Rolling Meadows, IL, June 26, 2002—Iowa’s high-technology exports increased in 2001, rising nine percent to $480 million from $442 million in 2000. Iowa’s high-tech industry exports represented 10 percent of total exports from the state in 2001.

Cyberstates 2002 ranks Iowa 33^rd in high-tech employment with 34,900 jobs. A decrease of 600 jobs shows a change from the previous year, when technology employment grew by nearly 700 jobs. High-tech workers earn an average of $40,800, significantly higher than the average private sector wage of $27,500 in 2000.

Cyberstates 2002 also shows that venture capital investments in Iowa plummeted by 74 percent between 2000 and 2001, falling from $23 million to $6 million.

C. J. Niles, Director of the Iowa Department of Economic Development, said, "Iowa is definitely on the upswing in Venture Capital. Governor Tom Vilsack has signed a package of legislation to expand the venture capital pool that is used by technology companies. The changes include new tax credits to investors in qualified venture capital funds and a new Iowa Venture Capital Board that will mobilize more venture capital sources for entrepreneurs. We are working with Software and Information Technology of Iowa as well as Iowa companies to continue the positive momentum in tech export growth."

Nationally, Cyberstates 2002 shows that high-tech industry employment grew slightly in 2001, reaching 5.6 million, compared to 5.5 million in 2000. This one percent increase illustrates the effect of the technology slowdown in 2001, compared to nine percent growth in 2000.

Cyberstates 2002 is the sixth edition of AeA’s Cyberstates reports. The study includes nine chapters detailing national and state trends in employment, wages, and exports. Venture capital investments, research and development (R&D) expenditures, and computer and Internet home use are also examined. The report includes state rankings for each indicator. Cyberstates 2002 is based on the most current U.S. government data available.

What Does High Tech Mean for Iowa?

• 34,892 high-tech workers (33^rd ranked cyberstate)

• 5,300 jobs added between 1995 and 2001, ranked 36^th nationwide

• Lost 580 tech jobs in 2001, compared with a tech job gain of 670 in 2000

• High-tech firms employ 29 of every 1,000 private sector workers, ranked 36^th nationwide

• High-tech workers earned an average wage of $40,800 (48^th ranked), or 48% more than the average private sector wage in 2000

• A high-tech payroll of $1.5 billion in 2000, ranked 34^th nationwide

• 2,200 high-tech establishments in 2000, ranked 30^th nationwide

• High-tech exports totaled $480 million, ranked 35^th nationwide

• High-tech exports represented 10% of Iowa’s exports

• An increase of $38 million in high-tech exports between 2000 and 2001

• Venture capital investments of $6 million, ranked 45^th nationwide

• Venture capital investments declined by 74% between 2000 and 2001, dropping by $17 million

• R&D expenditures of $1 billion in 1999, ranked 34^th nationwide

• Home computer penetration reached 59%, ranked 15^th nationwide

• Home Internet access totaled 51%, ranked 25^th nationwide

• 16^th in data processing and information service employment 11,300 jobs

Source: Cyberstates 2002
Data are for 2001 unless otherwise noted.
2000 data are the most current for wages, payroll, establishments, and industry segment jobs.