Good afternoon ladies and gentleman, and thank you Todd for that kind introduction. I am delighted to be here today and I thank the Nati Board of Directors for inviting me to share with you some of our government�s initiatives.

As I was listening to your update on what�s happening at Nati it was very easy to see why this organization has developed, in a relatively short period of time, into one of the most respected and prominent industry organizations in this province.

Nati�s outstanding leadership and commitment to excellence have greatly influenced the growth of our advanced technology sectors in information technology, geomatics, ocean technology and, biotechnology and life sciences.

Your work complements our government�s vision for Newfoundland and Labrador which is centered on the creation of sustainable economic growth that offers success and prosperity for the individuals and businesses of this province.

When we began in 2003 to fulfill our mandate as outlined in Our Blueprint for the Future, there was one thing that was an absolute certainty; the status quo would no longer be acceptable.

We are a people who exemplify strength, innovation and ingenuity and the time had come to put these, our best attributes, to work in meaningful and powerful ways.

As Steve Jobs, CEO of Apple Computers once said, "Innovation distinguishes between a leader and a follower." And make no mistake the goal of our government is to make Newfoundland and Labrador a leader in IT!

As you probably know, I was actually involved in the technology sector through Cable Atlantic and I know the value of innovation and the opportunity that comes with it. I am also living proof that you don�t have to be a technical whiz to be involved in this wonderful industry.

I�m the guy who put in service call for his cable only to find out that I hadn�t plugged the converter box in. I�m the guy who thought a hertzian wave was the result of a rent-a car crashing into the Atlantic and I�m the guy who when someone mentioned our cable plant, asked whether we were watering it.

Strategies like our Innovation Newfoundland and Labrador: A Blueprint for Prosperity, which was very well received last year, is serving as our guide to encourage innovation at all levels, in all regions, and to build upon emerging opportunities in a wide range of disciplines.

After the dreaded Y2K in 2000, the industry experienced a downturn. And many people may have the mistaken impression that growth in information and communications technologies stopped in 2001.

In fact, according to Industry Canada, the demand for employees in the sector today has fully recovered to 2001 levels, and the supply for workers is very tight.

The future for our young professionals is very promising and there are great career opportunities in the industry. Memorial University and the College of The North Atlantic are excellent institutions in this field and have international recognition for the quality of students that they graduate.

As an industry leader, no one understands more than Nati and its members, the power of innovation and the merits of always pushing beyond the status quo.

The only problem is, as Larry Ellison, the founder of Oracle Corporation put it, "When you innovate, you�ve got to be prepared for everyone telling you you�re nuts."

And there have been those who have questioned some of our government�s important investments into innovative technology. But we know the value of these strategic investments and we know that you do as well.

Local advanced technology companies have demonstrated time and time again the ability to compete against the very best both nationally and internationally, in large part due to creative and innovative approaches.

Status quo would not see Blue Line Innovation supply 30,000 of its PowerCost monitors to Northern Ontario�s Hydro One.

Status quo would not have seen North Atlantic Biopharma developing a new seal oil based formula for use in IVs to potentially nourish hospital patients around the world.

Status quo would never have resulted in SingTel, Asia�s leading communications group, recently signing an agreement with Consilient Technologies, bringing mobile push email to more than 1.2 million Asian subscribers. It is this spirit of innovation and ingenuity that is at the core of who we are as a people.

We can�t talk about the technology industries in Newfoundland and Labrador without recognizing the contribution from the leaders in this province.

Look at how much Aliant and xwave have grown since 1994. Stratos Global is providing service all over the world. Rutter Technology is now a world leader.

The Electronic Centre is working in the far east and the Caribbean on satellite and wireless networks. And there are many more examples of stellar companies making their mark on a global stage � companies from right here who are growing the sector, strengthening our economy and offering opportunities here for the young adults of Newfoundland and Labrador.

And while industry has been working hard to develop our IT sector, our government has been implementing our vision, including commitments to develop an IT strategy for the province and to modernize the technology functions of the provincial government.

In a rapidly changing and increasingly competitive global environment, this is a critical part of the economic diversification and growth of Newfoundland and Labrador.

In April 2005, we began with the creation of the Office of the Chief Information Officer, more commonly known as the OCIO, with Pete Shea in place as the Chief Information Officer. The OCIO has a mandate of developing Information Technology and Information Management capabilities to support both the business of government and the citizens of this province.

The creation of this office was an exciting and significant milestone for our government. It signaled the start of our IT strategy and we have made great strides in the time since its inception.

I don�t think poor Pete knew what he was getting himself into, but he took up the daunting challenge and is doing an outstanding job. He also brings a private sector perspective to a talented public service.

The OCIO is leading the reform of government�s information technology and information management practices and providing leadership in fostering growth in this sector.

The biggest challenge first tackled by the OCIO was the movement of eight diverse IT divisions within government departments into a central organization. This was a massive undertaking that was essential to our goal of streamlining government�s technology functions to become more efficient and to offer enhanced services.

To give you a sense of the enormity of this task, consider these facts: The OCIO supports more than 100 commercial software applications and over 500 custom-built applications. These are delivered to 6,000 personal computers through 500 servers.

I want to commend Pete and your team for the incredible work you have done. Pete, your leadership and guidance have made government a better place and has resulted in improved services for the people of this province that they may never even know about. The progress in this division is a huge untold and unheralded success story that I am proud to share it with you all today.

The successful consolidation of our IT divisions was followed by what has been a year of tremendous accomplishments. We have worked from a human resources perspective to secure the talent and expertise we need to best meet the mandate of the OCIO. 40 long-term contracted support positions are being converted to full-time government positions, enhancing stability and planning within our workforce while also generating savings.

The provincial government has for many years contracted out support for its computer applications, at a cost far exceeding what would be incurred if the services were provided by fulltime government employees.

By converting these 40 long-term support resources to government positions, we will save 3 million dollars a year � money that will be directly reinvested back into IT through the OCIO.

And while some may question why we would create government positions taking jobs away from industry the reality is that we have a responsibility to spend government dollars wisely and we believe � as I know you do as well � that there are much better ways for government to invest in industry. And I will get to that in a few minutes.

A Project Management Office has been created and has implemented both a basic Project Management framework and industry standard IT practices. Over 40 new or enhanced initiatives have also been launched to strengthen and modernize the IT functions of government and to ensure applications within government are responsive to evolving business needs.

We are working on server consolidation and the standardization of hardware and software throughout government, including advanced technology which results in more efficient operations for our employees and ultimately, for our clients.

Significant progress has also been made in the use of technology to make dealing with government less time consuming and ensure greater access for citizens from all regions of the province.

It would be impossible to provide an overview of every project but the following examples show that we are truly revolutionizing the way government operates in terms of its IT and IM functions.

The Court Electronic Filing Project will see the implementation of an electronic filing system in the court system and will be used by remote users including defense counsel and Crown Attorneys.

This system will streamline the business practices of the courts and represents a major change in how business is conducted.

Our Tourism Destination Management System now allows tourism operators from all regions of the province to update information on their tourism establishments and this data is then reflected on our tourism website.

It saves time for our operators and ensures that the general public and tourists are receiving the most current information as they plan their vacation to the most incredible destination on earth. These state of the art changes make absolute sense as we continue to invest heavily in tourism marketing.

A Regulatory Reform Tracking System has been developed to manage red tape reduction information from the Department of Business in support of our goal to foster a business friendly environment with less regulatory requirements and increased efficiency for our clients.

Another initiative will focus on how we directly serve our clients, the residents and businesses of this province. Our goal is to provide our clients with the ability to conduct all the most common transactions with government on their terms, at the time and in the manner of their choosing.

This will be accomplished in part by identifying opportunities to deliver services via multiple channels - over the counter, through the Internet or by phone. We also plan a revitalization of our Web presence so that it is more user friendly and responsive. We want to create an environment of convenience, accessibility and ease of use.

The GeoFiles project will change the way we store data in our Department of Natural Resources. Currently, all documents such as lab analyses and industry expert commentaries on mineral-exploration projects are stored either in paper form or on microfiche and can only be accessed from on site.

This project will digitize these reports, making them accessible via government�s website to any interested party, particularly mining and mineral-exploration companies. This is particularly important in a time when the mining industry is really on bust in this province and acclaimed internationally.

Every one of these projects, in addition to the multitude of others of the OCIO, is modernizing the way we as a government do business, while increasing efficiency, improving access to services, enhancing our competitive ability and providing benefits to the people of Newfoundland and Labrador.

Of course, we can�t talk about technological innovation and the benefits to the province without mentioning broadband. We have invested almost 1 million dollars to leverage over 20 million dollars in federal and private monies on ten projects that helped bring high speed internet to 161 communities from Nain to Trepassey.

A further 5 million dollars was invested to leverage almost 25 million dollars in federal and private monies in the Centre for Distance Learning and Innovation to bring high speed internet to 68 schools and 103 communities.

The results are enhanced educational opportunities for students throughout this province. These are very significant initiatives for rural Newfoundland and Labrador.

This important investment gives us ownership of dedicated lines in a new, fully redundant fibre optic telecommunications link which, when completed, will result in four national carriers competing for local telecommunications business.

As the saying goes, there�s nothing wrong with a little healthy competition, especially when it benefits the residents and businesses of this province.

Our 15 million dollars also leverages 37 million dollars in private sector investment that will lead to improved services for all regions of the province, including a fibre optic line across the south coast for the first time.

The results for the province are a more competitive environment, better access, improved services, and an enhanced environment for investment attraction.

And even though the decision to invest in that fibre optic was a controversial one � as I knew it would be � it was the right decision and an investment that our government is very proud of.

And I want to thank the members of this industry who have spoken out and recognize the value of the decision and show support for our government during that time.

The bottom line is that in a global environment that is becoming increasingly competitive, a modern and dependable communications network is an essential component to positioning this province at the forefront of the competition and equally important to empowering rural Newfoundland and Labrador to survive and thrive against the phenomena of urbanization.

Of course, change and innovation are often met with resistance yet it is essential to foster growth and success, not just in advanced technology sectors but in every venture, economy and industry.

American composer and writer John Cage once said, "I can't understand why people are frightened of new ideas. I'm frightened of the old ones."

I could not agree more.

All of the initiatives of the OCIO outlined today reflect our commitment to innovative strategies that cultivate opportunity and promote growth for the good of our province and its people.

A very big part of this commitment and of course the mandate of the OCIO rests in our partnerships with local companies and with Nati to influence growth in advanced technology sectors.

The OCIO has worked diligently to build upon government�s relationship with the local technology industries. We enjoy a great rapport and productive relationship with Nati and have worked in collaboration to increase the amount of government work available to local companies.

In this past year alone, we awarded 5.4 million dollars in work to local IT companies, more than doubling that of the previous year. That is in addition to our business with xwave.

We see supporting our local companies in this way as critical to building an even stronger cluster of IT expertise and we are proud of our commitment in this regard.

So where does the OCIO go from here? Our focus for the coming year will include new and ongoing initiatives to reform and revitalize the IT and IM operations of government.

There will be a priority on increased safety and security, with emphasis on emergency preparedness and disaster recovery, enterprise backup improvement and server consolidation and replacement.

Standardization and implementation of industry best practices will also be a key focal point. This year will also see the consolidation of the OCIO from 9 physical locations to our Higgins Line site.

Of course, the mandate of the OCIO is facilitated through its collaboration with the local IT industry and our intent to influence growth in the sector.

Having said that, I am very pleased to announce today that our upcoming provincial budget will provide the OCIO with a budget of 66 million dollars.

This represents an increase of 14 million dollars from last year, and includes an additional 870,000 dollars for information management initiatives.

The additional 14 million dollars also includes an additional 6.6 million dollars for information technology operations and new initiatives, such as replacing current K to 12 School Administration Systems and implementing the HRLE Client Pay System, among many other important projects.

I am also delighted today to announce as well that government is entering into contracts involving eight different companies that will amount to a minimum guaranteed investment of 47 million dollars into the critical modernization and reform of our information technology and information management functions.

These contracts are the result of two separate Requests for Proposals issued by the OCIO in 2006 which were open for all to respond.

Three separate contracts will address our IT and IM professional services requirements over a three-year term.

These contracts represent a significant increase in the number of local IT companies providing long-term services to the government of Newfoundland and Labrador and demonstrate our commitment to growing the IT sector.

As well, with some of our local companies entering into a consortium arrangement with companies that have a national presence, they are better positioned to pursue additional business opportunities both nationally and even internationally.

So, the IT sector benefits, government benefits, and the people and businesses of this province benefit through more efficient and enhanced services in their dealings with government.

I am excited by these partnerships and personally very proud of these commitments. They are a piece of our overall plan as a government to position Newfoundland and Labrador to compete aggressively and successfully in the international arena.

My personal motto has always been, "If you don�t anticipate the future then you won�t be a part of it." It has worked for me, it works for the IT industry, and hopefully it will work for the people of Newfoundland and Labrador.

It also complements our focus on our amazing strengths, achievements and incredible growth potential in our marine and ocean technology sectors, biotechnology and our oil and gas technology and expertise.

We have some of the most sought after and advanced technologies in the world in this province � particularly in ocean technology.

When I recently visited Ireland, I was impressed but not surprised to learn that they were borrowing our own Newfoundland and Labrador made SmartBay program to use in their country. Imagine the Celtic Tiger taking our lead!

This is just one example of how our province is leading the world, and the companies in this room could certainly give many, many more examples.

Steve Ballmer, CEO of Microsoft Corporation, said that, "The Number one benefit to information technology is that it empowers people to do what they want to do. It lets people be creative. It lets people be productive. It lets people learn things they didn�t think they could learn before, and so in a sense it is all about potential."

Pretty simple message. But also incredibly powerful, insightful and quite frankly one that government takes to heart.

Together, let�s realize our potential and develop it so that Newfoundland and Labrador is known to the world as the place of choice to do business, to live, to visit and to invest.

I appreciate your support in embracing these values and in always moving beyond status quo as we work toward a future for this province that holds incredible possibilities.

Thank you.