Results Emphasize the Need for Investments in Technology Industries
MINNEAPOLIS, Nov. 19 /PRNewswire/ -- Minnesota's technology industry lost
more than 10,000 jobs between 2001 and 2002, according to Cyberstates 2003: A
State-by-State Overview of the High-Technology Industry, a new analytical
report released today by AeA and the Minnesota High Tech Association (MHTA).
Cyberstates 2003 shows that Minnesota's technology industry dropped by 7
percent, falling from 145,000 workers in 2001 to 134,000 workers in 2002.
"This report confirms what many have been aware of for some time," said
Kate Rubin, president of MHTA. "It's no surprise that our economy has been
losing technology jobs. The good news is that there are many innovative ideas
being discussed to improve Minnesota's standing in the global economy for the
years ahead."
Nationally, Cyberstates 2003 shows that high-tech employment fell by
540,000 jobs, dropping from 6.5 million to 6 million, which is a decline of 8
percent. However, preliminary data for the first three quarters of 2003 show a
marked improvement.
"Minnesota's diverse technology base enables us to weather economic
downturns better than other regions," said Andy Michuda, CEO of Sopheon and
chair of the MHTA. "I'm confident that 2003 will show improvement, as
evidenced by the recent Tekne Awards."
The Tekne Awards, which showcase Minnesota innovators and innovations,
occurred on October 23 in front of a sold out crowd of more than 1,000 people,
an increase in attendance of 25 percent from the previous year.
Cyberstates 2003 also examines technology exports and venture capital
investments. Minnesota high-tech exports dropped 7 percent to $4.1 billion in
2002, down from $4.4 billion in 2001. Similarly, venture capital investments
in Minnesota dropped by 38 percent, falling from $538 million in 2001 to
$336 million in 2002. Nationally, high-tech venture capital funding dropped
52%, from 27 billion to 12.9 billion.
"While Minnesota faired better than some other technology centers across
the country, we need to do a better job supporting the cornerstones of our
technology-based economy," said Rubin. "Venture capital funding and a
supportive environment for research are critical to putting Minnesota ahead of
the curve."
"Minnesota has some of the most innovative companies and individuals in
the world," Rubin said. "Now the investment is needed to turn these ideas into
successful products that help our economy."
About the study
For the first time, Cyberstates 2003 is based on the U.S. Census Bureau's
newly implemented North American Industry Classification System (NAICS), which
replaced the U.S. Standard Industrial Classification (SIC) system. The NAICS
is more current and comprehensive than the SIC and captures data on several
previously unreported sectors, such as fiber optic cable manufacturers,
semiconductor machinery manufacturers, and Web search portals. Consequently,
the data presented in this report is not comparable to previous editions of
Cyberstates.
Cyberstates 2003 is the seventh edition of AeA's Cyberstates reports. The
study includes seven chapters detailing national and state trends in
employment, wages and exports. Venture capital investments and research and
development (R&D) expenditures are also examined. The report includes state
rankings for each indicator. Cyberstates 2003 is based on the most current
U.S. government data available.
About AeA
AeA is the nation's largest high-tech trade association. Founded in 1943,
AeA utilizes an extensive international network of offices to serve its
members though advocacy, training, research and business services. For more
information, visit http://www.aeanet.org .
About MHTA
The Minnesota High Tech Association accelerates the growth, success and
sustainability of Minnesota's technology-based economy through public policy
advocacy, member collaboration and education, and community outreach. MHTA is
the only membership organization that represents Minnesota's entire
technology-based economy. MHTA members include organizations of every size,
involved in virtually every aspect of technology creation, production,
application and education in Minnesota. MHTA works in partnership with AeA,
which represents Minnesota's technology organizations nationally. More
information on MHTA is available at http://www.mhta.org .
What Does High Tech Mean for Minnesota?
-- 134,227 high-tech workers (17th ranked Cyberstate)
-- 10,300 high-tech jobs lost between 2001 and 2002
-- High-tech firms employed 61 out of every 1,000 private sector workers
in 2002; Minnesota ranked 15th nationwide, down from 64 in 2001
-- High-tech workers earned an average wage of $58,344 (21st ranked), or
59% more than the average private sector wage
-- High-tech payroll was $8.4 billion in 2001, ranked 17th nationwide
-- 7,900 high-tech establishments in 2001, ranked 16th nationwide
-- High-tech exports totaled $4.1 billion in 2002, ranked 9th nationwide
-- High-tech exports represented 40% of Minnesota's exports
-- Venture capital investments of $336 million, down 38% from $538 million
in 2001
-- R&D expenditures of $4.3 billion in 2000, ranked 16th nationwide
Minnesota's National Industry Segment Rankings:
-- 5th in computer and peripheral equipment manufacturing employment with
16,400 jobs
-- 2nd largest electromedical equipment manufacturing industry by
employment.
-- 7th in measuring and control instruments manufacturing employment with
9,800 jobs
-- 9th in electronic components manufacturing employment with 11,900 jobs
Source: Cyberstates 2003
Data are for 2002 unless otherwise noted. 2001 data are the most current
for wages, payroll, establishments, and industry segment jobs.
Published by the AeA, Advancing the Business of Technology
( http://www.AeAnet.org )
SOURCE Minnesota High Tech Association
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Related links:
http://www.AeAnet.org
http://www.mhta.org
Company News On-Call:
http://www.prnewswire.com/comp/144694.html
CONTACT:
Peter Lindstrom of Minnesota High Tech
Association, +1-952-230-4551, plindstrom@mhta.org
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