Contact: Clare Emerson, 916.443.9139, clare_emerson@aeanet.org

Cyberstates 2002 shows that California’s tech industry increased by only 1.3 percent in 2001, reaching 997,951 tech industry workers. This is down sharply from the 13 percent employment growth rate recorded between 1999 and 2000 when California’s tech industry added 113,000 workers to its economic base.

Cyberstates 2002 also examines tech exports and venture capital investments. California exported $56 billion worth of high-tech goods in 2001, $11 billion less than in 2000. Similarly, venture capital investments in California dropped by 62 percent, falling from $44.5 billion in 2001 to $17 billion in 2000.

"The latest Cyberstates data show that California’s high-tech industry was hit hard by last year's slowdown," said Clare Emerson, Executive Director of AeA in Sacramento. "Despite the slowdown, the technology industry is still an important industry in California, employing 78 of every 1,000 private sector workers."

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 California?

• 997,951 high-tech workers (1^st ranked cyberstate)

• 12,400 jobs added in 2001, compared to 113,000 in 2000

• High-tech firms employ 78 of every 1,000 private sector workers, ranked 5^th nationwide

• High-tech workers earned an average wage of $99,175 (2^nd ranked), or 140% more than the average private sector wage

• A high-tech payroll of $98 billion in 2000, ranked 1^st nationwide

• 32,650 high-tech establishments in 2000, ranked 1^st nationwide

• High-tech exports totaled $56 billion, ranked 1^st nationwide, down from $67 billion in 2000

• High-tech exports represented 52% of California’s exports

• Venture capital investments of $17 billion, down 62% from $44.5 billion in 2000

• R&D expenditures of $48 billion in 1999, ranked 1^st nationwide

• Home computer penetration reached 62%, ranked 12^th nationwide

• Home Internet access totaled 55%, ranked 10^th nationwide

California’s National Industry Segment Rankings:

• California leads the nation in 12 of 13 high-tech industry segments

• 1^st in software services employment with 206,500 jobs

• 1^st in computers and office equipment manufacturing employment with 98,600 jobs

• 1^st in semiconductors manufacturing employment with 77,800 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.