Welcome!

Related Topics: @ThingsExpo, @CloudExpo

@ThingsExpo: Article

Russia Lags Badly in ICT Dynamics

As Sochi Olympics Open, We Take a Look at the Bear

With the Sochi Winter Olympics opening, it seems a good time to take a look at how Russia does in our research. There is some good news, although the country could certainly do much better.

No serious discussion of Russia today is possible without mention of country President Vladimir Putin. Indeed, this strongman is clearly on a personal mission to go into the history books alongside Peter the Great and Lenin as his country's most influential leaders.

Putin's influence is such that he's considered to be the most powerful person in the world by Time magazine, among other sources. His control over Russia's politics, media, culture, and business seems to be absolute.

Ironic Reality
Thus it may seem ironic to President Putin that his power is his country's biggest obstacle to progress. A few noteworthy items:

  • His country is perceived as being very corrupt, according to the Perception of Corruption Index, one of the factors we use in our research. Russia's PCI number ranks it 92nd among the 102 nations we survey - worse than Syria and Pakistan, for example.

  • A large income disparity that arose during Boris Yeltsin's time as Russia's leader does not seem to be improving under Putin. Russia finishes 68th in this category in our rankings, lower than China, Senegal, and the Ivory Coast, for example. Its ranking here is in dramatic contrast to neighboring Ukraine and several former Soviet satellite nations.

  • Business leaders who challenge Putin politically can get thrown into prison. This has had a chilling effect on foreign investment. Although Putin touts a recent tripling of foreign direct investment into the country (reaching $55 billion in the first half of 2013), capital outflow has exceeded outside investment in the country for several years. FDI is not one of the factors we measure, a lack of it will show up in the technology factors that we do measure.

In our overall rankings, Russia lags not only globally, but more important, in comparison to many of its neighbors. Russia finishes 80th in our overall rankings, and dead last among the 33 European countries we survey. It badly trails all of the former Soviet satellite states. Within its income tier (countries with per-person incomes between $13,000 and $30,000), Russia finishes 15th among 17 nations we survey, leading only Saudi Arabia and Oman.

Hope Spring Eternal
There is a glimmer of hope in our raw rankings, which de-emphasize the socio-eonomic factors. Here, Russia finishes is actually considered to be one of our "Goldilocks" countries - the dynamics of its ICT infrastructure shows an impact that is neither growing too rapidly (too hot), nor to slowly (too cold), but "just right." Other Goldilocks nations in the region include Latvia, Poland, the Czech Republic and Slovakia, and Slovenia.

Putin has reputedly authorized more than $50 billion to be spent on the Sochi Olympics, an absurd amount that is more than six times the amount spent by Vancouver to hold a perfectly beautiful Olympics in 2010.

The $50 billion is equal to 2.5% of the country's GDP - this is comparable to spending $400 billion in the US. This amount is also enough to build new power plants for about two-thirds of Russia's population, or an entire year's worth of all the new datacenters in the world.

Apolitical Blues
We make no judgements on the form of governments in the nations we survey or on local politics. Our view is that the combination of factors that we integrate into our unique algorithms creates an accurate picture of what a nation's government is doing for its people.

For Russia right now, it's not a pretty picture. Although I stay quite busy, I will take Vladimir Putin's call if he tries to ring me. I doubt he will, as he seems not to listen to many people.

However, I do encourage him to look at his country's resources and people, and ease up a bit on his totalitarian tendencies. Investors would be happy to get excited about Russia again - as they did in 1991 - and work to improve a promising technology infrastructure that will only improve the lives of the country's people if developed more robustly.

Contact Me on Twitter

More Stories By Roger Strukhoff

Roger Strukhoff (@IoT2040) is Executive Director of the Tau Institute for Global ICT Research, with offices in Illinois and Manila. He is Conference Chair of @CloudExpo & @ThingsExpo, and Editor of SYS-CON Media's CloudComputing BigData & IoT Journals. He holds a BA from Knox College & conducted MBA studies at CSU-East Bay.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


Latest Stories
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in compute, storage and networking technologies, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/...
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
SYS-CON Events announced today that CollabNet, a global leader in enterprise software development, release automation and DevOps solutions, will be a Bronze Sponsor of SYS-CON's 20th International Cloud Expo®, taking place from June 6-8, 2017, at the Javits Center in New York City, NY. CollabNet offers a broad range of solutions with the mission of helping modern organizations deliver quality software at speed. The company’s latest innovation, the DevOps Lifecycle Manager (DLM), supports Value S...
Cloud promises the agility required by today’s digital businesses. As organizations adopt cloud based infrastructures and services, their IT resources become increasingly dynamic and hybrid in nature. Managing these require modern IT operations and tools. In his session at 20th Cloud Expo, Raj Sundaram, Senior Principal Product Manager at CA Technologies, will discuss how to modernize your IT operations in order to proactively manage your hybrid cloud and IT environments. He will be sharing bes...
SYS-CON Events announced today that Systena America will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Systena Group has been in business for various software development and verification in Japan, US, ASEAN, and China by utilizing the knowledge we gained from all types of device development for various industries including smartphones (Android/iOS), wireless communication, security technology and IoT serv...
SYS-CON Events announced today that Twistlock, the leading provider of cloud container security solutions, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Twistlock is the industry's first enterprise security suite for container security. Twistlock's technology addresses risks on the host and within the application of the container, enabling enterprises to consistently enforce security policies, monitor...
While some vendors scramble to create and sell you a fancy solution for monitoring your spanking new Amazon Lambdas, hear how you can do it on the cheap using just built-in Java APIs yourself. By exploiting a little-known fact that Lambdas aren’t exactly single threaded, you can effectively identify hot spots in your serverless code. In his session at 20th Cloud Expo, David Martin, Principal Product Owner at CA Technologies, will give a live demonstration and code walkthrough, showing how to ov...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
SYS-CON Events announced today that Peak 10, Inc., a national IT infrastructure and cloud services provider, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Peak 10 provides reliable, tailored data center and network services, cloud and managed services. Its solutions are designed to scale and adapt to customers’ changing business needs, enabling them to lower costs, improve performance and focus intern...
The 21st International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Machine Learning and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding busin...
SYS-CON Events announced today that Enzu will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Enzu’s mission is to be the leading provider of enterprise cloud solutions worldwide. Enzu enables online businesses to use its IT infrastructure to their competitive ad...
This talk centers around how to automate best practices in a multi-/hybrid-cloud world based on our work with customers like GE, Discovery Communications and Fannie Mae. Today’s enterprises are reaping the benefits of cloud computing, but also discovering many risks and challenges. In the age of DevOps and the decentralization of IT, it’s easy to over-provision resources, forget that instances are running, or unintentionally expose vulnerabilities.
Everywhere we turn in our industry we can find strong opinions about the direction, type and nature of cloud’s impact on computing and business. Another word that is used in every context in our industry is “hybrid.” In his session at 20th Cloud Expo, Alvaro Gonzalez, Director of Technical, Partner and Field Marketing at Peak 10, will use a combination of a few conceptual props and some research recently commissioned by Peak 10 to offer a real-world consideration of how the various categories of...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In his Day 3 Keynote at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will explore t...
In his opening keynote at 20th Cloud Expo, Michael Maximilien, Research Scientist, Architect, and Engineer at IBM, will motivate why realizing the full potential of the cloud and social data requires artificial intelligence. By mixing Cloud Foundry and the rich set of Watson services, IBM's Bluemix is the best cloud operating system for enterprises today, providing rapid development and deployment of applications that can take advantage of the rich catalog of Watson services to help drive insigh...