Massachusetts' Tech Industry Adds 5,100 Jobs

Massachusetts Boasts 2nd Highest Concentration of High-Tech Workers in the Nation

WOBURN, Mass., April 2, 2008 /PRNewswire-USNewswire/ -- 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.

Massachusetts's high-tech industry added 5,100 net jobs -- a rise of two percent -- in 2006, the most current state data available. Massachusetts remained the 6th largest cyberstate employing 242,700 with a total payroll of $23 billion. Massachusetts boasts the second highest concentration of high tech workers with 87 out of every 1,000 private sector workers employed by the high-tech industry. These jobs are well compensated at an average of $94,800 -- 79 percent more than the state's average private sector wage.

Massachusetts' largest job gains in 2006 occurred in computer systems design and related services (+3,100 jobs), R&D and testing labs (+2,400 jobs), and electromedical equipment manufacturing (+1,100). The largest job losses were in computer and peripheral equipment manufacturing (-1,600 jobs).

Despite an overall loss of some 1,300 tech manufacturing jobs in 2006, Massachusetts continues to have a strong manufacturing base. The state's measuring and control instruments sector ranks 2nd nationwide (15,400 total jobs), consumer electronics ranks 2nd (3,800 total jobs), and computer and peripheral equipment ranks 4th (14,600 total jobs).

"The high-tech industry is tremendously important to the Massachusetts' economy," said Anne Doherty Johnson, AeA New England Executive Director. "Bay State tech companies have added high-paying tech industry jobs for the second year in a row and we retain the distinction of having the second highest concentration of tech workers as a percentage of the state's private sector workforce. Also, we rank among the top five cyberstates in the nation by employment in eight of the 16 high-tech sectors."

"But Massachusetts shed jobs in five of the nine tech manufacturing sectors, clearly a matter for concern," continued Doherty Johnson. "We need to continue efforts to bolster funding for long-term research at our universities and focus much more energy on improving math and science education in our schools so our children can pursue high paying, 21st century technology jobs."

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 http://www.aeanet.org/cyberstates to download the report, or call 408.987.4200.

What Does High Tech Mean for Massachusetts?

-- 242,700 high-tech workers in 2006 (6th ranked cyberstate)
-- 5,100 jobs added between 2005 and 2006

-- High-tech firms employed 87 of every 1,000 private sector workers in 2006, ranked 2nd nationwide

-- High-tech workers earned an average wage of $94,800 (2nd ranked), or 79 percent more than Massachusetts's average private sector wage

-- A high-tech payroll of $23.0 billion in 2006, ranked 5th nationwide
-- 11,100 high-tech establishments in 2006, ranked 11th nationwide

-- Venture capital investments of $3.5 billion in 2007, up 21 percent from $2.9 billion in 2006, ranked 2nd nationwide

-- R&D expenditures of $16.3 million in 2004, ranked 3rd nationwide

Massachusetts's National Industry Sector Rankings:

-- 2nd in measuring and control instruments manufacturing employment with 15,400 jobs

-- 2nd in consumer electronics manufacturing employment with 3,800 jobs
-- 3rd in R&D and testing labs employment with 44,100 jobs

-- 4th in computer and peripheral equipment manufacturing employment with 14,600 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 (http://www.aeanet.org/)

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/.

Contact: Anne Doherty Johnson, 781.938.1925, Anne_Doherty_Johson@aeanet.org

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Source: AeA

CONTACT: Anne Doherty Johnson of AeA, +1-781-938-1925,
Anne_Doherty_Johson@aeanet.org

Web Site: http://www.aeanet.org/

2008-04-01 23:09:28 0325635 PRNEWSWIRE