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A couple of months ago the above question was asked in Yahoo answers, and even if we answered, “yes,” and gave our reason(s), we were totally surprised that one answered, “NO.”
Our second surprise, it was voted best answer!
Hummm … pretty clear those people had no idea of Costa Rica’s technology growth, or probably still think Costa Rica is still a, Third World Country.
Five years ago, about 5% of the country used the internet. Recently a report came out and that number has jumped to 50%. Now honestly, “What does that tell ya?”
While a relatively small and low-gross domestic product country, Costa Rica has a strong growth in IT infrastructure and it was ranked at 49 out of 102 countries in the Networked Readiness Index in the Global Information Technology Report a few years back; making it the leading Central America country in the index.
Unlike many other countries where government has IT policies Costa Rica’s technological growth is not really driven by government, rather, it is driven by the private business.
Ministry of Education of Costa Rica using technology to teach English - photo from todanoticia.com
In fairness [to the government], last Sept, California’s based LaserCard Corporation, received a $2.8 Million order for Costa Rica Foreign Resident Cards, that contained a Optical Security Media – the same technology that US Green Cards use.
Costa Rica has been dubbed “The Silicon Valley of Latin American” with said, technology does play a major influence in the economy.
Since CAFTA – The Free Trade Treaty with the United States, it required Costa Rica to open its doors to high-tech competition. Many high-tech companies have chosen Costa Rica as a manufacturing site, especially because of great economic incentives. Microsoft, GE, Abbot Laboratories, Panasonic, LUCENT Technologies, Conair, Siemens, Hitachi, and Intel Corporation [just to name a few] continual to invest millions with their production and distribution facilities.
In the cities it is hard to find any kid without a cell phone and MP3 earbuds dangling. Costa Rica’s demand for technology increases at an alarming rate.
CAFTA and Costa Rica
One of the reasons Costa Rica is a preferred place for high tech is that their Internet and phone service is the best in all of Mexico, Central and South America.
For a country whose economy had always been dependent on coffee, bananas and cattle, now is slowly becoming depended on the manufacturing of microprocessor production (ranked 5th in the world), outsourcing and high-tech telecommunications businesses. These businesses now employees 10s of 1000s of people and will continue to grow at a rate, that some claim, a lot greater than the US and most importantly, increase in wages.
Software and technology giant Oracle (who bought Sun) expanded operations in Costa Rica with a new office in the Forum II “Free Zone” Business Center in Santa Ana.
As of this date, Oracle has reportedly invested over $100 MILLION in its Costa Rica expansion and plans to invest a lot more.
Technology does not stop just at the Internet; Costa Rica’s Chiquita Brands International Inc developed a new “biodigester” system, which turns organic material from banana farming into sustainable energy for its plant and fertilizer for local farmers.This advance technology is now gaining gobal influence.
Since CAFTA, two large foreign and multinational mobile phone providers, America Movil and Telefonica are dumping millions with advance technology such as offering the iPhones. Apple computers have already established numerous service stores, and have hinted that the next market they are targeting (besides the iPhones) is iPads.
One of the things that high-tech will not excel at is the gaming for three reasons 1) it is not that popular, 2) it is considered a luxury so there is a high import costs (expense) and 3) kids have better things to do than hang out playing Wii, Xbox 360 and PSP games all day.
In the last 4 years, computer sales jumped up 500% and Internet service to households will jump 1000% in the next few years to come. Online companies are springing up everywhere that offer just about everything like flowers, exotic wood works, sauces, candy and Imperial beer.
Just think, somebody claimed, “Costa Rica is NOT influenced by technology.”
Costa Rica, Silican Valley of North America. Its technology can rival the level of technology in existence in the US.