This document discusses trends in technology employment and investment across various US regions and states. It provides data on high-tech job and GDP growth, top metro areas for high-tech employment growth between 2006-2011, venture capital funding by region in Q1 2014, top academic institutions for R&D expenditures from 2010-2012, and organizations granted most patents in 2012. It also includes industry-level GDP data for South Carolina and compares South Carolina's high-tech sector metrics to similar states. The document aims to provide context and considerations for technology-led economic development.

1. Matt Gardner
April 23, 2014

2.  Consider the Source
 RecapTechWorks
 Investment Capital
 Human Capital
 30,000-footView
 Comparables
 Considerations
 Synthesis

3.  About your correspondent
 Senior Fellow, Innovation, BACEI
 CEO of new CTC
 Former Engine,TechAmerica
 Former BayBio,Tech Council of Maryland

6. BORING

7. ACCESSIBLE

8. Insurance Guy
Sees Risk

9. NASCAR Driver
Sees Opportunity

10. Entrepreneur
Let me code you a nav system!

11. Economic Developer
That will take 20 years…

12. Policymaker
Our road isn’t like your road

13. NAICS Code Industry
3254 Pharmaceutical and medicine manufacturing
3341 Computer and peripheral equipment manufacturing
3342 Communications equipment manufacturing
3344 Semiconductor and other electronic component manufacturing
3345 Navigational, measuring, electromedical, and control instruments manufacturing
3364 Aerospace product and parts manufacturing
5112 Software publishers
5161 Internet publishing and broadcasting
5179 Other telecommunications
5181 Internet service providers and Web search portals
5182 Data processing, hosting, and related services
5415 Computer systems design and related services
5417 Scientific research-and-development services
Source: Bureau of Labor Statistics

14. High-Tech Sector Drives Productivity, Income Growth
3.2%
2.4%
1.6%
0.8%
0.0% 1.0% 2.0% 3.0% 4.0%
2012-22*
2002-12
Compound Annual Growth Rate
Total
High-
Tech
Source: Bureau of Labor Statistics; BACEI
Annualized Real Output per Worker Growth (2002-12) and Projections (2012-22)

15.  Top 15 Metros for High-Tech Employment Growth, 2006-2011
Metro Area Change (%)
1. Boise City-Nampa, ID 82.9
2. Augusta-Richmond County, GA-SC 81.9
3. Peoria, IL 41.0
4. Columbia, SC 40.1
5. Charleston-North Charleston-Summerville, SC 39.2
8. SF-San Mateo-Redwood City, CA 27.8
11. Madison, WI 25.4
13. San Antonio, TX 23.6
14. Sacramento, CA 23.4
15. Charlotte-Gastonia-Concord, NC-SC 22.3
Source: Bureau of Labor Statistics; BACEI

16. MetroArea HighTech
Share (%)
HighTech
Jobs (000)
OneYear
Change (%)
FiveYear
Change (%)
AverageWage ($)
Augusta-Richmond
County, GA-SC
2.7 4.4 11.7 81.9 77,566
Columbia, SC 2.5 6.4 28.2 40.1 74,500
Charleston-North
Charleston-
Summerville, SC
4.7 10.4 5.2 39.2 76,599
Charlotte-Gastonia-
Concord, NC-SC
4.0 28.7 3.9 22.3 84,584
South Carolina 3.7 53.3 8.6 22.7 72,142
UnitedStates 5.6 6,133.5 2.6 1.4 95,832
Source: Bureau of Labor Statistics; BACEI

17.  Is this growth representative of new companies?
MetroArea HighTech Startup
Density (1990)
HighTech Startup
Density (2010)
Augusta-RichmondCounty,GA-SC 0.4 0.4
Columbia, SC 0.6 0.5
Charleston-North Charleston-Summerville, SC 0.8 0.6
Charlotte-Gastonia-Concord, NC-SC 0.9 1.2
Austin-Round Rock,TX 2.3 1.7
San Jose-Sunnyvale, CA 3.0 2.6
UnitedStates 1.0 1.0
Source: Bureau of Economic Analysis, NETS, Kauffman Foundation

18. Source: PWC MoneyTree
Region
Total $
Invested
Deals
All $9,468,943,000 951
Amount % ofTotal Deals
SiliconValley $4698M 49.62% 321
New England $1013M 10.70% 98
NY Metro $961M 10.14% 105
LA/Orange County $520M 5.49% 62
Midwest $420M 4.44% 84
Texas $349M 3.68% 41
SouthWest $261M 2.76% 22
Southeast $260M 2.74% 44
San Diego $243M 2.57% 23
DC/Metroplex $217M 2.30% 43
Northwest $186M 1.97% 30
Colorado $113M 1.19% 22
North Central $108M 1.14% 23
Philadelphia Metro $101M 1.07% 19
South Central $18M 0.19% 6
Upstate NY $2M 0.02% 6
AK/HI/PR $0M 0.00% 2
Q1 2014Venture Capital Investments by US Region

19. Source: NSF Science & Engineering Indicators 2014
Institution 2010 2011 2012
All institutions 58,360,056
61,996,23
5
62,266,083
1 Johns Hopkins U.,The (private)a
1,997,252 2,135,547 2,092,999
7 Duke U. (private) 980,514 1,018,241 1,004,759
9 U. of North Carolina, Chapel Hill (public) 746,828 846,499 864,748
10 Stanford U. (private) 810,300 868,393 854,580
24 Georgia Institute ofTechnology (public) 611,226 650,588 683,894
37 Emory U. (private) 498,309 479,678 474,537
52 NorthCarolina State U. (public) 357,802 374,446 400,046
68 U. of GA (public) 274,380 300,388 311,498
86 Medical U. of South Carolina (public) 224,632 213,346 236,586
99 Wake Forest U. (private) 192,034 208,460 203,730
Top 100 (select) academic institutions in S&E R&D expenditures
Ranked by FY 2012 R&D expenditures: FYs 2010–12 (000)

20. Source: NSF Science & Engineering Indicators 2014
Top 300 (select) organizations granted patens in 2012
Rank Organization Patents Change from
2011 (%)
1 IBM 6,457 5.0
2 Samsung 5,043 3.6
90 U California (System) 357 10.5
138 MIT 216 35.0
157 Stanford 182 19.0
197 UTexas 141 12.8
205 CalTech 136 22.5

21. Don’t create the next SiliconValley
Be the first Belle Lab

23. Industry 2012 GDP
($bn)
% of
Total
Transportation & Warehousing 4.06 2.3
Prof, Sci &Tech Services 9.49 5.4
Management of Companies 1.68 1.0
Administrative & Waste Mgmt 7.32 4.2
Ed Services (excl public schools) 1.25 0.7
Healthcare & Social Assistance 11.50 6.5
Arts, Entertainment & Recreation 1.16 0.7
Accommodation and Food Service 6.78 3.8
Other Services 4.64 2.6
Government 29.96 17.0
Industry 2012 GDP
($bn)
% ofTotal
Ag and Forestry 1.04 0.6
Mining 0.22 0.1
Utilities 5.57 3.2
Construction 7.23 4.1
Manufacturing 28.71 16.3
Wholesale Trade 9.69 5.5
Retail Trade 12.78 7.3
Information 4.33 2.5
Finance &
Insurance
9.04 5.1
Real Estate 19.76 11.2
Source: South Carolina Department of Commerce

24.  Similar States byTQ, including change 2006-2011
MetroArea HighTech
Share (%)
HighTech
Jobs (000)
OneYear
Change (%)
FiveYear
Change (%)
AverageWage ($)
South Carolina 3.7 53.3 8.6 22.7 72,142
Florida 4.0 250.8 0.9 -7.5 79,828
Illinois 4.3 208.9 2.2 -2.9 91,559
Indiana 3.5 83.1 -1.0 -2.2 80,433
Missouri 4.4 95.6 2.9 -2.3 88,698
Nebraska 4.1 30.6 2.7 -1.6 67,660
Wisconsin 3.6 83.7 4.1 6.3 74,010
United States 5.6 6,133.5 2.6 1.4 95,832
Source: Bureau of Labor Statistics; BACEI

25.  Management Changes
 What is General Assembly and why should I
care?
 How does that relate to “kid comfort” with tech?
 Where is investment in tech going?
 Energy
 EdTech
 Enterprise
 IoT
▪ Smart Grid, Efficiency, Buildings
▪ Transportation

26.  Public Sector
 Test beds
 Procurement
 Challenges
 KBA
 MdBio
 Biomass-to-energy

27.  Federally flat R&D drivers
 Clearer picture with financial
disintermediation
 Democratization and availability of education
tools

28.  Additional resources
 BACEI www.bayareaeconomy.org
 Kauffman Foundation
 MoneyTree www.pwcmoneytree.com
 Startup Genome
 Startup America/UPglobal
Matthew M. Gardner,Tech-led Economic Growth
Tw: @TechCitizen
Email: mgardner@californiatechnology.org