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Global Technology Hub Blueprint PDF
Global Technology Hub Blueprint PDF
The Global Technology Hub Blueprint study was commissioned to carve out the technology strength in Malaysia,
to be strategically developed and to strengthen its core competency for innovative technology development
within Cyberjaya. The development of specific technology focus is to consolidate key resources and distinctive
capabilities of Cyberjaya, for developing new opportunities to invoke and foster innovative values in technology as
a driver for the country. The study undertook benchmarking of the best technology parks and start-up ecosystems
across the globe that played a pivotal role in the success of their own technology driven economies. This strategic
approach brings to light a broader perspective in using global practices to work with various agencies across the
ecosystem. This includes collaborative industry partnership and commercialisation in the technology value chain
of Malaysia. The blueprint provides a conceptual framework to evaluate the impact of innovation and technology
at a global level; to benchmark local technology integration competency and a yardstick for resources efficiency to
develop a competitive edge for achieving the digital aspirations of Malaysia
No part of this document may be reproduced in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without prior written
permission of Cyberview Sdn Bhd (CSB). This document has been compiled for the exclusive use of the Global Technology Hub committee and stakeholders and is
not complete without the underlying detail analyses and the oral presentation. CSB does not assume any responsibility for the completeness and accuracy of the
statements made in this document.
© 2014 by Cyberview Sdn Bhd. All rights reserved. CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
FOREWORD
Yang Berbahagia Tan Sri Dr. Mohd Irwan Serigar Abdullah
Treasury Secretary General
Malaysia Ministry of Finance
In the economic sense, technology have become a new form of asset class,
equivalent to data or oil. The competitive advantage for many countries has shifted
towards process technology which are man-made and in replacement of natural
comparative advantage. That is the power and opportunities driven in this era of
technology and internet
As the government puts in place many digital measures under the New Economic
Model, Economic Transformation Plan, Government Transformation Plan and Digital
Malaysia to place Malaysia firmly on the global digital map, we must ensure that we
have a complete ecosystem that continues to progress in tandem with our national
digital agenda. With this strategic injection of push to our national initiatives, it
realigns our national initiatives to a leaner and stronger approach to work inclusively
across all agencies. By doing so, our country will keep in pace with the much
competitive global economy.
Economic growth will be more targeted with efficient use of initiated for pushing technology and the idea of a Global
resources by converting to technology-led industries in Technology Hub in Cyberjaya is timely and brings new focus
sectors that Malaysia has the competitive advantage. to technology for Malaysia.
Development of a Global Technology Hub into a vibrant,
productive and liveable city comparable to major cities in the I would like to take this opportunity to express my
world is critical in our mission to attract talent, businesses and appreciation to all Regulators, Agencies and Ministry
investments to Malaysia. This investment in technology departments who contributed towards the development of this
advancement will set an example for Malaysia’s very own Global Technology Hub blueprint. The successful completion
Global Technology Hub to be replicated for sharing of of the study has only earmarked the beginning of our
economic benefits in other urban cities to create a robust and transformation journey for fast-tracking our technology
vibrant community in line with the current global environment innovation. It will not be easy and we must work inclusively to
and national priorities. brace the challenges.
To develop Malaysia with a mission towards a progressive I have full confidence that the Global Technology Hub
and high-income nation, we must consistently keep our sights blueprint will bring about positive changes which will benefit
set on making sure we deliver and occasionally adjusting as all Malaysians. The Government and Ministry of Finance is
needed to achieve it. Our past strategies of driving economic committed to ensure delivery of goals underpinned by the
development needs to be consistently injected with strategic blueprint and I am personally committed. Let’s take this
approaches to keep the economic development resilient and journey with a mighty stride as a nation – together for
the determination drive forging. This collaborative study Malaysia.
Committed to the new duties given, Cyberview’s team set The Strategic Blueprint is expected to have a significant
out on a study to formulate a strategic blueprint. This impact in terms of GNI creation, job creation, development
blueprint will identify common key success factors of global of new industries and industry specific ecosystems as well as
technology cities to develop focus areas that will expedite technology transfer.
achievement of the aspirations from the new mandate.
D Impact 81
E Appendix 84
E1. Benchmarking: Technology parks 85
E2. Benchmarking: Start-up hubs 98
A. CONTEXT
A1.
Technology in the national agenda
As a first step, we analyzed relevant policy documents to gain
deeper insights into technological priorities at the national level
• Malaysia's national development plans
New Economic
Vision Model (NEM)
(2009)
documents
Economic Government
Transformation Transformation
Conceptual Program (ETP) Program (GTP)
blueprints (2010) (2013)
3rd Industrial
Sector-specific Strategic SME Master S&T Master
Master Plan
ICT Roadmap Plan 2012-2020 Plan
action plans 2006-2020
(2013) (2012) (2003)
(2006)
1) Focus Areas
ETP > Shift from a low-cost to a knowledge-based > Need for latest infrastructure rollout (e.g: 4G) > Sub-segments within education and
economy to avoid 'the middle-income trap' > Shift from providing infrastructure and healthcare sectors where modern
> Need for a cluster development approach access to applications and content telecommunications can be applied
> Need for private sector-led growth and > Need for strengthened advanced services
more private-public partnerships (e.g: Creative content, payments, e-
commerce)
GTP > N/A > Need for increased availability and usage of > N/A
Mobile Computerized Access Devices
(MCADs)
Cyberjaya
Lake Lim Kok Wing
Gardens University
Developments
> Spanning approximately 7,000 acres, Cyberjaya was
Multimedia
University developed with high-tech infrastructure and infostructure to
Cyberview Resort encourage global corporations to set up ICT operations – ~800
& Spa companies and ~35,000 knowledge workers
> Home to 6 colleges/universities and ~23,000 students
> Notable features: Dedicated backup electricity supply, high
speed fiber connectivity, district cooling system, carrier
neutral data centers
Number of knowledge
workers [#] Office space [m sq ft] & occupancy [%]
8% 3%
2011 2013 2011 2012
Knowledge workers Office space Occupancy E
23,000 815
CAGR CAGR
21,986 621
2% 15%
2011 2013 2011 2013
Student population Number of companies
Key Establishment of Growth in number of MNCs Sustaining competitiveness Aspiration to transform into a
developments physical infrastructure (e.g. Dell, IBM, Ericsson), amidst aggressive rollout of new global technology hub in the
(e.g. fibre optic cabling, local companies and start- cybercentres nationwide face of competition locally and
in Cyberjaya dual feed power ups in Cyberjaya overseas
system)
Landowner Facilitator Cyber City Manager
Cyberview's Develop basic Sell and lease land, Drive growth of Cyberjaya to transform it from a premier global
infrastructure to construct buildings, support ICT hub into a global technology hub
role enhance attractiveness MSC via Cyberjaya dev't
> Developing the local > Building ICT as an enabler > Creating global test bed for > Expanding MSC Malaysia to
Multimedia ICT industry for growth new multimedia/IT encompass the whole of
> Establishing 1 corridor > Rollout of MSC cyber- applications Malaysia
Super (i.e. Cyberjaya) centre/city status to 14 > Aggressive rollout to 19 new > Linkage of MSC cyber-cities
Corridor: > Launch of 7 flagship new qualified locations2) qualified locations to global cities
Key strategic applications1) > Deeper implementation of nationwide3)
thrusts 7 flagship applications > Focusing on 4 new clusters
(creative multimedia, SSO,
infotech, IHL4) & incubators)
1) E-goverment, MyKad, Smart School, Telehealth, R&D cluster, E-business and Technopreneur Development; 2) in KL, Perak, Johor and Melaka;
3) Klang Valley, Penang, Kedah, Melaka, Perak, Johor and Pahang; 4) Institutions of higher learning
"To realize Cyberjaya as a premier ICT hub and "To provide the ecosystem in creating a preferred
to be preferred location for ICT, Multimedia investment location for technology companies,
and Services innovation and operations; and with Cyberjaya as the showcase."
Mission to fulfill specific Government initiatives in
statement support of the innovation economy by 2020."
"Cyberview's main objective is to ensure the Primary Objective: Elevate Cyberjaya into a
development of Cyberjaya in accordance with Global Technology Hub
the Government guidelines and aspirations Secondary Objective: Strengthen Cyberview’s
and to also advise the Government on position to become Leader in the development of
Objectives
MSC/Cyberjaya development matters." Global Technology Hubs
More Technology
active life-cycle stage
Early stage > Relevant agencies exist but technology cuts across
multiple
II (Syndication) > Roles not clearly delineated among agencies
Champion > Cyberview can serve as active advocate to promote
the technology among relevant agencies
2 Lack of "soft" infrastructure > To be a complete and livable city, Cyberjaya requires investments in
Lack of infra- for a "livable township" – additional infrastructure such as hospitals, mosques, and other amenities
structure "Hard" infrastructure in need > Its vision of being a global technology hub also necessitates upgrades to its
of upgrade existing infrastructure including wi-fi enhancements and ultra-broadband
Lack of funds for investments, > Meaningful seed funding is required for start-ups in new technology areas
3 – Need to attract angel investors and venture capital
Lack of and the risk of having low
funding investor take-up > Developing Cyberjaya to a global technology hub also requires significant
financial investments for infrastructure upgrade
> These challenges will serve as a guide for the team to develop shortlisting criteria for the technology selection phase
> They will also be treated as gaps to bridge in Phase III (Strategy & Requirements)
2 Poor Lack of success in technology > Limited interaction between MNCs and local companies to allow for
transfer from MNCs to local technology transfer
knowledge
transfer counterparts > Lack of sharing culture between MNCs and GLCs with local companies in
Cyberjaya
3 Lack of support and > Poor linkages between SMEs and government agencies – Malaysian
opportunities for SMEs government is the largest spender on high-technology products, yet there is
Inadequate
limited use of local technologies by the government
SME support
1 Unclear Potential conflict of interest > Clear distinction of roles required between multiple entities governing
D role among main stakeholders in Cyberjaya's development, e.g. Cyberview, local state authority, Setia Haruman
Cyberjaya and MDEC, to avoid potential conflicts
definitions
Governance
& regulation
2 Lack of Need for clarity of positioning > Need for translation of Cyberview's vision into clear actionable plans and KPIs
clear vision and stakeholder buy-in > The new vision must be cascaded to all staff members via communication
programmes to ensure buy-in
> These challenges will serve as a guide for the team to develop shortlisting criteria for the technology selection phase
> They will also be treated as gaps to bridge in Phase III (Strategy & Requirements)
The digital age continues to drive a surge in data generation – The strive to gain
Data to insights more granular insights from this influx of data will be a crucial competitive
differentiator
Sustained pressure to stem climate change will necessitate investments into the
Climate change fields of sustainable development, renewables and green technology
Life sciences will be a prime focus of research in the coming decades and will
Life science solutions provide solutions to many health and resource-based problems of the world
Implications Implications
> Various new opportunities > Businesses evolve to
exist in the onset of leverage available data to
connected intelligence, for yield insights into their
example: customer base and make
> Trend description: – Cities: Traffic monitoring, > Trend description: more informed data-based
infrastructure decisions and achieve a
– Various computing – The digitalization of data competitive edge
devices will be management is increasingly driven by
connected together – Supply chains: Speed to internet usage growth, > Yields many new
through the internet market, streamlined increased mobility, social technology opportunity
process media, digitalization of areas e.g., data centers,
– This will connect
consumers, cities, – Homes: Lighting and conventional formats and analytics services,
improved technology consulting services etc.
supply chains, homes, energy management,
commerce and smart meters performance > Broad based sector
enterprises and – More sophisticated applications e.g., retail,
– Commerce: Digital media manufacturing, banking,
revolutionize the way signage, vending machines analytics today helps to
we conduct our daily make sense out of the health care, public sector
business – Enterprises: Connected data influx and create administration, personal
workforce, automated economic value location data applications
business processes etc.
– Consumers: Wearables
Implications Implications
> New innovations and > Smart urbanization needed
technological paradigms in the developing world –
will be needed to better balancing economic
manage the scarcity of growth imperatives with
> Trend description: energy and resources > Trend description: environmental
> This would include sustainability
– Population and economic – Increasing
growth, urbanization and research and concentrations of > Commercialization of
expanding middle class commercialization of green greenhouse gases have green and sustainable
will increase demand for and sustainable been a main driver of technologies, renewable
energy and resources technologies, energy rising temperatures energy technologies e.g.,
efficient technologies e.g., resulting in various solar, wind, energy storage,
– Securing reliable and smart grids, recycling and smart grids etc. will need
economically viable environmental
new energy supply and implications to be accelerated
access, promoting delivery methods e.g., bio-
efficient usage, demand – Sustained dominant > New green mobility
based fuels concepts will be ground-
management and share of hydrocarbon
formulating new energy fuels in the energy mix tested and adopted
and resource paradigms and rapid economic
will be on top of the growth in developing
agenda nations sustain CO2
emissions
Source: RBSE Trend Compendium 2030
Implications Implications
> The life sciences can > The traditional strategy of
potentially offer novel innovating for home
solutions to major markets (developed
problems faced by the countries) and exporting
> Trend description: world today e.g., energy > Trend description: with minor modifications
scarcity, poverty, food to local market needs no
– Basic technological security, climate change – A reverse innovation is longer works
innovations often come etc. any innovation that is
in certain cycles e.g., the adopted first in the > To win in emerging
invention of the steam > Research and development developing world markets – the innovation
engine, telegraphy, in life sciences will spur of technology must be
new discoveries and – Traditionally, innovations local and may even later be
automobile, nuclear, flow from the developed
aerospace, ICT technologies in the fields exported from the
of pharmaceuticals, world to the developing developing world to the
– The theme of the next medicine, biotechnology world – this no longer developed world
cycle will be life sciences (agricultural, industrial, holds true, and in fact,
– and will drive solutions the reverse is occuring > Innovation must today
medical) etc. happen in close proximity
to various health and
resource problems to its market base
Source: RBSE Trend Compendium 2030; "Reverse Innovation" – Vijay Govindarajan & Chris Trimble
Complexity/
Developmental
Maturity
Uncoordinated Regional cluster Global innovation
innovation program hub
activities > Beginnings of central
coordination by state or > Trend-setter – Model for
> Spontaneous "green Science & other hubs
shoots" of R&D activity – private enterprise
No centralized planning > Lack of dedicated technology park > Complete eco-system –
infrastructure and end- > Well-defined area with Symbiosis of start-ups,
> Growth typically stems
to-end eco-system dedicated infrastructure SMEs and big business
from proximity to
universities and other and resources (local & foreign)
institutes > Proactive policy to attract > End-to-end support for
talent and companies whole value chain
(research to
> Linkages to other hubs
may not be strong commercialization)
> Strong links to other
hubs
Source: "Understanding Research, Science & Technology Park – Global Best Practices" – National Academies Press
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
There is no single path to success for innovation hubs – Whatever
the model, there needs to be active enterprise champions
Comments
Enterprise-led State-driven
> Paths of successful hubs vary
Role of government widely – No single recipe for
success
Model I II III
Government-led
Organic growth Mixed approach
innovation > Models involve varying
degrees of involvement from
Description> Hub organically forms > Broad category with > Construction of
the state, academia and the
over time due to varying combinations of infrastructure results
naturally conducive involvement from state, from deliberate private sector
environment academia and private government planning
> E.g. around research sector > State-sponsored
institutes that attract an > State involved in some research programs form > Whatever the model, each
entrepreneurial aspects, but not the key the main organizational hub invariably involves
community driving force kernel participation of large
> No active push by > Incentives proactively enterprises as hub champions
government initially used to attract talent
Example
s San Diego London's Tech city Dhahran Techno- > Champions serve critical roles
Valley e.g. provide capital and talent,
offer inter-regional and –
national connections, help
Enterprise champions bridge commercialization gap
Qualcomm Google
Commercialization
Research Development Operations
Early Late stage
stage (pre- (market
market) entry)
Early-stage Advanced,
Technology Prototype Prototype Market Sales & Product
basic focussed
development development production launch marketing refinement
research research
2 Sophia
Shortlisting Antipolis1)
Europe (>125
criteria parks)
> Degree of "self- U.S.
(>150 parks) 4 Daedok
contained"- Innopol
ness (hard & is
Japan
soft China (>100 parks)
3 Cambridge
infrastructure) Science (>100 parks)
Park
> Sectoral focus
& niche 1 Research
Triangle
technologies Park 1)
6 Zhangjian
> Perceived g Hi-Tech
standing Park
among other
tech parks in
the world
> Geographic Cyberjaya
diversity
5 One-North
Resources Talent > Steady flow of talented graduates from the 3 funding universities
Linkage between research > Numerous invention disclosures and licence agreements with university departments
Network institutes and industry > Public-private partnerships remain very common in the park's activities, especially with
universities
> Efforts made to introduce multi-use, cooperative spaces and shared amenities designed to
Knowledge transfer foster collaboration and unity
> Networking events organized to foster open exchange of ideas (e.g: Get connected @ RTP)
> Host several iconic organizations and networks (e,g: IUPAC, the Hamner, the William
Support systems Burroughs Welcome Fund, or Sigma Xi) to help recently created companies
Clarity of roles & objectives > Stable management by The Research Triangle Foundation of North Carolina, a non-profit
Regulation organization
for STP development
& Governance
> Clear vision mapped out in the Master Plan 2011
Clear vision > However, lack of measurable objectives in the Master plan
> No funding for potential tenants / specific grants for locating within the boundaries of RTP
Clear incentives > Incentives to be found through state and regional agencies, especially for specific
industries, such as digital media and biotechnology
1) Other benchmark slides are included in the Appendix
Presence of committed champions Key leader/advocate of science park can foster the park's
(leaders) innovation capabilities and technology knowledge
Proximity of R&D institutes and a high Essential value chain components for higher-end R&D
collaboration of research resources
Liveable city Improvement of the quality of life offered for workers is key to
attracting and retaining talent
Talent index2)
Berlin Waterloo
4 Paris
Santiago
Sao Paulo
Bangalore
0 Support Index3)
0 2 4 6 8 10 12 14 16 18 20 22
North America Middle East Europe Australia South America Asia
1) Bubble size indicates ranking of each city, where Silicon Valley ranks as 1st and Santiago as 20th; 2) Talent index measures the skills of the start-up founders in each
start-up ecosystem, taking into account age, education, startup experience, etc; 3) Support index measures the quality of the startup ecosystem support network
Benchmarking criteria
Funding Measures how active and how comprehensive the risk capital is in a startup
ecosystem
index
Measures how talented the founders in a given startup ecosystem are, taking into
Talent account age, education, startup experience, industry domain expertise, ability to
index mitigate risk and previous startup success rate
Measures the quality of the startup ecosystem’s support network, including the
Support prevalence of mentorship, service providers and types of funding sources
index
2 Strong support network and communities Active accelerators and incubators to provide mentorship and
networking support to entrepreneurs and start-ups
Regulatory incentives
3 (applies to a nascent start-up city)
Government grants to facilitate startups and incentives to
promote angel investments
6 Availability of funding Availability of angel and venture capital funding to provide the
seed capital for start-ups
7 Established technology sector or niche Established technology sector or niche provides strong base of
technology talent and entrepreneurial spin-offs
11 + 9 159 30 15 5
NKEAs add-ons technologies technologies technologies technologies
Relevance and fit with Malaysia 30% Leverage of internal capabilities 30% Demand for technology 20%
Relevance to national economic strategy, Availability of talent base, access to raw Size and growth, amount of VC funding, number
alignment & fit with capabilities, talent and materials, local ecosystem & size of applicable of global patents
resource industries
Overall development potential 25% CJ's competitive proposition 25% Key enablers 35%
Future market growth, 'spillover' effect, Existence / strength of regional competition, Number of companies in CJ and availability of
commercial viability of final output competitive advantages, spillover potential talent
% Weightage of criteria
Renewa
ble Bio-
energies fuels
Green technology
> Technologies aimed at protecting integrity & safety of information 5 > Strongly supported by MOSTI (e.g. named as a
system resources & activities, and defending against unauthorized access focus area for the country in ICT, creation of
Internal 4
Description > With IT systems' thorough infusion into government organizations, busi- CyberSecurity Malaysia in 2007)
ness and infrastructure, security has risen to the forefront of concerns capabilities 3 > Existing programs to supply talent (e.g. UTM,
MMU)
in Malaysia 2 > Establishment of MyCC Scheme 1)
> Access Control Systems > Authentication & authorization 1
Sub- > Application security (e.g. > Intrusion detection &
antivirus, secure coding) prevention 5 > Strong fit – Concentration of data centres and
categories
highly relevant to ICT activities
4
> IMPACT is headquartered in Cyberjaya, and
> Growing interest, as seen with recent deal activities (e.g. Q1 Labs by IBM, Fit with MOSTI also plans to site its CyberSecurity HQ
3
SonicWALL by Dell, or nCircle by Tripwire in 2013) Cyberjaya > CIS, Centre for Information Security (Center of
> Healthy growth driven by the increasing complexity & volume of 2 Excellence) is housed by the FIST2) in MMU
targeted attacks, and the necessity of companies to address regulatory
issues 1
Size & Global sales revenue for information security market [USD bn], 2012 – 2016E 5 > Currently no specific hub in Malaysia
> Existing regional competition – S'pore with
potential CAGR: +8.5% Competitive 4
attractive incentives under Infocomm
National Key Economic Area (NKEA) Additional sectors proposed by RB 5 Excellent 4 Very good 3 Good 2 Fair 1 Poor
1) M'sian Common Criteria Evaluation & Certification, 2) Faculty for Information Science & Technology
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: Gartner
Regional competition: ICT – Information security
> Refers to all technologies related to the development & production of 5 > Strong national support: FINAS1) (agency
multimedia content responsible of developing the film industry),
Internal 4
Description > Includes both conventional technology (e.g. 3D animation; interactive "Film in Malaysia Incentive" (FIMI) and the
media) and more avant-garde areas like virtual & augmented reality capabilities 3 Creative Industry Development Fund
> MSC Malaysia already focuses on creative
in Malaysia 2 content development, and set up the CMC2)
> Animated content production > Multimedia gaming (e.g. 1
Sub- > Augmented Reality (AR) alternate reality gaming)
> Virtual Reality (VR) > Interactive media 5 > Strong synergies between ICT and AR/VR (e.g :
categories
in e-learning field)
4
> Talent available (e.g. MMU, Limkokwing)
> Increased interest in AR/VR start-ups companies globally (e.g. acquisition Fit with > Existing production facilities and animation
3
of Oculus Rift by Facebook for USD 2 bn) Cyberjaya companies (e.g. Giggle Garage, or KRU, co-
2 producer of the 3D animated comedy Ribbit)
Global sales revenue for Video Games and Filmed Entertainment
1
[USD bn], 2012 – 17e
Size & Video games Filmed entertainment 5 > Currently no specific designated hubs or zones
CAGR: +3.7% in Malaysia
potential CAGR: +6.5%
Competitive 4
> Competition with Mediapolis in One-North
87 89 106 Singapore – Already attracted Lucasfilm
63 value 3
> Can benefit from the close collaboration of
proposition 2 digital content industry and MSC
2012 2017 2012 2017 1
Source: PwC Global Media Report
Comms
5 > Technology already developed and widely
Tourism content & Automotive 4 commercialized (e.g. apps, location-based
infra Technology services, Google Glass)
Applicable Electronics
Healthcare Shipping potential & 3 > Strong potential for new applications of AR/VR
&Electrical (e.g. consumer electronics; auto)
sectors readiness 2
Aviation & Defence &
Education 1
Avionics Security
National Key Economic Area (NKEA) Additional sectors proposed by RB 5 Excellent 4 Very good 3 Good 2 Fair 1 Poor
1) National Film Development Corporation Malaysia, 2) Creative Multimedia Cluster CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: PwC
Regional competition: ICT – Creative content technologies
1) Infocomm Development Authority, 2) Korea Creative Content Agency Extremely high Moderate Low
High competition competition
competition competition
> Also known as Web 3.0, Mobile Internet refers to access to the Internet 5 > Limited capabilities in the design and
via a cellular telephone service provider development of new mobile devices
Internal 4 > However, capabilities exist in mobile software
Description > It involves a combination of mobile computing devices, high-speed
wireless connectivity, and applications capabilities 3 and applications development (e.g.
GoodCore Software, Techno Softwares, iPluz,
in Malaysia 2 etc)
> Smartphones, tablets & other > High-speed mobile connectivity 1
Sub- handheld devices
> Mobile software & applications 5 > High fit with Cyberjaya given the direct ICT
categories
4 relevance
> Require further growth in high value ICT
> According to McKinsey, no. of smartphones in use grew 50% in 2012 and Fit with activities including new mobile software and
3
currently >1.1 billion people use smartphones and tablets Cyberjaya application R&D
> Sales of smartphones projected to reach 1.3 bn units per year in 2013; 2 > Co's in Cyberjaya incl. GoodCore Software
tablet sales expected to reach 200 m units
1
Size & Global mobile data traffic (exabytes per month), 2013 – 2018e 5 > Strong competitive value proposition given
16 Cyberjaya's position as the nucleus of MSC
potential Competitive 4
11 Malaysia; however, growing competition from
7 other cyber-cities & centres nationwide
2 3 4 value 3
> Regional competition is also strong from
proposition 2 Indonesia and China as mobile internet hubs
2013 2014 2015 2016 2017 2018
1
Source: Cisco
5 > Relatively low technology-specific risk given
Wholesale high level of technology maturity
Education 4
& retail Technology > Numerous commercial applications already in
Applicable Financial potential & 3 existence
service
sectors Comms
readiness 2
content &
infra
1
National Key Economic Area (NKEA) Additional sectors proposed by RB 5 Excellent 4 Very good 3 Good 2 Fair 1 Poor
Source:McKinsey; Cisco
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Regional competition: ICT – Mobile internet
> Explosive growth of mobile > > 500 m web mobile users
Internet due to cheap according to China Internet
smartphones & data packages Network Information Center Malaysia Brunei
(e.g. #2 market for mobile ads in > Leading telco equipment
the world in 2013) manufacturers (e.g. Huawei, ZTE) Singapore
> Heavy investments from Asian conducting heavy R&D in mobile
messaging apps (e.g. LINE, internet Aspiring technology hub Indonesia
WeChat), and sprouting local > Attracted global players to
start-ups (e.g. Ruma) conduct R&D in the country (e.g.
Microsoft in Shenzhen, Intensity of regional competition: Moderate
Qualcomm in Shanghai)
> Significant R&D being done on mobile networks & connectivity region-wide
> Cyberjaya can either focus on innovative mobile services, or become the test-bed for
next-generation networks in SEA
1) Korea Advanced Institute of Science and Technology, 2) Electronics & Telecomm. Extremely high Moderate Low
High competition competition
Research Institute, 3) World's first high-speed mobile internet competition competition
100
3
11
4
13
6 9
20 39
13
24 43
28 48
33 Cloud System Infrastructure Services (IaaS)
value 3
31 16 35 Cloud Application Infrastructure Services (PaaS) computing hubs – Countries with the most
0 34
27
43
29
53 61 71 83 95
Cloud Application Services (SaaS)
proposition 2 data centres in Asia Pacific region
201 201 201 201 201 201 201 Cloud Business Process Services (BPaaS) 1
0 1 2 3 4 5 6 Cloud Advertising
Comms
5 > Relatively mature technology with broad
Financial applications, including application hosting,
content &
services infra Technology 4 and network storage
Applicable Electronics Aviation & potential & 3 > Leading constraints to the use of cloud include
&Electrical Avionics information security, data ownership/
sectors readiness 2 custodian responsibility, and legal issues
Business
services 1
National Key Economic Area (NKEA) Additional sectors proposed by RB 5 Excellent 4 Very good 3 Good 2 Fair 1 Poor
India Singapore
> Bangalore is a hub for > IDA3) offer financial incentives
innovative cloud solutions for companies adopting cloud
(e.g. 'HANA' from SAP, 'Cloud solutions, or investing in R&D
Ecosystem Hub' from activities in cloud computing
Infosys), fostering the Singapore South Korea
development of local players Japan
> Several R&D labs in cloud China
(e.g. Netmagic) computing opened in
> Active gov't efforts in cloud Singapore (e.g. IBM, Intalio),
services (e.g. ‘MeghRaj’ and university research
project1), use of Microsoft's centers (e.g. in NUS, or in
platforms for Jammu & Singapore Polytechnic) Taiwan
Kashmir e-govt services) India Myanmar
Laos
Thailand Philippines
Vietnam
Cambodia
Japan China
> Fast adoption of cloud > Attractive market supported
solutions due to excellent IT by the government (e.g. Malaysia Brunei
infrastructure and Amazon partnership with
broadband Beijing's municipality, IBM & Singapore
> Japan should remain Asia's 21Vianet)
largest cloud services market > Local players in cloud Aspiring technology hub Indonesia
until 2020 (Source: Forrester) services (e.g. Alibaba, Wuxi
> Growing demand for PaaS2) China)
Intensity of regional competition: High
solutions (e.g. Microsoft > Several R&D labs in Beijing
increasing the capacity of (e.g. IBM, Microsoft, Yahoo!) > India, China and Japan have already attracted MNCs research activities due to their large
Azure, IBM's new data centre and mature markets for cloud solutions
> China Mobile & China Unicom
for BlueMix solutions) will build 2 cloud computing > Growing pool of domestic companies offering cloud services e.g. China
parks in Guizhou Province
Singapore Thailand
> IDA1) hired Chief Data > IBM decided to open its new
Scientist Prabir Sen to lead business innovation analytics
its Data Sciences Group centre in BKK last year –
> Events to bring together data Serves as its SEA data hub
providers and specialists (e.g. > Other strengths: educated South Korea
Japan
Data Innovation Challenge) workforce, well developed
infrastructure and steady
China
> IDA collaborates with
Institutes of Higher Learning growth in high-tech industry
to provide academic
programs and facilitate
Taiwan
industry attachments
India Myanmar
Laos
Thailand Philippines
Vietnam
Cambodia
China India
> Market generates huge > Market generates huge
amount of data due to size amount of data due to size Brunei
Malaysia
> Leading local firms starting > Nasscomm predicts BDA mkt
to include BDA into to be worth USD 1 bn by '15 Singapore
corporate strategy (e.g. > Many local BDA start-ups are
Alibaba) Aspiring technology hub Indonesia
sprouting e.g. Bizosys,
> Guizhou aggressively Crayon Data
positioning itself as BDA hub Intensity of regional competition: Extremely high
> China's top 3 telco carriers > Singapore making aggressive play, while Thailand has cheaper cost base
building big data facilities in
Guiyang, Guizhou's capital, > China and India have more massive big data potential – More attractive to co's
investing > RMB 15 bn > Singapore and China (Guizhou) actively attracting big names using incentives
> Application of environmental science to conserve the environment and 5 > Strong focus via National Green Technology
and to curb negative impacts of human involvement Policy (NGTP) in 2009
Internal 4
Description > E.g. Biofuels – fuels produced from biomass conversion; Solar > Malaysian Green Technology Corporation
photovoltaics - generating electrical power from solar radiation capabilities 3 (under KeTTHA) as champion
> Green Technology Financing Scheme for co's
in Malaysia 2 which are producers/users of green tech
> Biofuels > Hybrid and electric technologies 1
Sub- > Carbon capture > Solar photovoltaics
> Clean coal > Hydropower / wind power 5 > Cyberjaya embarked on green tech agenda in
categories
2010 in sync with NGTP
4
> Sepang Municipal Council offers tax incentives
> Clean Edge estimates the global clean-energy industry to be worth Fit with for green buildings
3
USD248 bn in 2013, and will grow to USD398 bn in 2023 Cyberjaya > Aims to be a green township – However,
– Biofuel market to grow from USD98 bn in 2013 to USD146 bn by 2023 2 lacking in terms of implementation
– Solar market to grow from USD91 bn in 2013 to USD158 bn by 2023
1
National Key Economic Area (NKEA) Additional sectors proposed by RB 5 Excellent 4 Very good 3 Good 2 Fair 1 Poor
China Japan
> World's largest investor in clean > World's fastest growing clean
energy ($54 bn in 2013) energy market in 2013 - ranks
> Govt provides low-interest loans, 3rd in clean energy investment
funds industry-wide R&D and after China and US ($28.6 bn in
provides subsidies for private 2013)
co's to purchase clean tech > Long history with solar – Sharp South Korea
Japan
> Biggest exporter of solar power has been developing solar tech
for >50 years China
components and has one of the
biggest wind turbine manuf. > Ongoing efforts to displace
industries nuclear energy has propelled
nation's clean energy sector
Taiwan
India Myanmar
Laos
Thailand Philippines
Vietnam
Cambodia
South Korea India
> Targets 11% renewable energy > Investing in clean technology to Brunei
Malaysia
share in final energy keep up with demand from a
consumption by 2030 growing population Singapore
> In 2013, USD600 m was invested > Within the G-20, the Indian
in the solar sector, and USD100 renewables market remained Aspiring technology hub Indonesia
m in wind sector the eighth largest for the second
year in a row
> Samsung is competing
aggressively in green tech, > Ambitious clean energy target in Intensity of regional competition: Moderate
growing its solar manufacturing India’s 12th five-year plan
capacity from 150 MW now to 3 > China continues to invest heavily in clean energy driven by government incentives
GW by 2015 > Japan is investing significantly in clean energy to diversify from nuclear
> Cyberjaya may be able to position itself to compete in South East Asia
> Technological application that uses biological systems, organisms, or 5 > Strong emphasis via the National Biotech
derivatives thereof, to make or modify products and processes for Policy ('05) and Bioeconomy Transformation
specific use, e.g. to combat diseases, reduce carbon footprint and feed Internal 4 Programme ('12) and dedicated agency,
Description the world BiotechCorp, to drive growth of biotech ind'y
capabilities 3
> 225 BioNexus status companies; foreign co's
in Malaysia 2 present incl. Arkema, Gevo and MetEX
> Genomics & genetic modif'n > Biomass 1
Sub- > Bioinformatics > Tissue culture
> Bioelectricity > Bioengineering 5 > Not ICT related, save for bioinformatics,
categories
(develop't of methods for storing, retrieving,
4 organizing and analyzing biological data)
> Ernst & Young (EY) estimates that there are 598 listed companies Fit with > Lack of existing facilities for biotech (e.g.
3
globally, with market capitalisation of USD477.3 billion as at 2012 Cyberjaya biotech laboratories; hospitals)
> EY also estimates global R&D expenses of USD25.3 billion in 2012 2 > Not a focus area of study in universities
1
Total Capital Raised in North America and Europe [USD bn], 2002-2012
Size & 40 5 > Competition from Bio-Xcell, dedicated biotech
park in Iskandar and other parks with biotech
potential Competitive 4 co's e.g. Techpark @ Enstek, Technology Park
20
value 3 M'sia & Kulim Hi-Tech Park
0 > Regional competition from Biopolis (S'pore)
proposition 2 and Hong Kong Science Park
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
1
Source: EY
5 > Developed technology area with breadth of
Oil, Gas & Automotiv applications
Healthcare 4
Energy e Technology > Sizeable domestic markets in place to use
Applicable Palm Oil & Consumer potential & 3 outputs arising from the biotechnology
Waste mgt industry e.g. use of genetic R&D for yield
Rubber products
sectors readiness 2 improvement within palm oil and rubber
Biotech-
Agriculture 1
nology
National Key Economic Area (NKEA) Additional sectors proposed by RB 5 Excellent 4 Very good 3 Good 2 Fair 1 Poor
Japan China
> Highly-skilled scientific > Ministry of Science & Tech-
workforce, and leading local nology offers tax incentives
biopharma companies (e.g. for R&D activities in
Takeda, Eisai) biotechnology South Korea
Japan
> Companies can conduct co- > Significant research been China
research programs with done in ZhangJiang Science
government agencies (e.g. Park, Shanghai, with both
Ministry of Health and MNCs (e.g. Roche, Pfizer),
Welfare) and development contractors
Taiwan
> World's #2 pharma market (e.g. Hutchison MediPharma,
Wuxi) India Myanmar
for sales revenue, USD 111 bn Laos
in 2011 (Source: IMS Health) > Attractive market due to its Thailand
very large population Philippines
Vietnam
Cambodia
Singapore Thailand
> Talent availability, world-class > Attractive tax incentives Malaysia Brunei
research institutes (e.g. NUS offered by the BOI2) for
Cancer Science Institute) and biotech-related activities Singapore
testing facilities offered by (R&D, manufacturing),
the surrounding hospitals additional ones for locating in Aspiring technology hub Indonesia
attracted several influential Thailand Science Park3)
R&D centers in Biopolis (e.g. > BIOTEC (a research centre
Abbott, GSK) Intensity of regional competition: High
under the Ministry of Science
> Strong support from the gov't &Tech), active in co-research > Several leading companies have opened their Asian R&D labs in Singapore or in China,
(e.g. R&D incentives, public programs (e.g. with Novartis) mainly for their skilled workforce and significant incentives offered
research initiatives, funds > High-quality hospitals, > Thailand also making push in biotech, leveraging on its strong healthcare system
available from the EDB1)) offering testing facilities for
biotech co's
Extremely high Moderate Low
High competition competition
competition competition
1) Economic Development Board, 2) Board of Investment, a government
agency under the ministry of Industry, 3) Located in Rangsit, north of Bangkok
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Technology profile: Wearable technologies
Singapore Japan
> Poised to ride the wave with its > NTT Corp / Toray Industries will
expertise in manufacturing, soon release shirts that can
electronics & software monitor people’s heart rate &
application take electrocardiograms
> A*STAR's Exploit Technologies > Sony will push wristbands that South Korea
(tech transfer arm) actively digitally record and data on daily Japan
nurtures devt of homegrown WT activities China
prototypes > Smaller local start-ups also
> Host of global conferences e.g. entering into the fray e.g. MOFF1)
Startup Asia 2014
Taiwan
India Myanmar
Laos
Thailand Philippines
Vietnam
Cambodia
Taiwan South Korea
> Flagship brands like Acer, HTC > Samsung is a global WT leader
not major players – Taiwan's with offerings like Samsung Gear Malaysia Brunei
focus will be in parts supply and – LG also entering the fray with
device assembly G-watch Singapore
> That said, Google actively > Local universities and institutes
investing in / buying WT patents carrying out cutting-edge Aspiring technology hub Indonesia
from local tech co's e.g. Himax, research e.g. body heat to
Hon Hai charge WT devices (Korean
> Regular host of global WT events Advanced Institute of Science
and Technology, or KAIST)
Intensity of regional competition: Moderate
e.g. Wearable Technology
Conference 2013 > Research activity concentrated in more advanced countries in northeast Asia
> Taiwan set to serve as a key WT device assembly hub for the world
> Moderate competition within SEA itself, primarily from S'pore
Countries in the region are embarking on smart grid pilots for nation-
wide roll-out – Cyberview can still serve as a "showcase" for M'sia
Smart grid technologies: Level of regional activity
Singapore Thailand
> EMA1) conducting Intelligent > Energy agencies launched Smart
Energy System pilots in new Grid roadmap in 2011 –
public housing estates in Investing USD 4bn over 16 yrs
Punggol – Testing smart meters, > Smart Grid pilot in Mae Hong
in-home displays, etc Son began last year and South Korea
Japan
> EMA also embarked on a micro- expected to be completed by
grid test-bed on Pulau Ubin Dec 2015 – If successful, to be China
using intermittent renewable rolled out nationwide
energy > Chulalongkorn University also
launching a Smart Grid pilot
project in several provinces Taiwan
India Myanmar
Laos
Thailand Philippines
Vietnam
Cambodia
China India
> According to State Grid > In the midst of its R-APDRP2)
Corporation, 2011-15 will be programme which directs USD Malaysia Brunei
dedicated to promotion of smart 10 bn over coming yrs to grid
grid construction modernization – Tata Singapore
> China spent more on smart grids Consultancy Services playing a
than the U.S. for the first time in lead role Aspiring technology hub Indonesia
2013 – USD 4.3 bn invested > Ministry of Power shortlisted 14
accounts for ~1/3 of world total Smart Grid Pilot Projects to be
> China has installed ~250 m smart implemented by state-owned Intensity of regional competition: Moderate
meters nationwide distribution utilities
> Many countries in region already conducting state-led pilots for smart grids
> Cyberjaya can still serve as a test-bed for smart grid technology, to be rolled out on a
national level once proven successful
Target companies
1 Cisco 4 FireEye 7 - 10 -
2 IBM 5 Check Point 8 -
Opportunities Threats 3 Symantec
Barracuda
6 Networks 9 -
1) Positioning strategy slides for all other shortlisted technologies are included in the Appendix
Action plan: ICT – Information security
Trigger discussions & align Seek Cabinet approval for Assemble and present incentive package to attract target companies
B with relevant agencies proposed plans
Establishing
> Initiate talks with MIDA, > Sector-specific incentives may > E.g. tax benefits, research grants, discount on office rentals / land sales, training grants
regulatory InvestKL require approval from Cabinet
> Meet with MOSTI, KKMM, > Approval process expected to
framework MDeC to discuss possibility of take ~9-12 months
coming up with customized
fiscal incentives
Talk to MIMOS Define strategic R&D plan Execute R&D and talent development plans
C
> Understand MIMOS' > Set quantitative long-term program of
Fostering existing platforms public investment for R&D required
> MOSTI & MIDA to serve as lead agencies
technology Talk to IMPACT Develop talent development > Establish collaboration with MIMOS and other relevant agencies (e.g. Cybersecurity M'sia)
platforms or industry players to make available existing technology platforms in Cyberjaya
programs
> Stocktake to clarify > Discuss with Education Ministry & relevant
activities to leverage universities to develop suitable programs
1) Positioning strategy slides for all other shortlisted technologies are included in the Appendix
Positioning strategy: ICT – Creative content technologies
> Strong demand outlook for > Singapore made a strong B. Emphasize talent pool from universities like MMU that can provide a
creative workforce with the right mindset for companies in Cyberjaya
all the sub-segments: push in creative content
augmented reality, gaming and already attracted
industry, etc.
> Increasing focus on
leading players (e.g.
LucasFilm, EA)
C. Stress financial incentives from govt agencies for creative multimedia
companies located in CJ (to be worked out with MDeC, FINAS, etc)
developing content adapted > Competition from
to specific geographic areas Northern Asian markets Target companies
– most global players are not due to their size & skilled
very present in SEA workforce (e.g. Japan for
mobile apps, India for 1 Dreamworks 4 Electronic Arts 7 (Back-up) Frog Design 10 -
films)
2 Blizzard 5 Studio Ghibli 8 -
Opportunities Threats 3 Disney 6
(Back-up) Moving
9 -
Picture)
1) National Film Development Corporation Malaysia, agency and authority entrusted with the responsibility of developing film industry in Malaysia, 2) Film in Malaysia Incentive,
3) Creative Multimedia Cluster
Action plan: ICT – Creative content technologies
Trigger discussions & align Seek Cabinet approval for Assemble and present incentive package to attract target companies
B with relevant agencies proposed plans
Establishing > E.g. tax benefits, research grants, discount on office rentals / land sales, training grants
> Initiate talks with MIDA, > Sector-specific incentives may
regulatory InvestKL require approval from Cabinet
> Meet with MOSTI, KKMM, > Approval process expected to
framework MDeC to discuss possibility of take ~9-12 months
coming up with customized
fiscal incentives
Talk to MDeC Define strategic R&D plan Execute R&D and talent development plans
C
> Set quantitative long-term program of
Fostering > Understand current public investment for R&D required
development > MDeC to serve as lead agency
local content program > Establish collaboration with MAGIC and relevant agencies like MIMOS or industry players to
> Determine if new Develop talent development make technology platforms available, for entrepreneurs to easily develop and market their
development agencies need to be programs ideas
> Discuss with Education Ministry & relevant
created (following
universities to develop suitable programs
the model of FINAS1))
1) National Film Development Corporation Malaysia, agency and authority entrusted with the responsibility of developing film industry in Malaysia
Positioning strategy: ICT – Mobile internet
Strengths Weaknesses > Specific agencies are already in place (e.g. MDeC,
MIMOS) – Cyberview to engage agencies on CJ's focus
> In line with the National ICT > Hardware aspect, i.e. Driver areas & jointly develop plans
Roadmap focus area of development of mobile > Cyberview to serve as intermediary to facilitate
"ubiquitous connectivity" devices is not within Champion
> Supported under the Digital Cyberjaya's strengths (e.g. discussion among stakeholders, incl. companies
Malaysia initiative high cost of investment, looking to set up, investors & property owners
Facilitator
> Complements the active need for manufacturing
promotion by MIMOS of the facilities and skill sets in
"Internet of Things" concept hardware development) Positioning strategies
> Existing courses on software
engineering offered in
several universities (e.g.
UTM, UM)
A. Market CJ as hub for development of mobile software and applications,
leveraging existing technology platforms by MIMOS
> Relatively low capital > Existing regional B. Collaborate with universities, e.g. MMU & Limkokwing to highlight talent
pool in software engineering in approaching mobile software companies
requirement for competition in mobile
development of mobile hardware development
software and applications
creates opportunities for
from South Korea and
China
C. Stress financial incentives from govt agencies for mobile internet companies
located in CJ (to be worked out with MDeC, MOSTI, MIDA etc)
start-ups > IDA1) in S'pore is driving
> Increasing use of mobile cross-sectoral application Target companies
internet leads to continued of innovative mobile
demand for new services (e.g. mGov
applications and software initiative drives the 1 Google 4 Apple 7 - 10 -
delivery of m-govt services)
2 Facebook 5 Samsung 8 -
Opportunities Threats 3 Twitter 6
(Backup) King Digital
9 -
Entertainm't
1) Infocomm Development Authority
Action plan: ICT – Mobile internet
Trigger discussions & align Seek Cabinet approval for Assemble and present incentive package to attract target companies
B with relevant agencies proposed plans
Establishing
> Initiate talks with MIDA, > Sector-specific incentives may > E.g. tax benefits, research grants, discount on office rentals / land sales, training grants
regulatory InvestKL require approval from Cabinet
> Meet with MOSTI, KKMM, > Approval process expected to
framework MDeC to discuss possibility of take ~9-12 months
coming up with customized
fiscal incentives
Talk to MIMOS Define strategic R&D plan Execute R&D and talent development plans
C
> Understand MIMOS' > Set quantitative long-term program of
Fostering existing platforms public investment for R&D required
> MOSTI & MIDA to serve as lead agencies
technology Talk to Develop talent development > Establish collaboration with MIMOS and other relevant agencies or industry players to make
platforms available existing technology platforms in Cyberjaya
universities programs
> Identify platforms > Discuss with Education Ministry & relevant
within unis e.g. universities to develop suitable programs
MMU
Positioning strategy: ICT – Cloud computing
Strengths Weaknesses > Specific agencies are already in place (e.g. MDeC, MIMOS)
– Cyberview to engage agencies on CJ's focus areas &
> One of the focus areas of > No weaknesses identified at Driver jointly develop plans
the National ICT Roadmap present > Cyberview to serve as intermediary to facilitate discussion
> In line with Digital Champion
among stakeholders, incl. companies looking to set up,
Malaysia's Shared Cloud investors & property owners
Enterprise Services project Facilitator
> Ability to leverage on the
MSC Cloud Computing
Initiative Positioning strategies
> Numerous data centers
already located in Cyberjaya
demonstrates availability of
experienced talent
A. Market CJ as cloud computing hub, given numerous data centers located in CJ
and lower-cost base compared to Singapore
> Increasing adoption of cloud > High degree of regional B. Highlight talent pool in cloud computing stemming from universities e.g. MMU
and UTM, as well as experienced talent working in CJ
computing solutions by competition including
enterprises due to the Singapore (IDA offers
benefits of reduced capital
outlay required
financial incentives for
companies adopting cloud
C. Emphasise incentives & programmes for co's involved in cloud located in CJ,
building on the MSC M'sia Cloud Computing Initiative
solutions), India (Bangalore
Is hub for innovative cloud Target companies
solutions) and China
(government provides
support for cloud via 1 Amazon 4 Google 7 - 10 -
collaborations)
2 Microsoft 5 RackSpace 8 -
Opportunities Threats 3 Salesforce 6 - 9 -
1) Infocomm Development Authority
Action plan: ICT – Cloud computing
Trigger discussions & align Seek Cabinet approval for Assemble and present incentive package to attract target companies
B with relevant agencies proposed plans
Establishing
> Initiate talks with MIDA, > Sector-specific incentives may > E.g. tax benefits, research grants, discount on office rentals / land sales, training grants
regulatory InvestKL require approval from Cabinet
> Meet with MOSTI, KKMM, > Approval process expected to
framework MDeC to discuss possibility of take ~9-12 months
coming up with customized
fiscal incentives
Talk to MIMOS Engage with MDeC Execute cloud technology development programmes and talent development
C plans
> Understand existing > Build on the current MSC Cloud Technology
Fostering cloud platforms Initiative to develop Cyberjaya-specific
progs2) > MDeC to serve as lead agency
technology Engage MSC Cloud Tech Partners 1) Develop talent progs > Establish collaboration with MIMOS and other relevant agencies or industry players (e..g.
the MSC M'sia Cloud Technology Partners) to make available existing technology platforms
platforms in Cyberjaya
> Identify cloud platforms available > Engage MoE & unis to
develop suitable progs
1) 6 partners identified by MDeC: Microsoft, Maxis, Exabytes, Skali, TM and Emerge; 2) E.g. Incubation and training programmes to encourage cloud software
development by independent software vendors located in Cyberjaya
Positioning strategy: ICT – Big data analytics
Strengths Weaknesses > Specific agencies set up (e.g. MDeC, MIMOS) – Cyberview
to engage these agencies & see how they can help to
> Can build on the established > Under-supply of big data
Driver increase CJ's attractiveness
data centre activity in CJ (data scientists currently in M'sia
access, industry players) Champion
> Cyberview should work on plans with relevant agencies to
> Pool of home-grown innovative encourage the widespread adoption of BDA, first for co's
companies in Cyberjaya (e.g. in CJ and then on a national scale
Pulse Group, Predictry) Facilitator
> Strong support from national
agencies (e.g. MDeC, Ministry
of Communication and Positioning strategies
Multimedia, Mampu1))
Market Cyberjaya as the most suitable hub for BDA in Malaysia given the
A. prevalence of data centres
2 Hortonworks 5 Teradata 8 -
Opportunities Threats
3 Cloudera 6 - 9 -
1) Malaysian Administrative Modernization and Management Planning Unit, which announced the creation of a product development and commercialization fund in 2015 to support
innovative and market-driven BDA products and services
Action plan: ICT – Big data analytics
Talk to relevant agencies Seek Cabinet approval for Assemble and present incentive package to attract target companies
B proposed plans
> Discuss with MDeC, MCMC about
Establishing possible customized incentives
> Sector-specific incentives may > E.g. tax benefits for companies developing BDA solutions, training grants, rebates for
regulatory require approval from Cabinet companies adopting BDA tools
Talk to MDeC & industry
framework > Approval process expected to
> Understand & review BDA adop- take ~9-12 months
tion program under "354
Roadmap"
Talk to MIMOS, MDeC &
C industry
Define strategic R&D plan Execute R&D and talent development plans
> Set quantitative long-term program of
Creating the public investment for R&D required
> Evaluate industry needs for > Set up big data academies (e.g. Pulsate's training centre) and
technology workforce & technology university programs
programs Define skills training requirements
ecosystem > MDeC to serve as lead agencies
> Assess MIMOS existing platforms > Engage education and industry training > Establish collaboration with MIMOS and/or other relevant
> Assess MDeC's talent devlpt plans players to develop relevant programs agencies/ industry players to make available existing
technology platforms in Cyberjaya
1) This applies to companies present in Cyberjaya, involved in BDA R&D activities but elsewhere, and not part of the 1st or 2nd priority companies (e.g. IBM)
Positioning strategy: Green technology
> Low competition in SEA – > Domestic competition B. Highlight the talents and the land availability in CJ, as well as the possibility
of using the town as a test-bed for new green technologies
opportunity to become the exists from other parks in
regional leader in this area Malaysia, such as
> Growing demand due to
global awareness – may
Technology Park Malaysia
or Kulim Hi-Tech Park
C. Stress financial incentives from govt agencies towards green technology
companies and their adoption (to be worked out with KeTTHA )
increase further with the UN > Established competition in
Climate Change Conf. in Asia in specific sub- Target companies
Paris in 2015 segments (e.g. wind
> Fast-growing areas of turbine & solar panels in
development, such as China, bio-gas in India) 1 Veolia 4 Siemens 7 Solazyme 10 First Solar
energy efficiency
2 Honeywell 5 Yingli 8 LanzaTech
Opportunities Threats 3 General Electric 6 ABB 9 KiOR
1) Malaysian Green Technology Policy, created in 2009; 2) Malaysian Green Technology Corporation; 3) Green Technology Financing Scheme, provides soft loans to
companies that supply and utilize green tech in their businesses; 4) Ministry of Energy, Green Technology and Water; 5) Malaysian Photovoltaic Industry Association
Action plan: Green technology
A Relevant Contact top 10 companies & follow-up discussions Reassess & update shortlist of
agencies to be • Companies to be contacted: Veolia, Honeywell, GE, target technology areas &
Initiating consulted Yingli Siemens, ABB, Solazyme, LanzaTech, KiOR, First companies
• To factor in new emerging areas and
contact with before Solar Contact other relevant co's
companies
approaching Talk to relevant development agencies or public services1)
companies • Roland Berger can assist in steering this
companies • To align with KeTTHA & MIDA if there are ongoing process
• Discuss possiblity of using CJ as
discussions with target companies a test-bed or national showcase
Talk to relevant agencies Seek Cabinet approval for Assemble and present incentive package to attract target companies
B proposed plans
• Discuss with MOSTI & KeTTHA
Establishing about customized incentives • E.g. tax benefits for companies involved in green technology & for companies developing
• Sector-specific incentives may
regulatory Talk to KeTTHA & industry require approval from Cabinet environment-friendly processes
framework • Approval process expected to
• Understand MGTP2) programs & take ~9-12 months
industry players needs to increase
adoption of green technology
> Potential to capitalize on ICT > Domestic competition B. Highlight potential to merge talents in biotech and growing expertise in data
analytics, which can pave the way for a bioinformatics hub
expertise in Cyberjaya to from other parks e.g.
develop the bioinformatics Technology Park Malaysia
market, and to position
Cyberjaya as a
> Strong regional
competition from countries
C. Emphasise incentives for BioNexus co's and financial incentives for biotech
co's specialising in bioinformatics and located in CJ (to be worked out with
bioinformatics hub such as Japan, China and BiotechCorp etc)
Singapore Target companies
1 Celgene 4 United Thera. 7 Regeneron 10 Genentech
2 Biogen 5 Life Tech. 8 Alexion
Opportunities Threats 3 Amgen 6 Vertex Pharma. 9 Genzyme
Action plan: Biotechnology
Engage BiotechCorp
C Define strategic R&D plan Execute R&D development programmes and talent development plans
> Understand existing > Set quantitative long-term program of
Creating the biotech platforms public investment for R&D in bioinformatics
> BiotechCorp to serve as lead agency
technology Engage industry players Develop talent programs > Establish collaboration with BiotechCorp and industry players to make available existing
ecosystem > Both biotech and data analytics > Engage relevant universities to
biotech platforms in Cyberjaya
cos to identify cross-synergies develop bioinformatics programs
potential
1) This applies to biotech companies located in other parts of Malaysia
Positioning strategy: Wearable technologies
Strengths Weaknesses > Relevant agencies exist, e.g. MDeC, MIMOS, but the
technology cuts across multiple disciplines, incl sensor
> Ability to leverage CJ's ICT > Hardware aspect is less Driver technology, wireless technology, software
experience and expertise aligned with CJ's areas of development, microelectronics etc
> In line with Digital M'sia's strength - i.e. highly Champion
aim of developing a digital competitive with low-cost > Cyberview to serve as active advocate to promote WT
economy producers from China and among relevant agencies
Facilitator
> Complementary with Taiwan; requires higher
MIMOS efforts in the capital investment
development of "Internet of Positioning strategies
Things"
> Universities currently
provide talent supply, e.g.
USM, UM, UTM
A. Market CJ as a hub for development of WT, capitalizing on ICT expertise and
software development know-how
> Potential to leverage > Regional competition from B. Highlight availability of talent across disciplines of ICT, sensor and wireless
tech, microelectronics and E&E from various local universities incl. USM,
national advances in sensor more advanced countries UTM and UM
and wireless technologies to such as Japan, Taiwan and
Emphasise financial incentives for co's involved in wearable technology
develop technologies for
wearables
South Korea who are at the
forefront of WT
C. located in CJ (to be worked out with MDeC, MOSTI, MIDA etc)
> Strong national capabilities
in semiconductor and Target companies
microelectronic
manufacturing in Penang
provide easy access to 1 Samsung Elec. 4 Google 7 Jawbone 10 Pebble Tech
components
2 Adidas 5 Nike 8 Sony
Opportunities Threats 3 Garmin 6 Fitbit 9 Eurotech
Action plan: Wearable technologies
Trigger discussions & align Seek Cabinet approval for Assemble and present incentive package to attract target companies
B with relevant agencies proposed plans
Establishing
> Initiate talks with MIDA, InvestKL > Sector-specific incentives may > E.g. tax benefits, training grants, rebates, assistance to fund R&D, etc
regulatory > Meet with MDeC, MOSTI on require approval from Cabinet
potential incentives to promote > Approval process expected to
framework WT in CJ take ~9-12 months
Engage MIMOS
C Define strategic R&D plan Execute R&D development programmes and talent development plans
> Understand existing > Set quantitative long-term program of
Creating the platforms for WT1) public investment for R&D required
> Cyberview to serve as active advocate or champion for WT
technology Engage relevant industry players Develop talent progs > Establish collaboration with MIMOS and industry players to make available existing
ecosystem platforms relating to WT, e.g. sensor & wireless technologies as well as microelectronics in
> Identify players offering > Engage unis to develop WT Cyberjaya
complementary tech, e.g. sensor & programs and training
wireless tech
1) Including numerous sensor and wireless platforms already developed and owned by MIMOS
Positioning strategy: Smart grid technology
> Pool of companies in > Possibility to see B. Offer up testing facilities for smart grid technology, as well as the possibility
for foreign co's to collaborate with local players and government agencies
Cyberjaya active in smart competition emerging for commercial roll-out
grid activities elsewhere from other Malaysian tech
(e.g. Fujitsu, Mahindra)
> Increasing number of real-
parks focusing on ICT &
green technology, such as
C. Stress financial incentives from govt agencies towards real-world smart
grids projects (to be worked out with SEDA3) , MOSTI or KeTTHA)
world project in Malaysia Technology Park Malaysia
(e.g. Melaka, Mukah Smart Target companies
City)
Talk to relevant agencies Seek Cabinet approval for Assemble and present incentive package to attract target companies
B proposed plans
• Discuss with SEDA, KeTTHA
Establishing about possible customized • E.g. tax benefits for municipalities implementing smart grids projects
• Sector-specific incentives may
regulatory incentives 2)
Talk to MGTC & Tenaga N. require approval from Cabinet
framework • Approval process expected to
• Understand MGTP3) programs take ~9-12 months
• Engage Tenaga Nasional to
under-stand future development
plans
Talk to agencies & industry
C Define public development plan Execute infrastructure & public development plans
• Evaluate industry needs for • Set quantitative long-term program of public
Fostering public R&D programs, workforce R&D investment and talent development • SEDA, MDeC, KeTTHA to serve as lead agencies
technology and testing facilities in Cyberjaya • Set up test-bed facilities in Cyberjaya, follow-up with university talent
• Assess SEDA/MDeC's existing Define infrastructure investment plan programs
platforms development plans and MIMOS • Establish collaboration with MIMOS and/or relevant agencies/ industry
• Engage with relevant partners to set up
technology platforms players to make available their current development projects in Cyberjaya
infrastructure and test-bed facilities in CJ
1) This applies to companies present in Cyberjaya, involved in smart grid activities but elsewhere, and not part of the top 10 priority companies (e.g. Mahindra, Huawei)
2) Malaysian Green Technology Corporation 3) Malaysian Green Technology Policy 4) Sustainable Energy Development Authority
D. IMPACT
The Global Technology Hub implementation is expected to
deliver GNI impact of RM 2.4 bn and 6,600 new jobs between
2014-2020
Conclusions
5 focus technology areas … Defined action plan in place … GNI and jobs boost
1 ICT technologies 1 Initiate contact with companies Total GNI impact 1), 2014-2020
1a Information security
RM 2.4
1b Creative content tech
billion
1c Mobile internet
2 Establish regulatory framework
1d Cloud computing
1e Big data analytics Total jobs created 1), 2014-2020
2 Green technology
3 Biotechnology
6,600
3 Foster technology platforms
jobs
4 Wearable technologies
5 Smart grid technology
Resources Talent > Steady flow of talented graduates from the 3 funding universities
Infrastructure (hard and > Conference center, high-quality broadband, 5 incubators on-site providing services and advices
> A new regional tram system to be built, and new affordable housing and residential spaces
soft) > Recreation activities not attractive to young professionals (e.g: nightlife, cultural events)
Linkage between research > Numerous invention disclosures and licence agreements with university departments
Network > Public-private partnerships remain very common in the park's activities, especially with universities
institutes and industry
> Efforts made to introduce multi-use, cooperative spaces and shared amenities designed to foster
Knowledge transfer collaboration and unity
> Networking events to foster open exchange of ideas (e.g: Get connected @ RTP, RTP 1800)
> Host several iconic organizations and networks (e,g: IUPAC, the Hamner, the William Burroughs
Support systems Welcome Fund, or Sigma Xi) to help recently created companies
> Stable management by The Research Triangle Foundation of North Carolina, a non-profit
Regulation & Clarity of roles & organization
objectives > Involvement of both industrial players and academia in the decision-making process
Governance for STP management
> Clear vision mapped out in the Master Plan 2011
Clear vision > However, lack of measurable objectives in the Master plan
> No funding for potential tenants / specific grants for locating within the boundaries of RTP
Clear incentives > Incentives to be found through state and regional agencies, especially for specific industries,
such as digital media and biotechnology
Overview of Sophia-Antipolis
> Established in 1969
> Europe's largest park, founded to foster the development of
collaborative research between industry and universities
> Park size: Total of 6,000 acres
Concept > Mixed model of development
> Park is applying for the newly introduced 'French Tech' label
which would give it better access to public funding
> 9,102 inhabitants with a large student community Examples of major tenants
> Park surrounded by large national park and several large
villages Chemistry/Biochemistry Information Technologies
Liveable
> Many retail outlets, recreational activities (e.g: golf, tennis,
aspects
fitness) and international schools to attract foreign workers
> Transportation services is the key concern – New bus system is
already planned and aerial tram system being studied
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: Foundation Sophia-Antipolis, Roland Berger analysis
Benchmarking – Technology parks: Sophia-Antipolis, France
Assessment of Sophia-Antipolis
Resources Talent > Many campuses of top universities and engineering/business schools on-site
> Ability to attract the students thanks to the quality of life and the environment
Infrastructure (hard and > Weak public transportation services (traffic jams, high-frequency bus systems only planned for 2017)
soft) > Commercial areas, and several incubation facilities available(e.g: Sophia-Antipolis Business Hub)
> Sophia Business Angels, specialized in ICT, healthcare, robotics and sustainable development
Funding > Close collaboration with banks and government agencies providing financial grants
> Declining activity from private venture capital funds
Linkage between research > Existing programs linking academic research/industries and public institutes/start-ups
Network > SATT South-East organizes collaborative work projects, foster communication in the park, and bring
institutes and industry innovation from public research to industrial sector via commercial licensing for companies
> S-A 'Business hub': Co-working spaces & shared innovation platforms (e.g: 'Comm4Innov')
Knowledge transfer > Campus@SophiaTech: Research and teaching center devoted to networks, bioinformatics
> Network and training sessions organized, especially for start-ups and SMEs
> Formal association of stakeholders ("Secure comms solutions" cluster) to facilitate engagement
Support systems > Also other associations available to help create links and synergies, and to support recently created
companies
> 2 main associations with separate responsibilities, are responsible for the park's development
Clarity of roles & objectives
Regulation & "Foundation Sophia-Antipolis" and Symisa (which is made of several public shareholders)
for STP management > Slow decision-making process for strategic issues due to multiple stakeholders involved
Governance
> New vision for the park recently published (Sophia 2020)
Clear vision
> Clear vision for the infrastructure improvement, lack of measurable development KPIs
> Various amenities to improve quality of life (e.g: Childcare Examples of major tenants
facilities, health and fitness club)
> Railway and bus tunnel projects are still under discussion Biomedical/Pharmaceuticals Computer/Telecoms
Liveable
> To address rising property prices, Cambridge University is
aspects
working on "North West Development" ,a £1bn development
to build new houses, a nursery, retail areas and medical
centres
Resources Talent > Strongly benefits from its proximity to Cambridge University
Infrastructure (hard and > Specific services for start-ups, such as incubation facilities
> Several facilities available (e.g: gym, nursery, pubs), investments for building more housing options
soft) > Transportation infrastructure needs to be improved (fast train project, new roads being studied)
> Large number of angels funds and venture funds, very active in the area
Funding
> Includes the regional office of 3i, the UK’s leading venture capital company
Linkage between research > Large number of spin-off companies from the university's research department
Network > Management priority remains ensuring that academic research is close to industry applications
institutes and industry
> Shared facilities available, and networking events and conferences organized on-site
Knowledge transfer > Existing knowledge transfer program much more focused on exchange between large companies
and university students/research rather than between large companies and SMEs
> Creation of 'Cambridge Enterprise' to support the University's entrepreneurs, and make them
Support systems benefit from existing networks and industry contacts
Clarity of roles & objectives > Promotion by the University's college, and minimal bureaucracy present
Regulation &
for STP management > No central management body – Land management carried out by a local property specialist
Governance
> No holistic vision – Only the objective to bring together academia and industry for innovation
Clear vision
> No qualitative or quantitative KPIs
> New tax incentives for qualifying patents, though not park-specific
Clear incentives > Still room for improvement in terms of measures encouraging research funding and innovation
Source: Cambride Science Park Newsletter, Trinity college, Roland Berger analysis
Benchmarking – Technology parks: Daedok Innopolis, South Korea
> International school and several museums (e.g : Buyeo National Examples of major tenants
museum) with regular festivals organized
> More affordable housing, a buzzing city center and Technology companies Public research institutes
Liveable entertainment areas will be built to improve attractiveness to
aspects younger population
> New roads are also planned, as well as a bridge between the
park and Daejon City to increase its integration and
connectivity
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: World Technopolis Association, Roland Berger analysis
Benchmarking – Technology parks: Daedok Innopolis, South Korea
Infrastructure (hard and > Focus on quality of life offered, including recreational activities, and transportation infrastructure
soft) > Incubation facilities and support services offered, but can be improved
> Innopolis Foundation funds available to foster the development and growth of local companies
Funding > Small presence of VC funds or business angels compared to other parks
Network Linkage between research > Hub-and-spoke system linking research capacity with advanced industries
institutes and industry > Numerous shared research centers created (e.g: KAIST/Hyundai Heavy Industries)
> Strong tradition of transfer knowledge from research institutes to surrounding companies
Knowledge transfer > Weak technology transfer during the collaboration between MNCs and SMEs
> Cooperation agreements with other tech parks, to foster know-how that benefits park tenants
> Support available from Innopolis Foundation for technology at the commercialization stage
Support systems
> No clear mentorship program to help SMEs and start-ups
Clarity of roles & objectives > Developed and managed by Daedeok Innopolis Foundation, under jurisdictional control of Ministry of
Regulation & Science, ICT and Future Planning
for STP management > Highest-level management common between the three other Innpopolis parks
Governance
> Strong vision of the center's role (from a research institute park to a global innovation cluster)
Clear vision
> Quantitative and qualitative objectives clearly set out
Clear incentives > Tax benefits and less strict regulations (e.g. pertaining to construction) for Innopolis-status
companies
1) Korean Advanced Institute of Science & Technology
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: World Technopolis Association, Roland Berger analysis
Benchmarking – Technology parks: One-North, Singapore
Overview of One-North
> Established in 2001
> Developed as a model of integrated platforms with areas Vista Xchange
dedicated to specific research fields, such as Biopolis (Business & Lifestyle)
> Close proximity to MRT station & connected by major roads Examples of major tenants
> Designated green spaces within the park (Rochester Park)
> Cultural & recreational activities (e.g: SPAC2)), and facilities Information Technologies Biomedical/Pharmaceuticals
Liveable designed for workers (e.g: Learning Vision for childcare)
aspects > High price of existing housing supply (e.g: One-North
Residence)
1) Agency for Science, Technology and Research 2) Star Performing Arts Centre
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: EDB Singapore, Ministry of Trade and Industry, Roland Berger analysis
Benchmarking – Technology parks: One-North, Singapore
Infrastructure (hard and > Efforts to create a liveable city: housing options (Wessex Estate), recreational activities (Star
Performing Arts Centre) and numerous facilities (chilcare centers, retail areas), green parks, etc.
soft) > JTC Launchpad : Cutting-edge facilities and incubators to create vibrant start-up communities
> Global VC players (e.g : CVC) and Government research funds on-site, especially in Block 71
Funding > The VC scene is not very active due to low level of tech entrepreneurial activity
Linkage between research > Partnerships and co-development facilitated between universities and private companies (e.g:
Network AstraZeneca with NUS Medical School on cancer research)
institutes and industry
> Shared amenities to promote collaboration between researchers in both private and public sectors
Knowledge transfer
> Public labs work alongside corporate labs to transfer and accelerate the development of technologies
> No support programs for start-ups and SMEs except for access to incubation facilities
Support systems > Agreement to make innovation testing possible (e.g: in the Kent Ridge public hospital for Biopolis)
> Developed and managed by JTC, an industrial estate management company under the Ministry of
Regulation & Clarity of roles & objectives Trade and Industry
for STP management
Governance
> Make the hub as big as ones in the US by lowering entry barriers for new companies in Asia
Clear vision
> Clearly laid out action plans to achieve this vision
Source: EDB Singapore, Ministry of Trade and Industry, Roland Berger analysis
Benchmarking – Technology parks: Zhangjiang Park, China
Infrastructure (hard and > Govt and high-tech companies provide strong support to main Zhangjiang incubator
soft) > Facilities, housing and tramways – Convenient transportation to the international airport
> Presence of specialized institutes (e.g: Medicine Institute of the Chinese Academy of Medical
Network Linkage between research Sciences)
institutes and industry > Some joint programs exist between these research institutions and multinational R&D departments
> Some SMEs can benefit from programs that outsource research to large MNCs (e.g. AstraZeneca)
Knowledge transfer
> Due to Intellectual Property issue, knowledge transfer remains underdeveloped
Clarity of roles & objectives > Managed by Zhangjiang Hi-Tech Park Development, under the Municipality's authorities –
Regulation & Responsible for both real estate services and park development decisions
for STP management
Governance
> Be a national model for innovation and a laboratory for new administration schemes
Clear vision
> No clear KPIs set up by the Municipality
> Park-specific policies exist, relating to R&D expenses and equity incentives for employees
Clear incentives
> Expeditious customs clearance provided on-site
Tel Aviv ranks 2nd globally, due to its strong entrepreneurial culture,
highly developed funding ecosystem and large supply of talent
London is the leading start-up hub in Europe due to its talent pool,
strong support system and reputation as a global metropolis
London Start-up Ecosystem
Support
index
Support > Lack of regulatory incentives for start-ups and
Description > Largest start-up ecosystem in Brazil, with 605 structural issues (e.g. legal system does not allow
start-ups
10 funding structures such as options/convertible
notes)
> Cost of doing business still high due to high taxes
and bureauracy
Notable > e-Commerce > Lower technology adoption than in Silicon Valley
start-ups Trend-
> Aggregator setting > Sao Paulo start-ups rely heavily on PHP and .NET,
> Social network less on Java and Ruby
> Online education
5
CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Source: Startup Ecosystem Report 2012 (Startup Genome), Roland Berger analysis
Benchmarking – Start-up hubs: Singapore
Support
index
Support > Highly active accelerators like Joyful Frog Digital
Description > Leading start-up ecosystem in Asia Incubator provide funding and mentoring to local
> #1 spot in the World Bank's "Ease of Doing 5 startups; Presence of intermediary organization
Business" ranking between entrepreneurs and angels (e.g. BANSEA)
Support
index
Description > Accounts for 41% of all new ventures Support > Lacks incubators
launched in India > Requires more government support to establish
> 4th largest tech cluster after Silicon Valley,
6 funded or supported incubators to bring together
Boston & London entrepreneurs at ideation stage
Notable > e-Commerce Trend- > Low rate of technology adoption – Bangalore
start-ups > Software co. setting engineers heavily rely on PHP and Java, and much
(acquired by Facebook)
less on Ruby and Python compared to their peers in
> Digital agency 1 Silicon Valley
Source: Startup Ecosystem Report 2012 (Startup Genome); Roland Berger analysis CYBERJAYA GLOBAL TECHNOLOGY HUB BLUEPRINT
Thank You
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