Egypt Boosts Tech Industry: ITIDA and Siemens Partner to Expand Electronic Design and Engineering Operations

Egypt’s ITIDA and Siemens Digital Industries Software sign MoU to elevate electronics sector, create jobs, and boost competitiveness.

Prime Minister Mostafa Madbouly witnessed the signing of an MoU between the Information Technology Industry Development Agency (ITIDA) and Siemens Digital Industries Software, at the headquarters of the Council of Ministers in the New Administrative Capital.

The signing ceremony was attended by the Minister of Communications and Information Technology Amr Talaat and the Executive Vice President, Electronic Design Automation Global Sales, Services and Customer Support at Siemens Digital Industries Software Mike Ellow.

The MoU is geared towards forging a strategic partnership to expand Siemens’ operations in Egypt, particularly in electronic design and engineering research and development (ER&D). It was signed by ITIDA CEO Ahmed Elzaher and Vice President, MENA, Siemens EDA, Siemens Industry Software Hazem EL Tahawy.

In his remarks, the Prime Minister referred to his recent visit to Siemens Digital Industries Software office in Egypt and lauded the proficiency of Egyptian talents working in the IT Outsourcing (ITO) and offshoring field. Madbouly praised the effectiveness of the company’s infrastructure in Egypt and encouraged further investment and business expansion in the Egyptian market. He underscored the government’s strong commitment to indigenizing and advancing the electronics industry.

For his part, Ellow affirmed that the agreement is part of Siemens’ intention to increase its presence in Egypt and extend to areas that may provide mutual benefit in the future.

The MoU underscores the Egyptian government’s commitment to creating an enabling environment for foreign investments and establishing effective and fruitful partnerships with the private sector. It also reflects the government’s unwavering support for the IT sector and its efforts to enhance cooperation with major global companies to enhance Egypt’s competitiveness and drive tech innovation.

Under the MoU, Siemens plans to significantly expand its presence in Egypt by incorporating a minimum of 20% new Egyptian employees annually to reach a local headcount of 1,800 within the next three years.

Commenting on the signing of the MoU, the ICT Minister highlighted that the partnership between ITIDA and Siemens Digital Industries Software reinforces the dedication to advancing and positioning Egypt within the electronics industry through the Egypt Makes Electronics (EME) initiative. He highlighted that the partnership catalyzes collaboration, knowledge transfer, and technological advancement, ultimately propelling Egypt’s ICT sector to the forefront of global competitiveness.

Under the MoU agreement, Siemens Digital Industries Software will receive support from ITIDA to expand operations in Egypt, particularly in ER&D and electronics design. The partnership aims to enhance Egypt’s IT and electronics sectors and create new job opportunities for the Egyptian youth.

ITIDA CEO said the partnership is a pivotal step in boosting the growth of Egypt’s IT and high-end services exports. By joining forces with a multinational technology powerhouse like Siemens Digital Industries Software, the goal is to elevate the country’s competitiveness on the global tech stage and generate more job opportunities for the abundant pool of local talent and skilled workforce in Egypt.

The agreement encourages collaborative activities in building the capacity of local talent through world-class training on the latest electronic design technologies and creating employment opportunities aligned with Siemens’ expansion plans in Egypt. Additionally, the partnership focuses on developing highly skilled calibers and empowering local electronics startups.

ITIDA intends to extend logistical support to Siemens Digital Industries Software, including outreach to the local talent and engineers, and nominate the company to benefit from government incentives for the electronics design sector, with Egypt aiming to position itself as a leading destination for electronics design and digital industries.

Signing the agreement, Ellow remarked, highlights many points. It is an acknowledgment of what Siemens EDA achieved in Egypt over the last 28 years as a pioneer in driving and developing advanced semiconductor and electronics design technology in Egypt. This success was due to the access to Egyptian top engineering talent, he added.

Ellow further stated that Siemens achieved increased cooperation with MCIT and ITIDA to grow the technology ecosystem in Egypt. The MoU continues the tight cooperation between Siemens and the government to support the future growth of Siemens’ advanced development center in Egypt. Ellow stressed that Siemens intends to support local SMEs and contribute to positioning and branding Egypt as a technology hub in the region.

Under the MoU, Siemens will facilitate collaboration between Siemens EDA Academy of Excellence and academic institutions in Egypt, including the National Telecommunication Institute (NTI), the Information Technology Institute (ITI), and the American University in Cairo (AUC) to support Egyptian talents through training initiatives supervised by MCIT.

In addition, Siemens will work to develop the digital capabilities and skills of Egyptian talents and transfer knowledge and advancements in electronic design and computer-aided design (CAD) tools. The aim is to foster knowledge exchange, research collaboration, and the sharing of best practices to drive innovation and enhance Egypt’s competitiveness in the global market.

The partnership also focuses on empowering local electronics startups and fostering an innovation ecosystem through various initiatives, such as providing access to electronic design automation (EDA) tools, training, coaching, and technical support.

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