Armenian IT sector is going through difficult times - every tenth  company is on the verge of closure

ArmInfo.Armenia's IT sector is having a hard time due to the global crisis. Every tenth IT company in the country was on the verge of closure due to a decrease in foreign orders. This was announced today at an online conference of  the Club of Economic Journalists by the executive director of the  Union of Advanced Technology Enterprises of Armenia Karen Vardanyan.  

According to the expert, the global economy is experiencing an  unprecedented recession and this will affect not only various  industries, but will also change the whole situation in the global  economy and will respond to reformatting the structure of the global  IT industry. Vardanyan recalled that if, as a result of the financial  and economic crisis of 2008-2009, despite the economic downturn by  15% and the fall of some industries by 30-40%, the IT industry in  Armenia increased by 14%. Now the picture is completely different -  the industry will certainly sink, because its main share falls on the  so-called out-sourcing.

Nevertheless, according to Vardanyan, Armenia has a great potential  for IT development in terms of personnel potential. <Already after  4-5 years, new youth will be involved in the industry in the amount  of 2-3 thousand people, who today are actively involved in  educational programs for schoolchildren within the framework of  "Armat" clubs operating across the country. However, Vardanyan  believes that the state does not yet sufficiently support this area.  In addition to some tax incentives and grants for startups, the state  actually contributes very little to its development. According to the  expert, the industry does not even need assistance as much as  directly involving them in solving the problems of the economy and  the state. This applies not only to the development of the  military-industrial complex, where serious developments are already  underway, but also to state administrations and the solution of  economic problems.

Vardanyan cited the experience of Belarus as a successful example,  which extended significant benefits not only to startup projects, but  also to existing companies. This includes significant tax breaks and  facilitated access to finance and a number of other government  programs. <Unfortunately, our elites for many years were not engaged  in the development of the sphere as such, but in its PR. They didn't  like the chicken as such, which is capable of laying golden eggs, but  what kind of gait this chicken has,> the expert noted with irony. As  a result, the most successful developments of Armenian specialists,  which already have up to a billion users, bring nothing to Armenia,  as these companies are registered. usually abroad, where they  generate profit. There abroad, in the USA and Canada, they receive  large tax preferences, have access to low-cost financial  technologies, and are able to promote their products on a global  scale. Vardanyan emphasized that the state needs to revise its  strategy for the development of IT technologies, engineering,  robotics, expand tax and financial preferences, strengthen the  educational element, not limited to large cities, especially since  such an opportunity exists.