A City Ready for

Innovation

Buenos Aires City Technology District

Ministry of Economic Development
September 2008
Buenos Aires
JEFATURA Technology
DE GABINETE DE District
MINISTROS
Ministry of Economic Development
 Argentina

Population: 40,677,348
Labor Force: 16.03 million
Unemployment Rate: 8%
GDP: $260 billion USD
GDP Real Growth Rate: 8.7%

Buenos Aires Technology District

Ministry of Economic Development
 Buenos Aires City

City’s Population:
3,034,161

Metro Area’s Population:

13,044,800
GDP:
$33.4 billion USD
Autonomous Government:

Buenos Aires Technology District

Ministry of Economic Development
 Buenos Aires represents…

• 19% of Argentina’s GDP

• 2.5 times higher per capita GDP
than country’s average
•70% of Argentina’s IT and
software companies
•Most of the leading IT companies of
the world are located in Buenos Aires

Buenos Aires Technology District

Ministry of Economic Development
 Argentina’s IT Market

2000
1800
(in millions of US dollars)

1600
1400
1200
1000
800
600
400
200
0
2002 2003 2004 2005 2006 2007
Hardware Software Services Supplies

Buenos Aires Technology District

Ministry of Economic Development
 Internet Access
3.000.000
2.500.000
2.000.000
Users

1.500.000
1.000.000
500.000
-
Total Dial Up Broad Free
Access Band Users
Ciudad Autónoma de Buenos Aires
Rest of the Country

SOURCE: “Market Information.” Cámara de Informatica y Comunicaciones de la República Argentina.

Buenos Aires Technology District

Ministry of Economic Development
 Internet Users
1200000 42%
1000000
Number of Users

800000 28%

600000
400000
200000 7% 7%
4% 4% 3% 3% 1% 1%
0
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SOURCE: “Market Information.” Cámara de Informatica y Comunicaciones de la República Argentina.

Buenos Aires Technology District

Ministry of Economic Development
 Buenos Aires Education

Illiteracy Rate: 0.5%

Enfoque General:

Scholarship Rate: 96.4% of children

age 6-17 attend school

Institutions of
Higher Education: 252
Universities: 39

Beginning in 2009, new legislation

requires English classes for all students
starting in first grade.

Buenos Aires Technology District

Ministry of Economic Development
 Education Figures

• Students in Argentina’s Universities 1,583,376

• Students in Buenos Aires’s

569,442
Universities

• Students doing postgraduate 6,000

studies in IT in Argentina

• International students in Argentina 26,000

Source: “Anuarion 2006 de Estadísticas Universitaria”, Ministry of Education of Argentina

Buenos Aires Technology District

Ministry of Economic Development
 IT Graduates
Projection of University Degree Holders
with IT Majors in Argentina Degrees Chosen in
Argentina
Law
3100

3000
Medcine
2900

2800 Other

Accountancy
2700

2600 Architecture
Psychology
2500 IT Dentistry

2400
2007 2008 2009 2010

Source: Cessi using data from the Ministry of Education of Argentina

Buenos Aires Technology District

Ministry of Economic Development
 Why ITC in Buenos Aires?

•Dynamic and Creative Economy

•World-class educational institutions

•Cost-Effective human resources

•Tax Incentives for businesses
locating in the Technology District
•Ideal location. Privileged time zone
•Local Government committed
toward ITC development in the City-

Buenos Aires Technology District

Ministry of Economic Development
 Why ITC in Buenos Aires?

•Potential monthly rent of m2:

USD$10

•Net Monthly Wage of BPO

agents: USD $812 (Analyst)

•Net Monthly Wage of CC agents:

USD$616 (Telemarketer)

•Net Monthly Wage of IT agents:

USD$ 1294 (Analyst)
Source: IPLAN, Accenture and Teletech, 2008.

Buenos Aires Technology District

Ministry of Economic Development
 Buenos Aires City Technology District
ƒ Urban project based upon models
successfully implemented worldwide

ƒ Location: South of the City

•Room for expansion and new

construction
•Infrastructure and logistics
options already in place.

Buenos Aires Technology District

Ministry of Economic Development
 Essential Facts of the
Technology District
Subway
• Covers nearly 500 acres Network

• Located close to Downtown

(20’)

• Excellent transportation
access:
– Numerous bus routes
– Roca and Belgrano Sur
railroal lines
– 5 subway stations (“H” Line)

Buenos Aires Technology District

Ministry of Economic Development
 Incentives

• 10 year tax exemptions for:

¾Municipal tax
¾Turnover tax
¾Contouring and Construction tax
¾Stamp taxes

• Preferential credit lines for

companies and employees
from the Banco Ciudad (Bank
of the City of Buenos Aires)

Buenos Aires Technology District

Ministry of Economic Development
 A City Ready for
Innovation:

Buenos Aires

Buenos Aires Technology District

Ministry of Economic Development