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Expert: Armenia falls behind in using IT due to monopolistic structure

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#1 gamavor


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Posted 20 May 2016 - 01:58 PM



YEREVAN. - Armenia strongly falls behind in using IT in economy, CEO of the Union of Information Technology Enterprises (UITE) Karen Vardanyan told journalists Wednesday.

In his words, the main reason is the structure of the countrys economy: it has small number of medium-sized enterprises competing with each other, and they are not strong enough to be able to order IT-solutions.

Our main resource is the state, which orders systems of electronic management: we have established a consortium of 15 companies, which mainly cover the needs of the given market. The next resource is the army, and we saw that the IT application was not at the proper level here, he said.

The main strategic problem lies in the structure of the Armenian economy, which should be changed. Its reasonable to use IT solutions if your work is in a competitive sphere, he said adding that oligarchs and monopolists are interested by IT solutions only from the standpoint of the companys security and workers control.

However, more serious solutions which will give competitive advantages arent demanded since the monopolists have nobody to compete with. Thus, according to Vardanyan, the issue of using IT can be solved only through changing the structure of the economy towards an innovative one.
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#2 onjig



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Posted 25 May 2016 - 03:19 PM

Not quite sure what he, in the article, meant. 

#3 Yervant1


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Posted 26 May 2016 - 09:31 AM

It says that IT companies are not challenged for new ideas since monopolies use their IT resources only for securing their sites and spying on their employees instead of using new IT resources for competing against other companies.  

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