Dubai Internet City Drives Growth in ICT Sector
Dubai Internet City has transformed in just over a decade into a vibrant business hub that attracts the average of 14 new investors every month.
It is believed that the Internet City has managed to attracted businesses despite the downturn in the economy accounting services in dubai. The year 2011 witnessed 169 newly registered businesses were registered and the totality of businesses now stands at about 1,400, according Malek Sultan Malek, the Managing Director of DIC as well as Dubai Outsource Zone.
Al Malek told Gulf News that since it was established in 2001, DIC has grown rapidly and is now home to more than 250 employees from 150 companies. The business park currently houses the majority of IT Fortune 500 companies. Al Malek said the expansion was an indication of the power of ICT sector in the United Arab Emirates. (ICT) sector
Dubai Internet City was launched in the context of the emirate's plan to use innovations to improve the ICT sector and create new solutions for businesses. Later, Dubai Media City, Knowledge Village, Dubai Studio City and Dubai Outsource Zone (DOZ) were added to the ambitious program that had the bold purpose of transforming the Dubai Emirate from a trade-based economy to one that relies on knowledge.
ICT is the key to economic dynamism
The Dubai Government sees ICT as key to bringing dynamism into the economy of SME companies that require assistance to grow. It recently held a seminar at Thuraya Hall within the City to discuss how businesses based in the UAE could benefit of ICT investments.
The keynote speaker for the "Art of ICT Investments for SME" was John Lincoln, the Vice-President of Marketing at Du the UAE-based telecom service provider and company partner for DIC. He spoke about how ICT investments can boost efficiency of human resources and improve business effectiveness, as well in generating more revenue.
Lincoln informed the delegates in Dubai: "Investments in ICT are of paramount importance to increase an SME's productivity. A minimal 10 per cent increase in the productivity of an SME can occasionally determine whether or not the business is sustainable and competitive.
"Additionally, economic and well-planned deployment of ICT is critical to the success of small- and medium-sized enterprises. A non-optimal selection of a solution, or a provider, can have negative consequences for an SME, which can be further compounded due to its limited financial and human resources. As most SMEs do not have the necessary in-house ICT expertise to undertake related projects on their own, it is imperative that an SME selects an ICT partner that is reliable, knowledgeable and offers the best value for money."
SME's are the Biggest Job Generators
SME contribute the majority of the GDP in most countries and are the most significant job generators in the global economy. Their impact on the economy, for instance in Dubai is significant. A recent study conducted by Du along with Frost and Sullivan, showed that 98.5 percent of UAE firms are SMEs. Companies in the UAE spend around AED9.8 billion for their ICT needs and SMEs make up 50% of that investment.
The increase in the DIC is also a good thing for investors in Dubai's growing property market. An economic boom suggests that the property market will remain steady over the long term.
Businesses moving to the DIC are also conveniently situated for some Dubai's luxury properties. Right across from the bustling area of business in TECOM on the Sheikh Zayed Road are the First Group's three hotel developments which include First Central, Metro Central and Grand Central. The top segment of the market performed particularly well in 2011, rising by 17.6 percent.