February 2001

Update: Lithuania

The latest survey of Lithuanian Internet and estimation of experts show a fast growing of Internet users and development of web sites during the last two years. The number of users increased about 2.2 times in 2000. The total international Internet bandwidth was more 60 Mbps at the end of the year.

 

Most of the websites are in two languages, English and Lithuanian. A part of the sites are in Russian, German or French languages additionally. A great number of small companies, institutions and private persons use virtual sites. This service is provided by all Internet service providers and some companies that are doing business in this area. For example, on the 18^th September 2000 the local company Mobitechas started web free hosting services on the Website http://www.free-hosting.lt. Ten Mb space and free e-mail are available for registered users. Currently more 100 users registered for web hosting service at http://www.free-hosting.lt. The largest Internet service providers offer their servers for web sites free of charge or relatively cheap. The most significant changes took place in business, namely in e-commerce. Local press reports emphasise an increase in companies and bank investments in web development and e-commerce. Most companies use web sites for presenting and advertising their products and services. The legal basis (Laws on electronic documents and e-signature) needed for e-commerce was adopted in the middle of 2000, but necessary amendments to laws and infrastructure for certification are expected in 2001. However, a few companies announced the development of an e-commerce site with an on-line payment possibility using credit cards.

 

The two years ESIS II survey registers a remarkable development of Internet content, quality and better structure of information. Other trend was the development of portals in all sectors. A few new portals were established in the health care, culture and tourism sectors with the support of the Lithuanian Soros Foundation. The main Internet providers have established powerful portals-gateways, special portals for shopping or different types of services. The portals exist in the tourism area, theatres, museums, health care and medicine, state administration, real estate, trade and commerce and other areas.

The main conclusions of the survey are:

• the fast development of web and Internet is going on in the main cities. In regions and rural areas the Internet penetration and number of web is very low;

• the most significant changes took place in business, trade and commerce and banking sectors;

• the increase in the number of web sites in the state and local administration sectors was low. The sites became better structured and more informative;

• in the science and education sector a lot of new web sites were supported by various international funds or private companies.

1.1. Mobile communications sector

The main trend is the development of mobile Internet services and portals. The portals are oriented mainly for mobile communication users and for electronic and mobile commerce applications. A powerful Internet portal, auctions, and e-shopping portals are operating at Omnitel. The largest mobile communications company Omnitel, with the WAP page www.wap.lt, has plans to implement in the near future new WAP services: e-mail and Internet banking operation. In 2001, Omnitel is planing a mobile connection to Internet and mobile e-commerce. Currently the most popular WAP services for users are: news, announcements, currency rates and weather forecast, Lithuanian/English dictionary.

 

On the 18^th September 2000, the second mobile Communications Company Bite GSM (started Internet business on the 1^st June) presented the new portal www.banga.lt  with a WAP page.

The Mobile Communications Company Tele 2 (started in Lithuania on December 1999) is developing similar portals too.

1.2. Trade and Commerce and banking sectors

The most significant changes took place in the business sector, namely in e-commerce. About 70% of the Lithuanian companies are using Internet for their activities. Most of the companies use web sites not only for presenting and advertising their products and services. Omnitel, the leader in mobile communications and an Internet provider, established an e-commerce site http://www.muge.lt  with on-line payment through credit cards and the portal http://www.auctions.lt. The leaders are the companies Delfi and 5 kontinentai. A joint project of Delfi and the North European Basketball League (NEBL) started in May. The virtual store www.nebl.com/store/  is oriented more to Western Europe, USA and Canada. Users of 70 countries can order here attributes of NEBL. For on-line payments „Visa" and "Master/Eurocard" are available. DHL is used for fast delivery of the ordered attributes. Delfi is also the distributor of Intershop software in Lithuania.

The company "5 kontinentai" is developing a Business Information Centre LBIC http://www.lbic.lt. More information can be found at http://www.kompass.lt . The company also created the special web site http://www.banner.lt  for advertisement. The company 5 kontinentai had signed an agreement with Vilniaus Bankas (VB), for the use of "VB Visa", "VB Visa Electron", and "VB Eurocard/Mastercard" for on-line payments at the site http://www.commerce.lt . It was the first time Internet payments became available for the Lithuanian citizens.

The IT leader Alna announced the development of the Alna Internet Centre Project for electronic shopping and advertisement service.

Lithuanian neighbours, Estonian companies take part in this process too. Microlink (www.microlink.ee) bought two IT companies Taide and Skaitmenines Komunikacijos and invested a couple of million Lt. in the establishment of a powerful Internet gateway, the Lithuanian version of the Estonian Delfi (http://www.delfi.lt). Delfi’s site "Interactive Architects" offers an Internet business plans service, consultations on Internet technology, e-marketing, e-business, e-advertisement and e-commerce. Delfi also provides design of web, GSM and Internet integration and other services.

Another Estonian company, Osta, announced about investments in e-commerce and the establishment of a Lithuanian website analogue to www.osta.ee. The entrance of Estonian companies in the Lithuanian market will enhance the competition among the existing service providers and the promotion of new applications.

All Lithuania banks started Internet banking services in the middle of 2000. In September 2000 the largest commercial bank Vilniaus Bankas (http://www.vb.lt) presented a description of the European model Internet banking system "VB Internet", costs of services and rules of use. "VB Internet" allows for private and companies banking operations and to get information on their accounts. A 128 bit security coding system is used for on-line operations. The users need to have their PC connected to Internet with Microsoft Internet Explorer 4.0 or Netscape Communicator 4.7. The connection is free of charge and there are no subscriber fees for clients. Other banks have plans for the establishment of similar services.

The Lithuanian financial brokers’ companies are establishing web sites for the presentation of their activities, results and prices of securities. Eight new sites are operating in this area. The most important are:

• http://www.vilfima.com , bank Vilniaus bankas;
• http://ltb.tdd.lt/brokerage/  , Lithuania Saving bank;
• http://www.suprema.lt , company Suprema.

1.3 Public administration, science and education sectors

The state financial support was remarkably reduced in the period of 1999-2000 and changes made in these sectors were minimal. The Lithuanian Government strongly supports the use of computer networks for State administration. The official site of the Prime Minister Office www.lrvk.lt is now more informative. Here are presented drafts of new Laws, information on coming events, new decrees and laws. Web sites operate in all Ministries and in most of the Departments of Ministries. The state financing was limited in the years 1999-2000. The State investments program supported only those projects, which were difficult to hold. About 398 MLt (100 MEURO) were allocated for projects in the Information Technology sector (co-ordinated by the Ministry of Public Administration Reforms and Local Authorities). The most important IT projects were:

• Lithuanian Education Information System (Ministry of Science and Education);
• Development of the State Institutions Computer Network VIKT (Ministry of Public Administration Reforms and Local Authorities);
• Development of IS for Administration of Regions (Counties), (Ministry of Public Administration Reforms and Local Authorities);
• Lithuanian Libraries Integral Information System (Lithuanian National Library).

The new establishment of 5 web sites in the Lithuanian Universities and high schools was supported by the Lithuanian Soros Foundation (OSF). The Lithuanian Universities started the development of web based learning applications. The students have the possibility to learn web technologies by using these technologies. Some examples of courses, information about learning tools, levels of teaching are available at http://www.ktu.lt.

1.4 Labour Exchanges on Internet

Six web pages are providing labour exchange information on the Internet. The list of pages is available at the portal http://www.on.lt. The company BrainPower established www.brainpower.lt for high quality specialists looking for employment and for companies searching for specialists. The specialists have access to a charge free registration upon the selection of one of these categories: Administration, Engineering, Finance, General Management, Human Resources, Information Technology, Legal, Media and Advertising, Production and Manufacturing (Operations), Sales and Marketing in the whole Lithuania. Openings in large Lithuanian companies and multinational companies are listed. The BrainPower had plans to accumulate about 5000 CV of specialists in 2000. The companies looking for contacts of specialists will pay 7-15 EUR (20-50 Lt). The BrainPower is seeking leadership in Lithuania and the extension of its activities in neighbouring countries.

The company "CV-Online Lietuva" (http://www.cvonline.lt), provider of information on employment on the Internet, presented a new WAP based service for mobile communications and mobile Internet. The clients, looking for employment, can receive all information on their mobile phone.

1.5 Arts, culture, tourism, health care

The State support to these sectors was very limited. OSF, other funds and private companies supported the development of new websites. The development of more 10 web portals in tourism, arts and music, health care, and cultural heritage sectors was supported by OSF. All main Lithuanian theatres have established web sites with ticket reservation services. An interesting joint project by the National Drama Theatre and the company "5 kontinentai" is the Internet Cafe, where one can find on-line information on plays, news, reserve tickets and sell on-line in the future. Other similar ticket reservation systems exist at the National Opera and Ballet Theatre http://www.opera.lt.

Some annual cultural events have established special sites: the International Life Festival – www.life.lt, Vilniaus Days Festival – www.vilniausdays.lt, and Vilnius 2000 – www.vilnius2000.lt.

A good practice example is the Lithuanian Museums Portal at http://www.muziejai.lt. This site was created with the support of OSF too. Here is presented information about all museums in Lithuania: national, regional, private and others. Information about exhibitions and coming events is presented too.

Two web sites are presenting information about new films coming up soon: www.cinema.lt and www.filmai.lt. The site www.cinema.lt has plans for on-line booking. The site www.filmai.lt is presenting information about films in the main cities as well as in other cities.

In 2000, the Lithuanian Soros Foundation initiated the development of 6 web portals in the health care sector. OSF supports the implementation of advanced IT technology in this sector. The OSF supports, through the Medical Internet Program, the development of the medical information network, development of national databases, provision of conditions for hospitals, medical libraries and other medical establishments to get access to the Internet, and participate in distance learning and medical education projects.

The new TV broadcast on Internet project TVNET started in Lithuania. The Web page www.tvnet.lt presents integration of interactive TV and text information. The company invested more 100 KEUR (400 KLt) for special software and hardware. A part of services are available for registered users. The registration is charge free. TVNET presents information on regional and world politics, economics news, information about newest technologies and entertainment.

2. WWW sites indicators (Updated 2000 December 27)

3. A graph to show the evolution of the total number of websites as a percentage of the total number of institutions across a range of key public actors 1999 - 2000 

4. A table to show the evolution of the total number of websites as a percentage of the total number of institutions across a range of key public actors 1999 - 2000