New Jersey’s Tech Industry Adds 8,500 Jobs
New Jersey's Tech Industry 4th Fastest Growing in the Nation

Clark, NJ (April 2, 2008) – AeA, the nation’s largest technology trade association representing all segments of the high-tech industry, today released its 11th annual Cyberstates report detailing national and state trends in high-tech employment, wages, and other key economic factors. The report, Cyberstates 2008: A Complete State-by-State Overview of the High-Technology Industry, covers all 50 states, the District of Columbia, and Puerto Rico.

New Jersey's high-tech industry was the 4th fastest growing, adding 8,500 net jobs in 2006, the most recent year state data are available. New Jersey remained the 9th largest cyberstate employing 205,700 with a total payroll of $18.4 billion. Tech industry jobs pay on average $89,400 – 74 percent higher than the state’s average private sector wage.

New Jersey’s tech industry job growth in 2006 was led by computer systems design and related services (+4,000 jobs), followed by R&D and testing labs (+1,900 jobs), and Internet services (+1,800 jobs). Job losses came in semiconductor manufacturing (-200 jobs).

Venture capital investments in New Jersey totaled $625 million in 2007, ranking the state 8th nationwide by this metric.

"New Jersey’s high-tech industry saw vibrant growth in 2006 and only shed a modest number of jobs in three manufacturing sectors,” said Thomas Shields, Executive Vice President and Chief Financial Officer of Anadigics, Inc. and chairperson of AeA’s New Jersey-Pennsylvania Council. "The Garden State remains the 9th largest cyberstate by total tech employment. And the average tech industry wage is 74 percent higher than the average annual wage of New Jersey’s private sector.”

“The key to maintaining strong growth of high paying jobs depends on developing the skills and education of our workforce and adapting to a more competitive global marketplace,” continued Shields. “State and local leaders need to promote the math and science education of New Jersey’s children. And the federal government needs to expand investment in long-term research efforts that provide the seed corn for industry to innovate.”

Nationally, Cyberstates 2008 shows that the high-tech industry added jobs for the third consecutive year. Tech industry employment totaled 5.9 million, after adding 91,400 jobs in
2007. This is on top of job gains of 139,000 in 2006 and 87,400 in 2005.

This 11th edition of Cyberstates provides a comprehensive review of the high-tech industry nationally and state-by-state in terms of high-tech employment, wages, payroll, and establishments. Cyberstates also offers data on venture capital investments and R&D expenditures.

Two other major AeA cyber reports are forthcoming that analyze the U.S. high-tech industry: Cybercities 2008: An Overview of the High-Technology Industry in the Nation’s Top 60 Cities, and Trade in the Cyberstates 2008: A State-by-State Overview of High-Tech International Trade.

AeA members can purchase Cyberstates 2008 for $125; non-members for $250. Visit www.aeanet.org/cyberstates to download the report, or call 408.987.4200.

What Does High Tech Mean for New Jersey?

• 205,700 high-tech workers in 2006 (9th ranked cyberstate)
   

• 8,500 jobs added between 2005 and 2006
   

• High-tech firms employed 62 of every 1,000 private sector workers in 2006, ranked 11th nationwide
   

• High-tech workers earned an average wage of $89,400 (3rd ranked), or 74 percent more than New Jersey's average private sector wage
   

• A high-tech payroll of $18.4 billion in 2006, ranked 6th nationwide
   

• 14,100 high-tech establishments in 2006, ranked 7th nationwide
   

• Venture capital investments of $625 million in 2007, down 17 percent from $756 million in 2006, ranked 8th nationwide
   

• R&D expenditures of $12.6 billion in 2004, ranked 7th nationwide

New Jersey's National Industry Sector Rankings:

• 6th in R&D and testing labs employment with 35,900 jobs
   

• 5th in defense electronics manufacturing employment with 9,100 jobs
   

• 7th in computer systems design and related services employment with 55,300 jobs

Source: Cyberstates 2008

Data are for 2006 unless otherwise noted.

2006 state data are the most current available for employment, wages, payroll, establishments, and industry sector jobs.

Published by AeA, Advancing the Business of Technology (www.aeanet.org)

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About AeA

AeA, the nation’s largest technology trade association, representing all segments of the high-tech industry, 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 03/31/08.              
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