Brief Overview of Software Market in Armenia
Source: U.S. Embassy, Yerevan
Author: George Isayan, BISNIS Representative
Date: August 1999
Armenia offers attractive investment opportunities to software developers. There is a growing number of local software companies. Several U.S. firms have already started successful software projects in Yerevan, Armenia's capital, employing Armenian programmers and using the benefits of qualified and low cost labor. A number of Armenia-based programmers also work for U.S. companies' headquarters via the Internet. While local Armenian companies primarily serve the limited internal market, the American companies have exploited the export niches, developing software for international markets. The country possesses a significant number of programmers, most of whom are graduates from the state university of Armenia and the State University of Yerevan and the Yerevan Engineering University. Many of these programmers worked for the defense industry in the past. The industry currently employs over 300 programmers, of which almost 100 are employed by HPL Armenia, a subsidiary of the Silicon Valley-based Heuristics Physics Labs, Inc. HPL has become the largest software firm in Yerevan. There are also 10 other large companies engaged in software development. The products include educational, financial, industrial, scientific, management, and other software packages.
Investment Prospects
The high skill level of Armenian programmers and low cost of research and development in Armenia are the main driving factors for US software developers. Existing subsectors include chip testing, telecommunications, Internet applications, and stock market data processing.
Internet Connectivity
Internet connectivity is offered by the following two main Internet providers through cable radio modem channels, or direct satellite connections.
Arminco Global Communications
A. Alexanian, CEO
26 Isahakian St., Yerevan-9, Armenia
Tel: (374-2) 526-326
Fax: (374-2) 285-082
Email: postmaster@ arminco.com
support@arminco.com
Website: http: //www. arminco.com
Infocom
A.Gabrielaian, CEO
22 Saryan St., Yerevan-2, Armenia
Tel: (374-2) 530-369
Fax; (374-2) 528-858
E-mail: postmaster@mtd.Armenia.su
NOTE:
Infocom has become part of the Greek-owned "Armenia Telephone Company" (Armentel), which holds an exclusive license for almost all types of fixed and mobile services in the territory of Armenia. Armentel can be reached at 2 Aharonyan St., Floor 9, Yerevan-14, Armenia Tel: (374-2) 580-123
Fax: (374-2) 151-001
Key Contacts
Lsoft
24 Pavstos Byuzand St., Yerevan, Armenia
Tel: (374-2) 564-517
Fax: (374-2) 151-441
e-mail: efanel@arminco.com
Contact: Larisa Lalayan, President
Software Products:
"LSbank" LAN based banking system for the Armenia central bank
"LS Minfin" LAN based database for the Armenian Treasury
"LS Finance" LAN based database for Armenian Airlines
CEDIT
Hovhannes Aboyan, Director
5 Hanrapetutian Bldg B, Floor 4, Yerevan-10, Armenia
Tel: (374-2) 529-432
Fax; (374-2) 151-548
E-mail: havoyan@www.cedit.amilink.net
Software Products:
JavaPro, a tool for financial trading system
Automated financial trading system
A system for trading, settlement, and analysys of currency, bonds, and other securities and futures traded on the Yerevan Stock Exchange
Migma
Grigor Barseghyan, Director
15 Sayat Nova Street, Yerevan, Armenia
Tel: (374-2) 564-849
Fax: (374-2) 521-356
Software Products:
Multimedia Programs
Software Development: Promising Leads
Industry: Software Development
Company: Migma L.L.C.
Migma was established in 1996 in Yerevan as a private company. Migma is a dealer of the Moscow-based Formoza company which is the distributor of INTEL, Hewlett-Packard, and Microsoft products in Russia. The companys' main activities are: sales of Formoza computers, peripherals, and supplies, warranty services, and software development. The company has supplied computers to the following organizations: United Nations Development Program Office, the Russian Embassy, Armenergo (Energy Utility), large advertising agencies, Armenian Railroad Administration, and others. The company regularly advertises its services in the local press.
Migma has developed various programs, including: multimedia program which provides information on the history and culture of Armenia; Universal security system for Windows-95/3x, Dos; a modeling program; text editor, etc. Programming languages used are: Visual Basic, C++, Pascal, Borland C++5.x, Borland Delphi 3. The company has 20 programmers who work on Celeron-366 and more powerful PCs.
Migma plans to expand its business and looks for cooperation with U.S. software engineering companies in the areas of joint development of software, its marketing and selling. The company is ready to accept orders for the multimedia system programming. High-quality and low cost services of Migma 's programmers, office space, and sales support within the NIS countries are available.
Contact: Mr. Grigor Barseghyan, Director
Migma L.L.C.
15 Sayat-Nova St., Yerevan, Armenia
Tel: (374-2) 564-849
Fax: (374-2) 521-355, 521-356
E-mail: migma@post.com
Industry: Software Development
Company: Lsoft
Lsoft was established in 1995 in Yerevan as a limited liability company. The company specializes in software development for financial and banking sectors. Among Lsoft's large software products are: "Ls Bank" - lan based banking system for the Central bank of Armenia, "LS Minfin" - LAN based database for the Armenian Treasury, "Ls Finance" - LAN based database for Armenian Airlines. Lsoft occupies 1,291 sq.ft. of office space in downtown area of Yerevan, including 646 sq.ft. of leased premises. The company employs 12 people of which 10 are programmers.
Lsoft seeks a U.S. partner to expand its customer base for its products including database application, games, systems for solving various mathematical and engineering problems and applications. High-quality and low cost services of Lsoft's programmers and office space are available.
Contact: Larisa Lalayan, President
Lsoft L.L.C.
24 Buzandy St., Yerevan, Armenia
Tel: (374-2) 564-517
Fax: (374-2) 151-441 (Attn. Larisa Lalayan)
E-mail: efanel@arminco.com