companies from each territory.
• Cooperation in seeking joint ventures between Irish and Victorian companies, to be based in either territory.
• Identification of areas of common interest to the two parties and their clients.
• Hosting of missions to promote partnerships, technology transfer and join ventures.
• Exchange of information and industry sector knowledge between Ireland and Victoria to mutual benefit.
• Where specific projects of mutual benefit are identified, the parties may agree to the short term exchange of officers to facilitate the implementation of such projects. The subsistence and travel costs for such visits will be borne by the party sending the officer.
• Development of other co-operative activities in the future where mutual benefit is perceived.

This agreement is undertaken as a means of achieving the respective goals of both parties to the agreement and is undertaken in a spirit of friendliness and co-operation, without recourse to legal process.

Visiting Companies to Victoria, Australia Baltimore Technologies (Encryption) Cylon Controls (Smart Building security) FM Systems (Software for online Insurance underwriting) Spectel (Audio-Conferencing software and hardware) WBT Systems (Software for building online education and training) Millenium Systems (Y2K Solutions)