Tech Industry Remains Critical to Connecticut Economy

Jobs Growth Led by Strong Gains in Computer Systems Design Sector

Woburn, MA (March 31, 2009) - TechAmerica, formed by the merger of AeA and the Information Technology Association of America (ITAA), today released its 12th annual Cyberstates report, which includes a first-ever supplement with a 3rd and 4th quarter breakdown of 2008 tech employment. Fourth quarter data show the tech industry's resilience compared to the U.S. economy as a whole, having sustained only a 0.6 percent drop in employment, or 38,000 jobs, in Q4 2008 when total private-sector employment declined by 1.3 percent.

The high-tech industry has added 382,900 jobs to the U.S. economy over the last four years. The industry added 77,000 net jobs in 2008, for a total of 5.9 million workers. This was on top of 79,600 added in 2007, 139,000 in 2006, and 87,400 in 2005.

The Cyberstates 2009 report - which details national and state trends in high-tech employment, wages, and other key economic factors for all 50 states, the District of Columbia, and Puerto Rico - shows that Connecticut's high-tech industry employment rose by a net 1,400 jobs to 69,500, representing a two percent increase in 2007, the most current year for which state data is available.

"The fact that Connecticut's high-tech employment grew by 1,400 in 2007, on the eve of the current downturn, demonstrates the strength of the tech industry," said Anne Doherty Johnson, Executive Director, TechAmerica New England. "The 2008 national data show that the U.S. tech sector proved remarkably resilient in 2008, and could be poised to make a quicker rebound than other industry sectors. Federal stimulus spending, which includes a significant focus on technology infrastructure investments, can help accelerate growth and jobs creation in New England."

Connecticut's largest tech sector employment growth came in the computer systems design and related services sector, which added 1,500 jobs in 2007, offsetting losses in other sectors. The average high tech wage remains strong at $84,200, or 42 percent more than Connecticut's average private sector wage.

Two other major TechAmerica cyber reports that analyze the U.S. high-tech industry: Cybercities 2009: An Overview of the High-Technology Industry in the Nation's Top 60 Cities, and Trade in the Cyberstates 2009: A State-by-State Overview of High-Tech International Trade, are forthcoming.

Cyberstates 2009 may be purchased for $150. The quarterly supplement may be freely downloaded. Both reports may be accessed at: www.techamerica.org/cyberstates.

What Does High Tech Mean for Connecticut?

• 69,500 high-tech workers in 2007 (24th ranked cyberstate)
• 1,400 jobs gained between 2006 and 2007
• High-tech firms employed 48 of every 1,000 private sector workers in 2007, ranked 21st nationwide
• High-tech workers earned an average wage of $84,200 (11th ranked), or 42 percent more than Connecticut's average private sector wage
• A high-tech payroll of $5.9 billion in 2007, ranked 21st nationwide
• 4,900 high-tech establishments in 2007, ranked 21st nationwide

Connecticut's National Industry Sector Rankings:

• 7th in photonics manufacturing employment with 1,100 jobs
• 14th in measuring and control instruments manufacturing employment with 5,500 jobs
• 18th in communications equipment manufacturing employment with 2,200 jobs

Source: Cyberstates 2009

Data are for 2007 unless otherwise noted.

2007 state data are the most current available for employment, wages, payroll, establishments, and industry sector jobs.

Published by TechAmerica - Where the Future Begins

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About TechAmerica
TechAmerica is the leading voice for the U.S. technology industry, the driving force behind productivity growth and jobs creation in the United States and the foundation of the global innovation economy. Representing approximately 1,500 member companies of all sizes from the public and commercial sectors of the economy, it is the industry's largest advocacy organization and is dedicated to helping members' top and bottom lines. It is also the technology industry's only grassroots-to-global advocacy network, with offices in state capitals around the United States, Washington, D.C., Europe (Brussels) and Asia (Beijing). TechAmerica was formed by the merger of AeA (formerly the American Electronics Association), the Cyber Security Industry Alliance (CSIA), the Information Technology Association of America (ITAA) and the Government Electronics & Information Technology Association (GEIA). Learn more at www.techamerica.org.

Contact:
Anne Doherty Johnson
Executive Director, TechAmerica New England
781.938.1925 or anne.doherty.johnson@techamerica.org

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

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