ICT represents one of the engines of the Hungarian economy, with a relatively high contribution to the country’s GDP (around 8%). Although a rather small market, it remains one of the most advanced in Eastern Europe and the very first to have made the transition from central planning to a market economy.

Resellers and service companies dominate the Hungarian ICT distribution system, with a proportion of 40% and 45% respectively, while manufacturers represent only 5%. Most activities are concentrated around the capital city Budapest, where the largest distributors' headquarters can be found. VARs account for 47% of the channel partners. B2C e-commerce remains under 1% of the total retail business revenue.

The demand in the Hungarian market currently concentrates on desktop and system hosting and operating services, as well as business applications. The software market is one of the fastest growing IT segments in Hungary; its proportion grew considerably in the past two-three years. The country has a strong position in IT data security and data protection and character recognition software as well as in bio-informatics. The demand has also been growing for business intelligence applications, data management applications and ERP solutions for SMBs.

The large outsourcing companies in Hungary offer more outsourcing services (by means of offshoring and nearshoring), especially in the telecommunications sector.

As regards the telecom sector, embedded mobile applications and software development for mobile devices are key drivers. The telecom market continues to expand, driven by strong demand. Wireless communication is also an important growth factor. The PABX market is rather mature as well, due to a strong presence of some well-known brands.

compuBase definition by main activity compuBase coverage (2010) Manufacturer Software publisher Publisher of software for a specific activity Publisher of software for a specific business processI Software solutions integrator (developed by third parties) IT services, software development (hosting, training, etc.) Telecom services (Telecom operator, ISP, etc.) Telecom & network infrastructure integrator IT infrastructure integrator Consulting Reselling to consumers Reselling to businesses (hardware, software, services, etc.) Wholesaler (resale of IT products to resellers) Large assembling company Other ICT related activities 58 9 30 67 1 401 34 43 11 29 93 279 84 - 12 - Statistics on Hungary - compuBase online counting tool - Quotation on the Hungarian database

-Distribution player:
RRC Hungary KFT; YOUNG B.T.S KFT; EXPERT COMPUTER KFT; SVED SZAMITASTECHNIKAI ES; KERESKEDELM ZRT; COMPUTER EMPORIUM KFT
-IIT Channe perss & playerst:
BBS-INFO KÖNYVKIADÓ ÉS INFORMATIKAI, SZAK KIADÓ...
- Public organisations & Useful associations:
IDC, HUNGARIAN Association of IT Companies (IVSZ), HUNGARIAN Association of Content Industry (MATISZ)

General Data
• Area: 93,030 km2
• Population: 9.906 million
• HDI (2006): 0.877

Macroeconomic Data
• GDP/capita (est.2009): 14,499€
• GDP/capita vs. US (2008): 45%
• GDP growth(est.2009): -0.26%


Other macroeconomic information:
- Important commercial partners
- Private sector: it represents more than 80% of the market
- The very first Eastern European country to get rid of the communism
- Strong cultural and commercial background with Germanic countries
- Being an UE member since 2004 has a strong impact at an economical level

- EITO - European Information Technology Observatory
- OECD: ICT Statistics
- OECD: Hungary information
- CIA: Hungary information
- Hungarian Central Statistical Office
- Hungarian Government

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