The Information Technology Industry Development Agency (ITIDA) announced on October 1 injecting US investments in the Egyptian ICT market, through sponsoring the acquisition of Synopsys Inc.—the world's leading company in the field of electronic design automation software—and acquiring and purchasing the assets of Silicon Vision—the leading Egyptian company in the field of designing wireless communications and electronics circuits.
ITIDA provided all facilities and support necessary for the success of the negotiations and the completion of the US Synopsys’ acquisition—the company owns about 93 sales offices, customer service and development centers at the world level.
The acquisition deal followed the success of the Egyptian Silicon Vision in developing Bluetooth® Smart wireless IP solution, a unique technology related to Bluetooth Smart IP applications, which represents a great achievement in the field of designing wireless communications and electronics circuits, attracting Synopsys Inc. to acquire that technology.
According to the partnership and acquisition agreement, the American company will use the help of Egyptian calibers for Bluetooth Smart IP applications in serving the company's customers in global markets and will increase the number of Egyptian employees who serve, from Egypt, Synopsys Inc. customers abroad from 50 to several hundreds during the next three years.
This acquisition will allow the company to expand its business in the field of DesignWare® IP for the Internet of Things (IoT), as well as responding to the increasing demands of wireless communication industry related to low-power system-on -chips (SoCs), which are increasingly being relied upon in smart homes applications, wireless sensors and peripherals and smart accessories that can be worn and others.
ITIDA has signed a cooperation agreement with Silicon Vision under which ITIDA will support the Egyptian leading company through its various programs, and considers producing new specialized programs to support the industry of designing Egyptian electronic circuits in order to export them and enjoy flexible response to requirements of these promising industry.
ITIDA CEO Hussein El-Gueretly stated that the acquisition process and attracting a global company such as Synopsys Inc. to operate in the Egyptian market reflects the continued confidence of foreign investors in calibers working in the Egyptian ICT sector and market and its ability to attract major international companies to export their services from Egypt in the field of outsourcing industry and ICT services, especially high economic return value-added services such as electronic circuit designing services.
The acquisition process is in line with the strategic orientation of the state and ITIDA to support and attract foreign direct investment in the electronics industry for its enormous and increasing positive economic and social impacts all over the world. Egypt should exploit its competitive advantages it enjoys, the most important of which is the existence of business entities which proved its success through its excellent human calibers in this area.
The electronics industry is one of the largest industries in the world where the global market size of electronic equipment exceeded US $ 2.1 trillion in 2012, representing 4.4 folds the oil, gas and metal markets. It also represents 25% to 30% of the Asian tigers’ GDPs, as well as many developing and developed countries.
