Research & Publications

• Cyberstates
• Trade in the Cyberstates
• Cybercities
• Competitiveness Series
• Domestic Sourcing
• Vision Federal Market Forecast
• Purchase a Report

Order 2011 Vision Conference CD

Offering a long-term forecast of the federal IT (5-year) and U.S. Defense (10-year) markets...read more.

U.S. High-Tech Industry Sheds 245,600 Jobs in 2009

Most Recent State Data Show 2008 Gains in California as Recession Unfolded

Contact: Anne Caliguiri Savoie, Director, Communications
703.284.5305 or anne.savoie@techamericafoundation.org

Josh James, Director, Research and Industry Analysis (research-based inquiries)
202.682.4422 or josh.james@techamericafoundation.org

Washington, DC (April 28, 2010) – TechAmerica Foundation today released its 13th annual Cyberstates report detailing national and state trends in high-tech employment, wages, and other key economic factors. The report, Cyberstates 2010: The Definitive State-by-State Analysis of the High-Technology Industry, covers all 50 states, the District of Columbia, and Puerto Rico.

Nationally, the high-tech industry lost 245,600 jobs in 2009, for a total of 5.9 million workers. This recession–induced, four percent decline in tech employment is slightly lower than the five percent decline experienced by the private sector as a whole and follows four years of steady growth in tech industry employment.

California’s high-tech industry added 15,800 net jobs for an industry total of 993,300 in 2008, the most current year for which state data is available. This two percent gain in the midst of recession compared with an overall one percent loss in the state’s private sector workforce in 2008. Leading the way in job creation were R&D and testing labs (+9,100), computer systems design and related services (+7,900 jobs), and engineering services (+1,200 jobs).

California continued to lead the nation by most high-tech industry metrics including employment, wages, payroll, and establishments. California’s tech workers had the highest average wage at $105,500 which is 108 percent more than the state’s average private sector wage.

“California’s tech industry was still adding jobs as financial crisis and economic downturn were hitting the country and the state in 2008, and while California’s private sector as a whole was shedding jobs,” said Kevin Carroll, Regional Director, TechAmerica Southern California. “But we should caution ourselves not to misinterpret this data. Last year’s Cyberstates report included a supplement that looked at the last two quarters of 2008, when job losses were beginning in the tech industry nationally. Additionally, 2009 data show that the U.S. tech industry shed close to 250,000 jobs. As home to the nation’s largest tech industry, California is hard pressed to avoid these trends and can only hope to lead the way in eventual economic recovery.”

Two other major TechAmerica Foundation cyber reports that analyze the U.S. high-tech industry: Cybercities 2010: An Overview of the High-Technology Industry in the Nation’s Top 60 Cities, and Trade in the Cyberstates 2010: A State-by-State Overview of High-Tech International Trade, are forthcoming.

TechAmerica Foundation would like to thank Grant Thornton for the generous underwriting of this report. Cyberstates 2010 may be purchased for $150. The quarterly supplement may be freely downloaded. Both reports may be accessed at: www.techamericafoundation.org/cyberstates.

What Does High Tech Mean for California?

• 993,300 high-tech workers in 2008 (1st ranked cyberstate)
• 15,800 jobs added between 2007 and 2008, ranked 1st nationwide
• High-tech firms employed 76 of every 1,000 private sector workers in 2008, ranked 7th nationwide
• High-tech workers earned an average wage of $105,500 (1st ranked), or 108 percent more than California’s average private sector wage
• A high-tech payroll of $104.8 billion in 2008, ranked 1st nationwide
• 42,300 high-tech establishments in 2008, ranked 1st nationwide

California’s National Industry Sector Rankings:

• 1st in computer systems design and related services employment with 205,600 jobs
• 1st in internet and telecommunications services employment with 167,600 jobs
• 1st in R&D and testing labs employment with 130,900 jobs
• 1st in engineering services employment with 112,900 jobs

Source: Cyberstates 2010

Data are for 2008 unless otherwise noted.

2008 state data are the most current available for employment, wages, payroll, establishments, and industry sector jobs.

Published by TechAmerica Foundation

- # # # -

About TechAmerica Foundation
TechAmerica Foundation educates industry executives, policymakers, and opinion leaders on the promise of technological innovation to advance prosperity, security, and the general welfare. Launched in 1981, the foundation is a 501(c)(3) non-profit, non-partisan affiliate of TechAmerica, the leading voice and resource for the U.S. technology industry. It disseminates award-winning industry, policy and market research covering topics such as U.S. competitiveness in a global economy, innovation in government, and other areas of national interest. The foundation also organizes conferences and seminars to explore pertinent issues with government and industry representatives and to share the foundation’s findings.