Digital media companies will be able to withstand the current economic downturn, the head of Dublin's Digital Hub said today.
Speaking at the launch of the Digital Hub's annual report for 2007, chief executive of the Digital Hub Development Agency (DHDA) Philip Flynn said recent research carried out at the initiative indicated that the flexibility and highly skilled nature of the companies and employees would help them weather the current storm and respond quickly to changing markets.
The initiative, which was set up by the Government to create an international centre of excellence focused on digital content and technology enterprises, has grown in the past year and looks to set to continue expanding, despite recent gloomy economic news.
The Digital Hub continued to successfully attract foreign direct investment during 2007, including the addition of Gala Networks Europe and GOA Games Services, while Dublin-listed mobile data service provider Zamano expanded through the buyout of Red Circle Technologies.
The number of companies locating in the Digital Hub has passed the 100 mark, the initiative said today, with the project attracting 18 new firms during the 12-month period.
"At the end of last year, the total number of companies in our enterprise cluster stood at 93 and, since then, I am pleased to announce that we have reached the 100-mark," he said.
"The rapid growth experienced by the Hub is reflective of the phenomenal growth in digital media internationally. Despite the current economic downturn, the digital media sector is in a very healthy state, and looks set to enjoy sustained growth over the coming years."
He said there were currently 750 high-value "knowledge" employees working at the initiative.
However, Mr Flynn warned that the success of the Digital Hub was also presenting it with a challenge, with the growth in digital media companies at a rapid pace causing problems with providing flexible working space and conditions needed by the companies.
The planning appeals system had also proven an obstacle to the project, with its major property and infrastructure plans for the project under appeal with An Bord Pleanála for close to a year, and were ultimately refused in October.
Mr Flynn highlighted the lack of a definitive timeframe for decision-making by An Bord Pleanála as one of the major hindrances to developments, but said it was not the fault of the planning body.
"It is quite clear that the Board is under-resourced and works under considerable pressures itself. However, this situation means that the work of important publicly-funded projects can be hugely held up," he said.
"If a set timeframe existed, whereby the board was obliged to revert to developers with its planning appeals decisions within a specified time, it would greatly assist State agencies, public projects and all concerned in making alternative arrangements or re-visiting planning applications to find new ways of meeting project needs."
