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Jordan 2006

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IT solutions generate regional solutions


Ennis Rimawi

It was at the World Summit on the Information Society held in Tunis during November of last year that Ennis Rimawi, the 36-year old software engineer and Managing Partner of a private equity business, was first referred to as "the Bill Gates of Jordan." Opinions vary as to whether or not the lean, ever-smiling M.I.T. graduate approves or rejects such a moniker, but what is clear is that Mr. Rimawi’s justifiably applauded for his ingenuity and foresight in advancing the Jordanian IT sector. His Amman-based company, Estarta, has emerged as a leader in providing IT solutions to clients across the Middle Eastern region.

About five years before founding Estarta, while still living in Boston, Rimawi started up a software company that later had 80 percent of its workload take place in his home country of Jordan. As it went about providing premium software engineering services to US technology companies, the Boston firm established itself as the only branded company of its kind working in the American market. "It was also unique because it combined the model of high cost local companies in the US, and offshore, inexpensive Indian companies," said Rimawi.

As with so many others from around the world who were raised in the United States, but born overseas, Rimawi felt an idealistic tug in his heart drawing him back to his homeland. Growing up in Houston, before life took him back and forth between Boston, Detroit (where he worked for the Ford Motor Company) and Amman, it was Rimawi’s desire to make a difference by helping the Jordanian economy and bringing jobs to its citizens.


Rimawi meets Bill Gates' during recent visit to Jordan.

"I looked at models for the [Middle East] region," said Rimawi, "and realized that the industrial age…the manufacturing age was over." Seeing that the highest impact businesses of the new century were knowledge-based he concluded that a small country like Jordan, lacking the capital and natural resources of its neighbor to the south, would be best served by an infusion of high technology. On a summertime trip to Amman he came into contact with various people who were budding software entrepreneurs. Among their chief concerns was their ability to introduce their products and to compete owing to their place of origin. "That’s when I realized that the biggest obstacle to becoming internationally competitive was not the lack of capital, not policy, but the mental model of the individual," said Rimawi.

Applying what he had learned in the automotive industry, whereby firms such as those in Detroit or Tokyo construct plants worldwide and still retain their brand identity, Rimawi set about creating a firm that was based in the US, but whose work was done offshore and presented itself as, not only less expensive (as with India), but as a brand associated with quality and premium services. Using this model came One World Software Solutions, a firm that Rimawi formed in 1997 that quickly grew to over 350 p eople—250 of which were in Jordan, the US, and in China in order to establish the firm as being truly global.

With an approaching IPO the company was described by JP Morgan as an up and coming, first branded player in this niche market. Using a global business model One World was able to ask twice that which the Indian firms were charging. Most of all what the company proved, says Rimawi, is that Jordanians are able to deliver advanced software services to a top market.

After the IT bubble burst Rimawi merged the remnants of the Jordanian operation with another Jordanian firm, giving birth to Estarta—a leading IT solutions company in the region. Shortly thereafter the Microsoft Corporation came in as an equity investor, to be followed soon after by Cisco, marking the first ever equity investment by either company in the Arab world.

Using code that was developed by Estarta, Microsoft now offers its customers the ability to log their instant messages. "That was a milestone for us," said Rimawi who also revealed that, of all outsourced Cisco engineering centers, his service center has been recognized as tops in customer satisfaction.

According to Rimawi "Through this process, one of my conclusions was that if you build a few IT success stories, that are like an India or Ireland, then ultimately if you really want to build a multi-billion dollar industry in the region it’s got to be based on a competitive edge. Right now the Arab world is five percent of the world’s population, and three percent of the world’s purchasing power. If you want to build sustainable economies, you have to find places where you can compete globally."


SPONSORS

Arab Bank
Ayla
Sky Real Estate Investment Co.
AQABA development Corporation
GreenLand/KURDI Group
KADDB
Mawared Real Estate
Jordan Dubai Capital
MobileCom
TEAM
International Projects Director
Ambassador (ret.) Michael Ussery
Country Manager
Issa Matalka
Senior Writer
John Rosenberg
Deputy Director/Jordan
Balsam Maayah
Economic/Commercial Adviser
Dr.Hassan Al Barmawi
Project Assistant
Sharleen Sawalha

 

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