Minnesota’s High-Tech Industry Totals 124,900 Jobs
Minnesota's Venture Capital Investments Jump by 58 Percent in 2004

Minneapolis, MN, April 26, 2005 – High-tech industry employment in Minnesota totaled 124,900 in 2003, the most recent year state data are available.  While Minnesota's tech industry was hit hard by the technology slowdown, losing some 9,300 jobs in 2003, there has been growth in high-tech exports and in venture capital investments, according to Cyberstates 2005:  A State-by-State Overview of the High-Technology Industry, a new analytical report released today by AeA.

"Technology industries in Minnesota turned around in 2004,” said Kate Rubin, president of the Minnesota High Tech Association.  "Venture capital investment increased by 58 percent to $351 million in 2004.  And high-tech exports increased by $448 million in 2004.  Minnesota, for the first time, exported more than $5 billion worth of goods.  Increases in venture capital and exports foreshadow a turnaround in the tech industry in Minnesota.” 

“Technology workers earn an annual salary that is 66 percent higher than the state's average private sector worker," added Janice Aune, chairman and CEO of Onvoy; chair of MHTA’s Board of Directors; and member of the AeA Board of Directors.  “Technology companies have a tremendous impact on Minnesota’s economy,” she stated.

Minnesota ranked 2^nd by employment in electromedical equipment manufacturing with 10,900 workers, and 5^th by computer and peripheral equipment manufacturing with 15,200 jobs.

Nationally, Cyberstates 2005 shows that the high-tech industry is slowly turning the corner.  High-tech employment was down by only 25,000 jobs out of 5.6 million workers in 2004.  U.S. high-tech exports were up by 12 percent for a total of $191 billion in 2004.  And, technology related venture capital investments were up for the first time in four years.

This eighth annual edition of Cyberstates provides a comprehensive review of the high-tech industry nationally and state-by-state by high-tech employment, wages, payroll, establishments, and trade.  Cyberstates also offers data on venture capital investments and R&D expenditures.

AeA members can purchase the report for $95; non-members for $190.  Visit www.aeanet.org to download the report, or call 800.284.4232 or 408.987.4200.

What Does High Tech Mean for Minnesota?

·      124,900 high-tech workers (17^th ranked cyberstate)

·      9,300 jobs lost between 2002 and 2003

·      High-tech firms employed 57 of every 1,000 private sector workers in 2003, ranked 17^th nationwide

·      High-tech workers earned an average wage of $64,300 (18^th ranked), or 66% more than Minnesota's average private sector wage

·      A high-tech payroll of $8.0 billion in 2003, ranked 17^th nationwide

·      7,300 high-tech establishments in 2003, ranked 16^th nationwide

·      High-tech exports totaled $5.2 billion in 2004, ranked 8^th nationwide

·      High-tech exports represented 41% of Minnesota's exports, ranked 9^th nationwide

·      Venture capital investments of $351 million in 2004, ranked 11^th nationwide

·      Venture capital investments increased by $129 million in 2004, ranked 6^th nationwide

·      R&D expenditures of $5.2 billion in 2002, ranked 15^th nationwide

Minnesota’s National Industry Segment Rankings:

·      2^nd largest electromedical equipment manufacturing employment with 10,900 jobs

·      5^th in computer and peripheral equipment manufacturing employment with 15,200 jobs

·      7^th in measuring and control instruments manufacturing employment with 9,300 jobs

·      8^th in electronic components manufacturing employment with 8,400 jobs

Source:  Cyberstates 2005

Data are for 2003 unless otherwise noted.

2003 data are the most current for state employment, wages, payroll, establishments, and industry segment jobs.

Published by AeA, Advancing the Business of Technology

NOTE TO EDITORS: Press releases focusing on U.S. high-tech trade as well as on specific states are available on AeA’s website.

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About AeA
AeA, founded in 1943, is a nationwide non-profit trade association that represents all segments of the technology industry and is dedicated solely to helping our members’ top line and bottom line. We do this in partnership with our small, medium, and large member companies by lobbying governments at the state, federal, and international levels, providing access to capital and business opportunities, and offering select business services and networking programs.  For more information, please visit http://www.aeanet.org.

About MHTA
MHTA accelerates the growth, success and sustainability of Minnesota's technology-based economy.  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 the MHTA can be found at www.mhta.org.

This page was last updated on 04/26/05.