Identifier
Created
Classification
Origin
07ASHGABAT1096
2007-10-10 12:19:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Ashgabat
Cable title:
TURKMENISTAN: ONE AMERICAN'S TALE OF STARTING AN
how-toVZCZCXRO5547 PP RUEHAG RUEHAST RUEHBI RUEHCI RUEHDBU RUEHDF RUEHIK RUEHLH RUEHLN RUEHLZ RUEHPW RUEHROV RUEHVK RUEHYG DE RUEHAH #1096/01 2831219 ZNR UUUUU ZZH P 101219Z OCT 07 FM AMEMBASSY ASHGABAT TO RUEHC/SECSTATE WASHDC PRIORITY 9523 INFO RUCNCLS/ALL SOUTH AND CENTRAL ASIA COLLECTIVE RUCNCIS/CIS COLLECTIVE RUCNMEM/EU MEMBER STATES COLLECTIVE RUEHAK/AMEMBASSY ANKARA 2857 RUEHBJ/AMEMBASSY BEIJING 0678 RUEHKO/AMEMBASSY TOKYO 0554 RUEHIT/AMCONSUL ISTANBUL 1130 RUCPDOC/DEPT OF COMMERCE WASHDC RHEHNSC/NSC WASHDC RUEATRS/DEPT OF TREASURY WASHDC RHMFIUU/CDR USCENTCOM MACDILL AFB FL RUEAIIA/CIA WASHDC RHEFDIA/DIA WASHDC RUEKJCS/JOINT STAFF WASHDC RUEKJCS/SECDEF WASHINGTON DC
UNCLAS SECTION 01 OF 02 ASHGABAT 001096
SIPDIS
SENSITIVE
SIPDIS
STATE FOR SCA/CEN, EEB
E.O. 12958: N/A
TAGS: PGOV PREL ECON EINV TX
SUBJECT: TURKMENISTAN: ONE AMERICAN'S TALE OF STARTING AN
I.T. BUSINESS
REF: ASHGABAT 1039
UNCLAS SECTION 01 OF 02 ASHGABAT 001096
SIPDIS
SENSITIVE
SIPDIS
STATE FOR SCA/CEN, EEB
E.O. 12958: N/A
TAGS: PGOV PREL ECON EINV TX
SUBJECT: TURKMENISTAN: ONE AMERICAN'S TALE OF STARTING AN
I.T. BUSINESS
REF: ASHGABAT 1039
1. (U) Sensitive but unclassified. Not for public Internet.
2. (SBU) SUMMARY: Over lunch October 9, an American
businessman (cautiously) told of his experiences in opening
an Ashgabat office of his information technology company,
including a bump in the road involving a poorly chosen local
intermediary. Without being specific about his successes and
failures, he suggested his Turkmenistani interlocutors do not
understand technology well enough to select the best choices
for them. He also pointed to a general lack of understanding
about how business works. END SUMMARY.
NUTS AND BOLTS OF BUSINESS
3. (SBU) EconOff met on October 9 with the Central Asia
Director and co-founder of a U.S. company, Advance Computer
Network Services (ACNS). According to the company brochure,
ACNS specializes in computer and digital technology solutions
and represents international technology manufacturers such as
HIS, TCC, Original, and Lenten. ACNS provides services such
as computer networking, wireless access, ADSL and high speed
Internet, satellite reception and transmission, WAN/LAN
connectivity, digital data storage, hardware and software,
tools and safety equipment, and maintenance. One of the few
American businessmen in Ashgabat inspired him to open up in
Ashgabat, and helped him identify a person to assist with
registration. He has been in Turkmenistan for two months.
Previously, he represented ACNS in Baku for a year, and
before that, he taught English in Hong Kong for ten years.
4. (SBU) He has a locally-engaged consultant and four local
staff. Unfortunately, the person he hired to assist with
registration, a notoriously tedious and complicated process,
turned out to be a scam artist. The local intermediary cut
corners on the paperwork and it appears he tried to set up
the company for his own benefit and/or profit.
WELCOME TO TURKMENISTAN...NOW HURRY UP AND WAIT
5. (SBU) Although ACNS usually learns about new tenders from
its local consultant, the Ministry of Communications just
informed him of its latest needs during a recent meeting at
the Ministry. The ACNS director remarked that most of his
clients here show a general lack of understanding of usual
international business practices. In some cases, this is
helpful -- during a cold call on the Central Bank, officials
were extremely enthusiastic about learning what tools he
could offer and asked him to come in right away. However, he
also commonly encounters unrealistic deadlines. For example,
officials in Ashgabat frequently expect proposals to be
delivered the same day that he makes his initial calls.
KIDS IN A CANDY STORE
6. (SBU) Citing recent Ministry of Communications tenders
for installation of Digital (DSL),wireless technology
(Wi-Fi),and Worldwide Interoperability for Microwave Access
(WiMAX),he feels certain that the Government of Turkmenistan
is planning to permit broad access to the Internet. At the
same time, because these various technologies have
comparative advantages and disadvantages, and it does not
make sense to install all of them in Turkmenistan, he
suggested that Turkmenistani officials really needed help to
understand the technology landscape.
7. (SBU) Indeed, the local enthusiasm for new technology is
so great that his interlocutors want everything on offer. He
spends considerable time in the early stages of the selling
cycle to understand their needs in order to find the best
fit, including for software. Currently, the fad is
SmartBoard technology, something everybody seems to want.
ASHGABAT 00001096 002 OF 002
8. (SBU) COMMENT: ACNS has plenty of company when it comes
to feeling under pressure to deliver under unrealistic
deadlines. Recently, John Deere officials informed the DCM
that they are concerned about the possibility of filling
orders in time for the cotton harvest, since officials drag
their feet to sign off on contracts but expect instant
delivery when they finally do. This, and the difficulty
officials and others here have successfully identifying
product needs, points to the need for an enhanced
understanding of business practices so that officials can use
their financial resources more wisely.
10. (SBU) COMMENT CONTINUED: Signs are pointing toward an
increased U.S. business presence in Turkmenistan. October
10, a Connecticut firm seeking to develop wireless broadband
communications using WiMAX technology asked embassy's advice
for setting up a meeting with the Minister of Communications.
Also on October 10, EconOff met with a Turkish citizen who
runs a Delaware-registered construction firm, who is in the
process of registering the company in Turkmenistan. An
increased U.S. business presence almost certainly will place
new strains on existing resources here -- and require
additional interagency involvement down the road. END
COMMENT.
HOAGLAND
SIPDIS
SENSITIVE
SIPDIS
STATE FOR SCA/CEN, EEB
E.O. 12958: N/A
TAGS: PGOV PREL ECON EINV TX
SUBJECT: TURKMENISTAN: ONE AMERICAN'S TALE OF STARTING AN
I.T. BUSINESS
REF: ASHGABAT 1039
1. (U) Sensitive but unclassified. Not for public Internet.
2. (SBU) SUMMARY: Over lunch October 9, an American
businessman (cautiously) told of his experiences in opening
an Ashgabat office of his information technology company,
including a bump in the road involving a poorly chosen local
intermediary. Without being specific about his successes and
failures, he suggested his Turkmenistani interlocutors do not
understand technology well enough to select the best choices
for them. He also pointed to a general lack of understanding
about how business works. END SUMMARY.
NUTS AND BOLTS OF BUSINESS
3. (SBU) EconOff met on October 9 with the Central Asia
Director and co-founder of a U.S. company, Advance Computer
Network Services (ACNS). According to the company brochure,
ACNS specializes in computer and digital technology solutions
and represents international technology manufacturers such as
HIS, TCC, Original, and Lenten. ACNS provides services such
as computer networking, wireless access, ADSL and high speed
Internet, satellite reception and transmission, WAN/LAN
connectivity, digital data storage, hardware and software,
tools and safety equipment, and maintenance. One of the few
American businessmen in Ashgabat inspired him to open up in
Ashgabat, and helped him identify a person to assist with
registration. He has been in Turkmenistan for two months.
Previously, he represented ACNS in Baku for a year, and
before that, he taught English in Hong Kong for ten years.
4. (SBU) He has a locally-engaged consultant and four local
staff. Unfortunately, the person he hired to assist with
registration, a notoriously tedious and complicated process,
turned out to be a scam artist. The local intermediary cut
corners on the paperwork and it appears he tried to set up
the company for his own benefit and/or profit.
WELCOME TO TURKMENISTAN...NOW HURRY UP AND WAIT
5. (SBU) Although ACNS usually learns about new tenders from
its local consultant, the Ministry of Communications just
informed him of its latest needs during a recent meeting at
the Ministry. The ACNS director remarked that most of his
clients here show a general lack of understanding of usual
international business practices. In some cases, this is
helpful -- during a cold call on the Central Bank, officials
were extremely enthusiastic about learning what tools he
could offer and asked him to come in right away. However, he
also commonly encounters unrealistic deadlines. For example,
officials in Ashgabat frequently expect proposals to be
delivered the same day that he makes his initial calls.
KIDS IN A CANDY STORE
6. (SBU) Citing recent Ministry of Communications tenders
for installation of Digital (DSL),wireless technology
(Wi-Fi),and Worldwide Interoperability for Microwave Access
(WiMAX),he feels certain that the Government of Turkmenistan
is planning to permit broad access to the Internet. At the
same time, because these various technologies have
comparative advantages and disadvantages, and it does not
make sense to install all of them in Turkmenistan, he
suggested that Turkmenistani officials really needed help to
understand the technology landscape.
7. (SBU) Indeed, the local enthusiasm for new technology is
so great that his interlocutors want everything on offer. He
spends considerable time in the early stages of the selling
cycle to understand their needs in order to find the best
fit, including for software. Currently, the fad is
SmartBoard technology, something everybody seems to want.
ASHGABAT 00001096 002 OF 002
8. (SBU) COMMENT: ACNS has plenty of company when it comes
to feeling under pressure to deliver under unrealistic
deadlines. Recently, John Deere officials informed the DCM
that they are concerned about the possibility of filling
orders in time for the cotton harvest, since officials drag
their feet to sign off on contracts but expect instant
delivery when they finally do. This, and the difficulty
officials and others here have successfully identifying
product needs, points to the need for an enhanced
understanding of business practices so that officials can use
their financial resources more wisely.
10. (SBU) COMMENT CONTINUED: Signs are pointing toward an
increased U.S. business presence in Turkmenistan. October
10, a Connecticut firm seeking to develop wireless broadband
communications using WiMAX technology asked embassy's advice
for setting up a meeting with the Minister of Communications.
Also on October 10, EconOff met with a Turkish citizen who
runs a Delaware-registered construction firm, who is in the
process of registering the company in Turkmenistan. An
increased U.S. business presence almost certainly will place
new strains on existing resources here -- and require
additional interagency involvement down the road. END
COMMENT.
HOAGLAND