DC’s High-Tech Industry Adds Nearly 8,000 Jobs
DC Ranks 1^st Nationwide in R&D Expenditures Per Capita

Washington, DC, April 26, 2005 – The recent downturn in the economy did not dramatically affect the high-tech industry in the District of Columbia over the long term.  High-tech employment in the nation's capital grew 30 percent from 25,500 in 1998 to 33,300 in 2003.  More recently, the employment situation was nearly unchanged between 2002 and 2003, the most recent available state data.  In addition, venture capital investment in the District of Columbia jumped from $57 million in 2003 to $73 million in 2004, according to Cyberstates 2005:  A State-by-State Overview of the High-Technology Industry, a new analytical report released today by AeA.

The District of Columbia also saw its technology exports increase in 2004, jumping 44 percent to $171 billion. 

"The District of Columbia weathered the recent downturn fairly well, in part, because its is home to the federal government,” said Greg Poersch, Executive Director, AeA's Potomac Council.  "The technology industry remains an important component of DC's economy; DC is the 4^th ranked cyberstate by concentration of tech workers."

The District of Columbia ranks first in the nation in R&D expenditures per capita and ranks high in the number of people employed by the R&D and testing labs, ahead of states with much larger populations, such as Minnesota, Wisconsin, and Georgia.

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 the District of Columbia?

·      33,300 high-tech workers (36^th ranked cyberstate)

·      100 jobs lost between 2002 and 2003

·      7,800 jobs added between 1998 and 2003

·      High-tech firms employed 79 of every 1,000 private sector workers in 2003, ranked 4^th nationwide

·      High-tech workers earned an average wage of $71,300 (8^th ranked), or 27% more than the District's average private sector wage

·      A high-tech payroll of $2.4 billion in 2003, ranked 30^th nationwide

·      1,800 high-tech establishments in 2003, ranked 37^th nationwide

·      High-tech exports totaled $171 million in 2004, ranked 44^th nationwide

·      High-tech exports represented 15% of the District of Columbia’s exports

·      Venture capital investments of $73 million in 2004, up 28% from 2003

·      R&D expenditures of $2.7 billion in 2002, ranked 24^th nationwide

The District of Columbia’s National Industry Segment Rankings:

·      17^th in R&D and testing labs employment with 10,500 jobs

·      24^th in computer systems design and related services employment with 11,600 jobs

·      30^th in Internet services employment with 2,800 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.

This page was last updated on 04/27/05.