New Economy Rankings

Nov. 25, 2008

Download a printable version here (66kb PDF)

Washington ranks 2nd on New Economy index

Despite the state’s looming budget deficit, there are some positive signs about the state’s long-term economic health. The Information Technology & Innovation Foundation- a non-profit public policy think tank-has ranked Washington second in the nation (2008) for being in position for innovation and growth over the next decade. The study concluded that Washington’s aerospace and software industries are major incubators for entrepreneurs.

The foundation used 29 indicators to assess to what degree states are IT-driven, entrepreneurial, globalized and knowledge-based and concluded Washington is among the best. The index also predicts that the next innovation wave will involve technologies such as nanotechnology, biotechnology, robotics, and clean energy.

The study also ranked Washington first in the nation in the movement toward a green economy because of a drop in energy consumption in transportation, industry and commercial sectors and its reliance on hydroelectric power.

The market for green technology is expected to grow in the U.S. to $82 billion in less than two years. Senate Democrats have taken significant steps to maintain an innovative economy and skilled workforce by making investments in key sectors such as higher education.

Aerospace & Software Economic Data
Aerospace

• Aerospace Economic impact $36 billion
• Exports $22.4 billion, almost two-thirds of state total
• Employment More than 110,000; indirectly an estimated 209,300 jobs, 7.5 percent of total employment
• Companies 650
• Wages $5.45 billion
• Average Wage $83,370
• Global aerospace leaders Boeing, Crane, Esterline Technologies Corp., Fokker Elmo, Goodrich Aerostructures, GE/Smith, Leibherr Aerospace, Rolls Royce, Safran Group, Saint Gobain

Source: CTED

Software Industry

• Software and Internet industries represent a $30 billion business statewide.
• 24% of Washington exports are attributed to the software industry.
• According to data from the Washington Employment Security Department, May 2005, employment in the technology industry was 207,080.
• Employment in the software industry for 2005 is 62,600.
• Employment in the software and computer-related sector of Washington State is 15% higher than the national average.
• Seattle has the biggest concentration of game developers in the country along with the Bay area (Other major players are LA, Austin and NYC.)
• 57 companies in Washington do gaming, growing from 37 in October of 2003 (including Microsoft and Nintendo, but not their offshoots). Each company will employ anywhere from a few start up employees to hundreds of people.

Source: CTED