Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: Jack Whitley who wrote (29918)	1/10/1998 10:01:00 PM
From: Glenn D. Rudolph	Respond to of 61433

High-Tech in America – 15 December 1997 3 Chart 2: High Technology Trade 01020 30 40 Japan EU- 15 Canada Singapore Taiw an Malaysia China South Korea Mexico Brazil ($ billions) Imports Exports Source: U.S. Bureau of the Census as compiled by Global Trade Information Services Services Trade Though more difficult to measure than merchandise trade, information services sales represented a positive trade balance of $4.3 billion as U.S. exports outnumbered imports nearly 10 to 1 for 1996 ($4.8 billion to $0.5 billion). This sector, made up of exports like custom software and programming services, integrated hardware and software systems, and computer systems design and engineering services, more than tripled from the 1990 figure of $1.3 billion. Even more dramatic was the trade generated by foreign subsidiaries of U.S. companies, which generated a surplus of $19.2 billion in 1995, the latest year for which figures are available. High-Technology Employment Employment for the overall high-technology industry reached 4.3 million people in 1996, up some 290,000 from 1990. Tech represents 4.3% of the total U.S. workforce, ranking fourth behind healthcare, education, and construction. High-tech was the single largest manufacturing sector with 1.9 million workers, or 10.4% of all manufacturing employment. However, as with other manufacturing sectors, high-tech manufacturing employment declined during the 1990-1996 period, losing 194,000 jobs, but has rebounded 4% since 1995. Also mimicking the country as a whole, high tech experienced a shift during the 1990s from manufacturing to services. In 1992, high-tech services employment surpassed that of high-tech manufacturing for the first time and has steadily outpaced it since. The software and computer related services sector added 455,000 jobs (up 54%) and communications services added another 27,000 jobs during the survey period. The services sector growth was fueled by the creation of smaller, innovative companies. While the number of computer hardware manufacturers rose only 5% during the period, the number of software and related computer services companies rose 87%. Chart 3: High Technology Employment 0.00 1.00 2.00 3.00 4.00 5.00 1990 1991 1992 1993 1994 1995 1996 (employment in millions) Softw are & Computer Services Communications Services Manufacturing Overall Source: U.S. Bureau of Labor Statistics High-Technology Wages While high-tech employment has increased, demand for highly skilled and technically proficient workers has exceeded supply, pushing wages higher. On an inflation adjusted basis, high-tech wages increased 13% from 1990 to 1996, with high-tech services up 19%. As a consequence, the average high-tech wage is 73% higher than the average U.S. private sector wage. By comparison, non-technology related wages remained flat over the same period. The average high-tech manufacturing wage was $47,800, $11,600 higher than the general manufacturing wage but slightly less than comparable manufacturing workers in the chemical and aircraft industries. For services, the comparison was even more dramatic, as the average high- tech wage of $52,527 was 88% higher than the mean for U.S. services workers. We believe that the rapid pace of technological evolution and innovation will perpetuate the supply imbalance for technology workers for the forseable future, with wages continuing to rise faster than the overall economy.