Spain: information and
communication
technology sector
ICEX sector reports
Sector definition
one
The Spanish information and communication technology (ICT) sector includes:
Telecommunications services: fixed and carrier services, mobile services, data transmission/switching, cable telecommunications services, internet access services and other services.
Information technology: hardware, software and IT services.
Digital content: audiovisual, film, music, video, internet, educational content, digital publications, content for e-Books, videogames, content for mobiles.
Telecommunications industries: telecommunications equipment, systems integration and associated services.
Consumer electronics: audio, cable TV, digital photographic cameras, video, magnetic supports, TV decoders.
Professional electronics: instrumentation and educational equipment, defense electronics, industrial electronics, electro-medicine, radio broadcasting and television.
Others: automotive electronics, maintenance and sale of electronic equipment and components, videogame consoles, etc.
The Spanish information and
communication technology
sector
one
Spanish sector overview
two
Revenues generated by the total ICT sector recorded a modest increase from €72.846 billion in 2009 to €72.867 billion in 2010. By subsector, the highest increase (11%) was in Other electronic activities, which includes automotive electronics, videogame consoles, and the sale and maintenance of electronic equip-ment and components.
The digital content subsector also grew significantly, by 7%. The largest decline was in telecommunications services (-3%).
Production in the information technology sector totaled €12.839 billion, a rise of 2% compared to 2009. This sector returned to growth, although this was modest in terms of domestic demand with exports being much more dynamic (+11%). Total sales (domestic market plus exports) were €18.097 billion, a rise of more than 3%, which was slightly higher than the average rate for EU-27 countries.
Within this subsector, desktop computers, the new mobile devices (netbooks and tablets) and products associated with printing were the top performers.
Information technology accounted for 1.56% of GDP, up by three basis points compared to 2009.
Information technology Years
Hardware Software IT services
Total information technology
2009 2.163 1.787 8.615 12.564 2010 2.196 1.817 8.826 12.839 2009 365 215 760 1.340 2010 374 171 945 1.490 Production* Exports* *Millions of Euros Source: Ametic
The subsectors
2009 4,140 5,069 7,196 11,354 74,500 195,991 41,435 39,685 2010 3,936 5,170 7,124 11,397 70,150 194,588 38,553 330,918 Source: Ametic Employees by sector Years Consumer electronics Components Professional electronics Telecommunications industries Telecommunications services Information technology Digital content TOTALIn 2010, the ICT macro-sector generated a total of 330,918 jobs. The information technology segment made the largest contribution to this figure accounting for 194,588.
Telecommunications services Production* Years
Fixed and carrier services Mobile services
Data transmission / switching Cable telecommunications services Internet access services
Other services
Total telecommunications services
2009 13.719 18.784 1.327 2.008 4.480 2.395 42.713 2010 13.376 18.125 1.219 2.004 4.415 2.308 41.447
Telecommunications services represent 57% of total production, although in 2010 this figure fell by 3% to €41.447 billion.
Nevertheless, the area related to internet users was very active during this period, while mobile broadband also performed well. In relation to mobile devices, the number of lines increased by just over 2.2 million, with telephone lines rising by 0.5 million, data cards by 1.4 million and lines con-nected to machines by 0.3 million.
In 2010, revenues from internet access fell due to the price war in the market, and revenues from other services (sale/lease of terminals) also declined.
Telecommunications industries recorded production of €1.671 billion, a 1% increase on the previous year. Mobile telephones performed strongly (22 million units sold during the year) and there was a signifi-cant rise in the use of smartphones.
The systems integration business and its associated services also performed well, growing by 4% compa-red to 2009.
Telecommunications industries Years
Telecommunications equipment Systems and associated services
Total telecommunications industries
2009 854 795 1,649 2010 845 826 1,671 2009 560 0 560 2010 559 0 559 Production* Exports* *Millions of Euros Source: Ametic *Billions of Euros Source: Ametic
Years
Audio Cable TV TV decoders
Total consumer electronics
2009 7 1,136 73 1,216 2010 7 1,113 72 1,192 2009 0 924 0 924 2010 0 914 0 914 Consumer electronics
Revenues from consumer electronics totaled €1.192 billion in 2010. The sale of around 5.5 million TV receivers driven by the analogue switch-off and the soccer World Cup led to a rise of 38% in sales compared to the previous year.
Furthermore, all these receivers have a DTT decoder incorporated and more than 90% have high definition capabilities.
The e-Book market grew less than expected, although it still sold 260,000 units.
Production* Exports*
Electronic components recorded a 2% rise in sales to €1.482 billion. The demand for semiconductors, both discrete and integrated, grew by 33% as a result of the increase in automotive manufacturing and the greater use of semiconductors in vehicles. It is estimated that 41% of the semiconductor market is in this sector.
Electronic component exports grew by 12% during 2010, driven by the performance of foreign markets. It should be noted that the Spanish electronic components industry (excluding other components and antennae, cables and subcontracting) exports 75% of its production.
Years
Electronic Components Antennae
Subcontracting Cables
Total electronic components
2009 576 474 312 97 1,459 2010 642 436 308 96 1,482 2009 425 72 87 49 633 2010 479 88 93 50 710
Electronic components Production* Exports*
*Millions of Euros
Source: Ametic *Millions of Euros
*Millions of Euros
Source: Ametic
Professional electronics recorded production of €1.538 billion. This subsector has managed to position itself as a leader in the global industry, thanks to its innovative capacity.
Defense electronics continues to perform well thanks to the participation of Spanish companies in European projects.
The volume of exports of professional electronic equipment and systems grew by 2% in 2010, mainly driven by defense electronics groups, radio and TV.
Years
Instrumentation and educational equipment Defense electronics
Industrial electronics Electro-medicine
Radio broadcasting and television Integration and installation
Total professional electronics
2009 58 507 596 60 253 95 1,569 2010 57 527 554 59 245 96 1,538 2009 38 228 339 33 83 0 721 2010 39 240 332 31 93 0 735
Professional electronics Production* Exports*
Digital content production totaled €6.993 billion, representing a 7% increase compared to 2009, led by the audiovisual sector. Other contributing segments were internet advertising, educational content and content for e-Books.
The sector is one of the most dynamic in the information society and is the engine for other industries, such as consumer electronics or telecommunications services. Total business volume represents 0.9% of Spanish GDP.
In the mobile content sector, exports jumped by 13.5% in 2010, despite lower production compared to the previous year. *Millions of Euros Source: Ametic Years Audiovisual (TV/radio) Movies/Video Music Internet Educational content Digital publications Content for e-Books Videogames Content for mobiles
Total digital content
2009 4,287 189 151 655 58 186 39 191 780 6,535 2010 4,801 162 134 790 92 177 56 190 591 6,993 2009 33 47 16 0 1 42 6 10 162 316 2010 32 46 10 0 1 47 5 10 184 335
Telecommunications industries:
Telecommunications industries in Spain invested more than €1.2 billion in 2010, despite the economic situation in Europe, a regulatory environment with limited advantages and few initiatives for developing new networks.
The ADSL industries were the subsector’s strength in 2010, while Madrid was the autonomous region that contained the largest number of production centers.
Information technology:
Spanish companies in this subsector have been leaders for important projects on security and antivirus systems, electronic administration, e-Health, online banking services and near-shore services, with a glo-bal reputation. R&D expenditure in 2010 totaled €824 million. The subsector’s contribution to R&D overall is fundamental, since although it accounts for no more than 1.56% of Spanish GDP, the R&D budget of these companies represents more than 5% of total expenditure on R&D by the Spanish economy as a whole.
Professional electronics:
This industry benefits from proprietary technology and offers turn-key solutions. It is known for being extremely innovative and highly specialized. R&D (€158 million in 2010) accounted for more than 10% of total production in the subsector.
The professional electronics industry in Spain is an international leader for simulation equipment, radio broadcasting and digital television, as well as electronic equipment for infrastructures (traffic and aviation), control systems for energy distribution networks, parking meter solutions and border surveillance.
Millions of Euros 2009 36 103 150 1,223 762 110 2,384 2010 38 92 158 1,214 824 106 2,434 Source: Ametic R&D by sector Years Consumer electronics Electronic components Professional electronics
Telecomm. industries and services Information technology
Digital content
TOTAL
Innovation and development
Investment in R&D by the ICT macro-sector in 2010 totaled €2.434 billion, a rise of 2.1% compared to the previous year. Investment in telecommunications services and industries was especially significant, accounting for €1.214 billion of the total.
Digital content:
The digital content industry continues to play an important role in the overall ICT macro-sector. This subsector is becoming one of the most dynamic areas related to information society, since it is the engine for other industries. In 2010 revenues represented 0.9% of GDP, while investment in R&D totaled €106 million.
Electronic components:
This is a strategic industry for the electronics sector. This subsector is characterized by a highly fragmented structure and a high percentage of SMEs. R&D investment in 2010 totaled €92 million. In general this industry uses proprietary technology and highly fragmented processes.
This industry is strongly orientated towards international markets, both in terms of the demand structure and the competitiveness of its products. There is also a high concentration of passive components. Consumer electronics:
The majority of companies are located in Catalonia and operate internationally. Most are SMEs and only four firms have more than 500 employees. Its investment in R&D in 2010 was €38 million.
Sector associations
AMETIC
Multi-sector association for companies in the electronics, information and communication technologies, telecommunications and digital content industries.
www.ametic.es
SECARTYS
Electronics and information technology exporters association of Spain
www.secatys.org
AENTEC
Spanish association of new technologies
TELEFÓNICA INDRA GRUPO ZED IECISA EVERIS TECNOCOM AMPER OESIA IBERMATICA HISPASAT IKUSI SATEC ESI TECNALIA NUCLEO GMV TELEVES PREMO DIGITEX UNITRONIX PANDA FAGOR META 4 BLUSENS RYMSA MIER COMUNICACIONES www.telefonica.es www.indra.es www.zed.com/ www.ieci.es www.everis.com www.tecnocom.es www.amper.es www.oesia.com www.ibermatica.com www.hispasat.com/ www.ikusi.es www.satec.es www.esi.es www.nucleocc.com www.gmv.es www.televes.com www.grupopremo.com www.grupodigitex.com www.unitronics.es www.pandasecurity.com www.fagor.com www.meta4.es www.blusens.com www.rymsa.com www.mier.es Source: Ametic
The following are leaders in their respective subsectors:
Leading companies
three
Trade fairs
four
TRADE FAIR
SIMO NETWORK
International ICT Services and Solutions Trade Fair
LOCATION
Madrid (Spain)
www.simonetwork.com
TRADE FAIR
BROADCAST
ICT Services and Solutions Trade Fair
LOCATION
Madrid (Spain)
www.ifema.es/ferias/broadcast/default.html
TRADE FAIR
MOBILE WORLD CONGRESS
Worlwide mobile communications industry LOCATION
Barcelona (Spain)
www.mobileworldcongress.com
TRADE FAIR
FICOD
International Digital Content Forum
LOCATION
Madrid (Spain)
www.ficod.es
TRADE FAIR
CEBIT
International ICT Trade Fair
LOCATION
Hannover (Germany)
TRADE FAIR
IBC AMSTERDAM
Emerging Media: IPTV, Mobile & Digital Signage LOCATION
Amsterdam (Netherlands)
www.ibc.org
TRADE FAIR
CES
Consumer Electronics Show LOCATION
Las Vegas (USA)
www.cesweb.org
TRADE FAIR
BROADCAST ASIA
Asia’s Digital Multimedia & Entertainment Industry LOCATION
Singapore
www.broadcast-asia.com
TRADE FAIR
NAB
Digital Media Industry Event for Audio, Video and Film LOCATION
Las Vegas (USA)
www.nabshow.com
TRADE FAIR
BROADCAST BRASIL
International Fair for Television Engineering, Broadcasting and Tel. LOCATION
Sao Paulo (Brazil)
www.broadcastcable.com.br
TRADE FAIR
CTIA WIRELESS
Wireless and Converged Communications
LOCATION Las Vegas (USA)
TRADE FAIR
CABSAT
Digital Media and Satellite Expo LOCATION
Dubai (United Arab Emirates)
www.cabsat.com
TRADE FAIR
ANGACABLE
Trade Fair for Cable, Broadband and Satellite LOCATION
Las Vegas (USA)
www.cesweb.org
TRADE FAIR
TAITRONICS
Taipei International Electronics Show LOCATION
Taipei (Taiwan)
www.taitronics.tw
TRADE FAIR
BIRTV
China Radio, Film and TV Exhibition LOCATION
Beijing (China)
www.birtv.com
TRADE FAIR
SIGGRAPH
Computer Graphics and Interactive Techniques Show LOCATION
Vancouver (Canada)
TRADE FAIR
B3 FORUM
ICT Exhibition LOCATION
Mexico City (Mexico)
www.b3forum.com.mx
TRADE FAIR
TELEMUNDO
Professional equipment for film, videos and television LOCATION
Mexico City (Mexico)
www.canal100.com.mx/expo/
TRADE FAIR
ELECTRONICA MUNICH
Electronic Components, Systems, Applications LOCATION Munich (Germany) www.electronica.de TRADE FAIR NATPE Content First LOCATION Miami (USA) www.natpe.org
Useful addresses
five
CDTI
Centre for the Development of Industrial Technology
www.cdti.es
CMT
Spanish Telecommunications Market Commission
www.cmt.es
Observatory for Telecommunications and Information Society
www.ontsi.red.es/index.action
Spanish Patent and Trademark Office
www.oepm.es
State Secretariat for Telecommunications and Information Society
www.mityc.es/Telecomunicaciones/
Spanish Office for Science and Technology
www.sost.es
Telefónica Foundation, Information Society
www.fundacion.telefonica.com
FUNDETEC
Foundation for the info-technological development of companies and society
www.fundetec.es
Spanish Science and Technology Foundation
© Spanish Institute for Foreign Trade (ICEX).
Pº de la Castellana 14-16 28046 MADRID | 902 349 000 Report prepared in 2011 by the Information Dept. of the Industrial Products and Technology Division.
www.spaintechnology.com