Networks in the Russian Market Economy by M. Lonkila

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By M. Lonkila

A PDF model of this ebook is offered at no cost in open entry through the OAPEN Library platform, www.oapen.org. This booklet examines the importance of networks one of the companies operative within the modern Russian software program within the St. Petersburg sector.

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These impressions of the comparatively small size of Russian IT companies are supported by a 2008 survey directed at companies who were to some extent involved in exports of software products and services from Russia. Of the 96 companies who responded to the survey, 47 percent employed up to 30 people, 43 percent from 30 to 500, 5 percent from 500 to 1000 and 5 percent more than 1000 people. 5 to 10 million and only 10 percent over 10 million USD. ICT use in Russia Though the figures on ICT use in Russia vary depending on the source and methodology, the general trend has been that of extremely quick growth.

As Khotin’s work was not in any way related to computers and his laboratory did not have one, he was introduced to the world of computing by a lucky coincidence. In the Soviet era, the employees of the institute were sent once a year to help nearby state farms to harvest potatoes. During these trips, which were called kartoshka (potato) by the staff, there was not much to do in the evenings but drink vodka and get to know the researchers from the other laboratories. Bumping into one of these acquaintances at the institute later on proved crucially important for Khotin’s future: I ran into this guy in the corridor of our institute.

After the economic crisis of 1998 and especially in the 2000s, prices fell as competition was freed, cellphones lost their elite character, and their use exploded (Gladarev and Lonkila 2008). 1). Within the IT sector, the table shows how hardware’s proportion of the total IT markets diminished from 66 percent in 2003 to 56 percent in 2007, while during the same time the proportion of software development grew from 13 percent to 18 percent, and that of services from 21 percent to 26 percent. As the example of Ireland shows, software exports may function as an important source of foreign currency revenue in a national economy.

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