Employment soars in apps economy
EP&T MagazineElectronics Engineering
The number of people employed in Canada’s apps economy has grown to over 64,000, and will top 110,000 by 2019, say analysts at the Information and Communications Technology Council (ICTC). The estimates and projections were released today in the Council’s second look at the red-hot Canadian mobile apps landscape, The Appification of Everything: Canada’s apps economy value chain.
The report, which is based on survey, secondary data and interviews, finds that the number of people employed in the development of apps has grown by nearly 25% since the Council released a first report in October 2012. Enterprises developing apps are generating $1.7 billion in revenue per year – expected to reach $5.2 billion by 2019.
The lion’s share of apps development is occurring in Ontario, where 28,700 are employed in developing apps (both technical and non-technical workers). Quebec is another hub of activity with its 14,000 apps jobs.
While the scale and growth of the Canadian apps economy is impressive, ICTC analysts say the potential to grow even larger through export is significant. Currently, 40% of revenue derived by companies developing apps is generated within the same province, and another 17% from other Canadian provinces. Just 28% of revenue is currently being generated from the US.
As in every sphere, access to capital and talent are the key challenges faced by Canadian apps developers. With respect to ensuring a sufficiently skilled workforce, 57% of enterprise respondents to an ICTC survey say they are “concerned” or “very concerned”; just 14% say they are “not at all concerned.”
“Mobile apps are a fast-growing, vibrant sector of the economy,” said Namir Anani, President and CEO of ICTC. “We consider that talent is one of the most important considerations in ensuring Canada takes full advantage of this opportunities offered by mobile technologies and mobile apps. We continue to work towards ensuring a sufficient supply of this talent by encouraging youth, Aboriginals and women to pursue technology careers, and by providing opportunities for training and up-skilling to all Canadians in all sectors of our economy.”
“Wireless telecommunications continue to be essential to our country’s productivity and prosperity,” said Bernard Lord, President and CEO of the Canadian Wireless Telecommunications Association. “The mobile apps sector of the industry in particular is proving to be a key driver of investment, innovation, economic growth and job creation.”
The Appification of Everything is now available for free download from http://www.ictc-ctic.ca/?page_id=19905. It was made possible in part by generous sponsorship by the Canadian Wireless Telecommunications Association.
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