1. Economical Impact of Innovation

2. Redistribution of wealth Aging in developed world Playing field is levelling Factor 5x Digitalization is redefining global economy Examples R&D 24x7 Healthcare Hospitality business Tax returns Income pyramid in EM The World Today Is Flat

3. Challenge: Innovate For Competitive Advantage Europe’s innovation gap: Knowledge creation Knowledge creation Entrepreneurship Entrepreneurship Application Application Intellectual Property Creation Intellectual Property Creation Innovation Metrics: Source: European Innovation Scoreboard 2005

4. Challenges For The Next 10 Years Increase productivity and economic competitiveness Protect quality of life Manage demographic change

5. Education Local Economy Technology 21st Century Government Regional Agendas National Strategies Growing Local Economy Education & Capacity Building Realizing Potential e-Gov solutions, Public-Private- Partnerships Microsoft Partners, SMB Programs, ISV Enablement, EUGA, R&D, Jobs PiL, UP, Home PC Programs, “No citizen left behind” Working together

6. Enabling innovation in Hungary I. Microsoft’s EUGA initiative EUGA to the market and government Helps to utilize EU funding for SMBs, non-profit organizations and local and regional governments eGovernment projects at municipalities and central government eHealth projects at hospitals and in central Health Administration Boosting usage of ICT tools at SMBs Competitiveness report – correlation between ICT absorption and economic competitiveness Proposals to government on ICT related programs

7. Enabling innovation in Hungary II. ICT Sector allience EUGA for the ICT sector Cooperation with largest IT Association IVSZ on developing local ICT companies Helps Hungarian ICT companies to develop innovative ICT solutions and leverage EU and national funding Helps our partners to join multinational networks, acquire foreign market Training for efficient knowledge transfer and technology help in implementation EU best pactice showcases and Hungarian best practices

8. The Human Factor 4 university competence centers (ELTE, SZTE, BME, BMF) 11 MS IT Academies in high education More than 20 000 teachers trained on ICT 300 000 students reached by local developed ICT books The “101 ideas for innovative teachers” book was developed in Hungary, translated into English and distributed world wide SW and cash donation for IT training investments and NGO capability building to support disadvantaged target groups via MS Unlimited Potential program Future Plans Additional teachers will be trained for Windows Vista and Office 2007 and also will be visited by the Innovative Teachers Network Roadshow Approx. 50 Microsoft IT Academies in secondary schools will teach market ready knowledge for students 200 000 students and adults will be reached by the Microsoft Digital Literacy curriculum to help the employabilty goal