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Romania
~Alison Abraham~ ~Steve Koreck~ ~Thomas Maruszewski~
There’s more to Romania than just:
DRACULA!!!!
History - Timeline
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13th Century – Walachian/Moldavian principalities emerge
14th – 19th century – Region aligned with Hungary & Ottoman Empire
1878 – Treaty of Berlin recognizes Romania’s independence
1881 – Kingdom of Romania formally proclaimed
1945 – Communist-dominated government installed
1967 – Ceausescu becomes President of the Council of State
1989 – Countrywide protests begin in Timisoara
• Ceausecu and wife are executed
• National Salvation Front takes over government
• 1990 – National Elections Held
Life in Romania
Geography
Government
People
Communication
Economy
Geography
IT in Romania
Yesterday & Today
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1997 – Approx. 25,000 Internet Users
1999 – Approx. 650,000 Internet Users
2003 – Over 1 Million Internet Users
1999 – 28 Internet Service Providers (ISP)
2003 – Over 100 ISP’s
Comparison
• In 2002 – Over 50% of Population has Cell Phone
• Less Than 5% have Personal Computer (PC)
• 1997 Price of PC More than Half a Year’s Salary
• 2000 Price of PC was Nearly $800 (USD)
• Internet Access: $25-$60/month (dial-up access)
• Plus $2/hour Local Call
Television
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Cable TV is Booming in Romania
50% of Population has TV
48% have Cable
High Speed Internet (Cable Modem)
– Kappa (ISP)
Telephones
• Existing Lines are Poor in Quality
• But…
Romania Laying Groundwork for
Fiber Optic Lines
Laying Groundwork in Other
Ways…
EOS Educating for an Open Society
Today in Romania
• Many Internet Services that offer Business
Solutions in IT World
• Romania Encourages External Investment
• 130 Countries have Invested in Romania
Is Romania a Good Place to
Invest in IT??
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Environmental Parameters
Economic Stability
IT Infrastructure
Industrial Policy
The Master Plan
Environmental Parameters
• Political/Social
– Premier Adrian Nastase (elected Nov, 2000)
– Bureaucracy/Corruption Still Affects Efficiency
– Widespread Poverty
• Economic
– 3rd Year of Stable Economic Development
– GDP Grew by 5% in 2003, Forecast More Growth 2004
– October, 2003 expected to sign 1st Joint Program with
IMF
IT Infrastructure
Industrial Policy
• Long-Term Telecommunication
Development Program 1991-2005
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Extension of Analogue Networks
Intro to Digital Technology
Digital Microwave Links/Fiber Optic Cables
High Speed Data Transmission Network
Industrial Policy Con’t
• National Broadcast Council
– Independent Regulatory Body
– Issues Licenses for Broadcasting companies
• Ministry of Communications
(Technical Authorizations)
• General Communications Inspectorate (GCI)
– Enforces/Monitors Regulations
– Similar to FCC
The Master Plan
• Intensive Development of
Telecommunications Sector
• Quantitative Targets for 2005:
– Main Line Penetration of 30 lines per 100
Inhabitants
– Nearly 7 Million Lines
– Full Completion of Network Digitalization
Reasons Against Investment
• High Poverty Rate (44.5%)
• 40% of Labor Force is Agricultural
• Major Industries:
– Mining, Timber, Metallurgy
• Limited Access
• Under-Developed Infrastructure
Reasons for Investment
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Developing Country (Access is Improving)
Sound Economic Policies
Nastase’s Focus on Foreign Investment
98.4% Literacy Rate
Gini Index 31.1 (vs. 40.8 for USA)
Involvement with the IMF
Many Potential Opportunities
Should We Invest??
YES!
Resources
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http://www.cia.gov/
http://www.students.missouri.edu/~romsa/romania
http://memory.loc.gov/frd/cs/rotoc.html
http://www.ici.ro/romania
http://www.romania.com
http://www.FT.com