New York is the Nation’s Third Largest Cyberstate,
Employing Over 300,000

High-Tech Exports from New York Rise 13 percent in 2004

Albany, NY, April 26, 2005 – New York remains the nation’s third largest cyberstate despite shedding 23,800 jobs from 329,200 in 2002 to 305,300 in 2003, the most recent year state data are available.  While this is the third annual decline in tech employment in New York, the losses are slowing, according to Cyberstates 2005:  A State-by-State Overview of the High-Technology Industry, a new analytical report released today by AeA.  California and Texas, the nation’s largest cyberstates, lost 67,800 and 32,900 jobs, respectively.

Additionally, the report found that both high-tech exports and venture capital investments in New York rose in 2004.  High-tech exports increased from $7.4 billion in 2003 to $8.3 billion in 2004, a 13 percent increase.  Total venture capital investments in New York increased by 6 percent, from $681 million in 2003 to $721 million in 2004.

"The employment numbers continue to be distressing,” said Michael Hickey, CFO, MapInfo Corporation.  "But we believe that the tech industry is rebounding and remains crucial to New York’s economy.  The strong commitment to New York’s high-tech industry by Governor George Pataki, Senate Majority Leader Joe Bruno, and Assembly Speaker Sheldon Silver is evidenced by the significant investments into the states research and development capabilities.  These investments will help insure that New York State technology companies are on the cutting edge of technology innovation and remain competitive in a rapidly evolving global marketplace.”

Justin Wright, Executive Director, AeA New York Council said, “The fact that venture capital and high-tech exports both increased significantly in 2004 coupled with recently announced investments totaling 2.7 billion by ASML, IBM, Samsung, SONY, Toshiba, and others in the state are encouraging signs for New York’s tech industry."

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 New York?

·      305,300 high-tech workers (3^rd ranked cyberstate)

·      23,800 jobs lost between 2002 and 2003

·      High-tech firms employed 45 of every 1,000 private sector workers in 2003, ranked 25^th nationwide

·      High-tech workers earned an average wage of $70,200 (11^th ranked), or 47% more than New York's average private sector wage

·      A high-tech payroll of $21.4 billion in 2003, ranked 3^rd nationwide

·      18,500 high-tech establishments in 2003, ranked 4^th nationwide

·      High-tech exports totaled $8.3 billion in 2004, ranked 5^th nationwide

·      High-tech exports represented 19% of New York’s exports

·      Venture capital investments of $721 million in 2004, up 6% from $681 million in 2003

·      R&D expenditures of $13.4 billion in 2002, ranked 5^th nationwide

New York’s National Industry Segment Rankings:

·      1^st in photonics manufacturing employment with 9,600 jobs

·      2^nd in defense electronics manufacturing employment with 10,700 jobs

·      3^rd in R&D and testing labs employment with 40,400 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.

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