Tech Innovation Index

Page 1

A PUBLICATION OF

TECH INDEX

National Metro Comparison

TECH TALENT SUPPLY, TECH TALENT DEMAND + INNOVATION


NC TECH METRO INDEX

INTRODUCTION NC TECH has been quantifying the state’s progress in the tech industry for years. In early 2022, the organization will release the 8th version of the State of the Tech Industry (STIR) report, which analyzes the size and growth of the state’s tech workers, firms, and wages. A key component of the STIR report is comparing North Carolina with the other states in the nation to gauge performance. The STIR report is produced annually by

METHODOLOGY

Economic Leadership LLC, a research and consulting

To create the index, Economic Leadership

firm also based in North Carolina.

LLC reviewed the data available at the metropolitan statistical area (MSA) level

In 2021, NC TECH wanted to develop a way to evaluate

relevant to the tech sector. This list of

the metro areas of the state (STIR focuses on the state

potential metrics was presented to NC Tech

level), and asked Economic Leadership LLC to help

leaders who provided feedback to finalize

develop an index to compare the state’s metros’ tech

the list. The list of metrics was grouped into

performance against other top metros in the country.

three subindexes of tech talent supply, tech

Together, we developed a methodology to compare

talent demand, and innovation. Based on

metro tech performance with data that is released

feedback from the tech business leaders on

annually, which can continue to be assessed yearly.

the board, supply of tech workers was given the highest weighting, as they felt it was

The metro index focuses on some of the emerging

one of the biggest factors in a tech business’

challenges for tech hubs, including a heavy focus on the

location decision. Demand was the next

availability of workforce. The issue of finding qualified

priority, as colocation has been a big factor

workers has only been exacerbated as we emerge

in tech agglomeration. Innovation was

from the COVID-19 pandemic. The index also places an

given the lower weighting, as the metrics

equal emphasis on tech skills as traditional educational

available at the metro level were more

training. As skills-based hiring is rising as a trend to

focused on general research & development

find talent, this index includes data on job postings

(R&D) and entrepreneurship, rather than

and online profiles based on whether they contain tech

specifically tech focused data.

skills. In this way, we are still quantifying talent if the worker does not have relevant postsecondary education. Self-employed tech workers were also included in this analysis to capture all available tech talent.

2 I TECH INNOVATION INDEX 2021


THE NC TECH METRO INDEX WEIGHTING Each subindex consisted of seven unique metrics that

upheaval, the tech data is still relevant as so many tech

were weighted equally (14.3 percent) based on their

jobs were able to convert to remote work. Half of the

ranking. Most of the data evaluated is from the year 2021

states actually grew their tech workforce from 2019 to

or 2020. Some of the public governmental sources are

2020. A more detailed description of each metric is

a few years older. While the year 2020 had tremendous

provided in the appendix.

TECH TALENT SUPPLY: 45% Resident tech workers per 1,000 adults

EMSI

2020

Computer, math, and statistics degrees per 1,000 adults

Census

2019

STEM educational completions per 1,000 adults

EMSI

2020

Number of online profiles in MSA with tech skills per 1,000 adults

EMSI

2017-2021

Bachelor’s degree or higher per 1,000 adults

EMSI

2021

An index value was created

H-1B visa approvals per 1,000 adults

USCIS

2017-2020

for each subindex and then

Diversity of tech occupations relative to total population

EMSI

2020

based on its weighting a final overall index was created.

TECH TALENT DEMAND: 35%

This index included the

Tech occupation location quotient (LQ)

EMSI

2021

top 105 populated MSAs in

Unique job postings with tech skills per 1,000 adults

EMSI

2017-2021

America as well as the top

Median job posting duration

EMSI

2017-2021

Cost of living adjusted tech wages

EMSI

2020

Annual tech job openings per 1,000 adults

EMSI

2017-2021

Competitive effect of tech job growth

EMSI

2017-2021

Turnover rate of employees

EMSI

2020

ten populated metros in NC. Some of the NC metros were included in the top 105 MSAs in terms of population. This created a total of 110 metros to be ranked. Data was also

INNOVATION: 20%

standardized by the adult Patents per 1,000 workers

US PATENT OFFICE

2019

population (those over age

NSF Business funded higher education R&D as a % of gross area product NSF SBIR/STTR funding per $ of gross area product SBIR

2019

25 in each MSA), or the gross

2019

area product of the metro’s

Business dynamism rate (opening vs closing Rate)

Census

2018

Business applications per 1,000 adults

Census

2020

Business R&D as a % of gross area product

NSF

2018

Higher education R&D as % of gross area product

2019

economy.

TECH INNOVATION INDEX 2021 I 3


OVERALL RESULTS

DURHAM-CHAPEL HILL, NC

91

6

RALEIGH-CARY, NC

42

7

CHARLOTTE-CONCORD-GASTONIA, NC-SC

24

27

163

60

GREENSBORO-HIGH POINT, NC

76

77

WINSTON SALEM, NC

87

90

FAYETTEVILLE, NC

117

92

ASHEVILLE, NC

112

93

JACKSONVILLE, NC

264

94

HICKORY-LENOIR-MORGANTON, NC

141

103

With the tech supply, tech demand, and innovation indexes combined, the final results included Charlotte, Raleigh, and Durham in the top 30 tech metros. With Durham-Chapel Hill and Raleigh-Cary both in the top ten at

WILMINGTON, NC

6th and 7th respectively. Interestingly, several of the smaller metros in the state that fall outside of the top 105 metros in terms of population performed well. Considering that Wilmington’s 2021 adult population ranked the metro 163rd out of all MSAs in the nation, it is quite impressive that the metro ranked as the 60th best metro for tech. Many of the typical tech metro rankings across the country only look at the top 50 or 100 metros so many of these smaller metros in NC had not been compared to other metros across the country prior to this research.

NORTH CAROLINA STANDINGS

Adult Population Ranking Tech Index Ranking 4 I TECH INNOVATION INDEX 2021


OVERALL TECH METRO INDEX RANKINGS Seattle-Tacoma-Bellevue, WA San Jose-Sunnyvale-Santa Clara, CA Austin-Round Rock-Georgetown, TX Boston-Cambridge-Newton, MA-NH San Francisco-Oakland-Berkeley, CA Durham-Chapel Hill, NC 6 Raleigh-Cary, NC 7 Madison, WI Washington-Arlington-Alexandria, DC-VA-MD-WV Provo-Orem, UT Minneapolis-St. Paul-Bloomington, MN-WI Salt Lake City, UT San Diego-Chula Vista-Carlsbad, CA Atlanta-Sandy Springs-Alpharetta, GA Denver-Aurora-Lakewood, CO Dallas-Fort Worth-Arlington, TX Baltimore-Columbia-Towson, MD Fayetteville-Springdale-Rogers, AR Columbus, OH Colorado Springs, CO Albany-Schenectady-Troy, NY Philadelphia-Camden-Wilmington, PA-NJ-DE-MD Portland-Vancouver-Hillsboro, OR-WA Pittsburgh, PA Hartford-East Hartford-Middletown, CT New York-Newark-Jersey City, NY-NJ-PA Charlotte-Concord-Gastonia, NC-SC 27 Lansing-East Lansing, MI Dayton-Kettering, OH Chicago-Naperville-Elgin, IL-IN-WI Phoenix-Mesa-Chandler, AZ Cincinnati, OH-KY-IN Rochester, NY Nashville-Davidson--Murfreesboro--Franklin, TN Omaha-Council Bluffs, NE-IA Des Moines-West Des Moines, IA Palm Bay-Melbourne-Titusville, FL

Seattle came out on top as the number one tech metro, followed by the Silicon Valley area. Other top performers included Austin, TX, Boston, MA, and Washington, DC. The Charlotte metro ranked just behind New York city.

Sacramento-Roseville-Folsom, CA Worcester, MA-CT St. Louis, MO-IL Indianapolis-Carmel-Anderson, IN Kansas City, MO-KS Boise City, ID Harrisburg-Carlisle, PA Tampa-St. Petersburg-Clearwater, FL Detroit-Warren-Dearborn, MI Richmond, VA Bridgeport-Stamford-Norwalk, CT Milwaukee-Waukesha, WI Charleston-North Charleston, SC Los Angeles-Long Beach-Anaheim, CA Orlando-Kissimmee-Sanford, FL Oxnard-Thousand Oaks-Ventura, CA Houston-The Woodlands-Sugar Land, TX Tucson, AZ Ogden-Clearfield, UT Cleveland-Elyria, OH Providence-Warwick, RI-MA Virginia Beach-Norfolk-Newport News, VA-NC Wilmington, NC 60 Knoxville, TN Albuquerque, NM Portland-South Portland, ME Buffalo-Cheektowaga, NY Louisville/Jefferson County, KY-IN Jacksonville, FL Syracuse, NY San Antonio-New Braunfels, TX Akron, OH New Haven-Milford, CT Greenville-Anderson, SC Birmingham-Hoover, AL Springfield, MA Oklahoma City, OK

Wichita, KS Miami-Fort Lauderdale-Pompano Beach, FL Greensboro-High Point, NC 77 Poughkeepsie-Newburgh-Middletown, NY Urban Honolulu, HI Columbia, SC Little Rock-North Little Rock-Conway, AR Grand Rapids-Kentwood, MI Allentown-Bethlehem-Easton, PA-NJ North Port-Sarasota-Bradenton, FL Spokane-Spokane Valley, WA Augusta-Richmond County, GA-SC Tulsa, OK Chattanooga, TN-GA Baton Rouge, LA Winston-Salem, NC 90 Memphis, TN-MS-AR Fayetteville, NC 92 Asheville, NC 93 Jacksonville, NC 94 New Orleans-Metairie, LA Deltona-Daytona Beach-Ormond Beach, FL Las Vegas-Henderson-Paradise, NV Cape Coral-Fort Myers, FL Toledo, OH Jackson, MS El Paso, TX Scranton--Wilkes-Barre, PA Hickory-Lenoir-Morganton, NC 103 Riverside-San Bernardino-Ontario, CA Stockton, CA McAllen-Edinburg-Mission, TX Lakeland-Winter Haven, FL Bakersfield, CA Fresno, CA Modesto, CA

TECH INNOVATION INDEX 2021 I 5


TECH TALENT SUPPLY INDEX

NO.1

The Tech Talent Supply subindex was given the highest weighting (45 percent) out of the three. This was based on feedback provided by NC tech leaders, who advise that the availability of workforce was the greatest challenge for tech companies, and biggest draw that a tech hub could provide. This index included the metrics of the number of tech workers who live in the metro, the number of computer and math degrees present, and tech skills present in the population. The ability of the metro to accept high skilled workers from abroad, and the diversity of the tech sector, were also included in evaluating the supply of tech workers.

8

TOP 10 METROS FOR TECH TALENT SUPPLY

RALEIGH-CARY, NC RANKED 8 TH OF THE 110 METROS FOR TECH TALENT SUPPLY

1

2

3

4

5 RANKING

6 I TECH INNOVATION INDEX 2021

6

84.4

7

8

80.5 PROVO-OREM, UT

84.9

MINNEAPOLIS-ST. PAUL-BLOOMINGTON, MN-WI

85.0

RALEIGH-CARY, NC

87.9

AUSTIN-ROUND ROCK-GEORGETOWN, TX

91.0

MADISON, WI

BOSTON-CAMBRIDGE-NEWTON, MA-NH

92.0

WASHINGTON-ARLINGTON-ALEXANDRIA, DC-VA-MD-WV

92.8 SEATTLE-TACOMA-BELLEVUE, WA

SAN JOSE-SUNNYVALE-SANTA CLARA, CA

94.4

SAN FRANCISCO-OAKLAND-BERKELEY, CA

TECH TALENT SUPPLY INDEX VALUE

9

79.8

10


TOP NC METROS 82

Raleigh-Cary, NC ranked eighth of the 110 metros for tech talent supply, just behind Austin. Durham-Chapel Hill, NC scored just outside of the top ten at 11th. Raleigh-Cary scored in the top ten for every supply metric except H1-B visa approvals and tech worker diversity. Charlotte ranked in the top 20 for online profiles with tech skills, indicating that when looking at skills, the metro has more tech talent than the educational data suggests.

93

100

11

79

29

8

105 94 54

RANKING

8

RALEIGH-CARY, NC........................ 84.4

82

ASHEVILLE, NC............................... 33.0

11

DURHAM-CHAPEL HILL, NC........... 79.3

93

WINSTON SALEM, NC................... 25.1

29

CHARLOTTE-CONCORDGASTONIA, NC-SC......................... 67.5

94

JACKSONVILLE, NC....................... 24.6

100

HICKORY-LENOIRMORGANTON, NC.......................... 20.7

105

FAYETTEVILLE, NC........................ 15.0

54

WILMINGTON, NC........................... 51.9

79

GREENSBORO-HIGH POINT, NC...... 37.6

TECH TALENT SUPPLY INDEX VALUE TECH INNOVATION INDEX 2021 I 7


NC TECH TALENT SUPPLY INDEX CHARTS

COMPUTER, MATH & STATISTICS DEGREES*

5

33.7

Raleigh, Cary

19

21.0

Durham, Chapel Hill

31

17.7

Charlotte, Concord, Gastonia

62

12.6

Greensboro, High Point

68

12 .1

Wilmington

80

10.8

Jacksonville

89

9.4

Winston-Salem

96

8.6

Fayetteville

102

7.2

Asheville

109

4.6

Hickory, Lenoir, Morganton

RANKING ACROSS ALL METROS

*PER 1,000 ADULTS

NUMBER OF RESIDENT TECH WORKERS*

STEM EDUCATIONAL COMPLETIONS*

7

42.7

Raleigh, Cary

3

7.48

Raleigh, Cary

20

29.3

Durham, Chapel Hill

6

6.22

Durham, Chapel Hill

22

28.4

Charlotte, Concord, Gastonia

48

2.42

Greensboro, High Point

76

16.0

Greensboro, High Point

60

2.11

Wilmington

79

15.7

Wilmington

96

1.80

Fayetteville

83

15.0

Jacksonville

73

1.79

Charlotte, Concord, Gastonia

84

14.5

Winston-Salem

87

1.44

Hickory, Lenoir, Morganton

89

13.1

Fayetteville

95

1.15

Winston-Salem

103

9.7

Hickory, Lenoir, Morganton

97

1.13

Asheville

107

8.5

Asheville

101

0.88

Jacksonville

8 I TECH INNOVATION INDEX 2021

*PER 1,000 ADULTS

*PER 1,000 ADULTS


NUMBER OF ONLINE PROFILES W/ TECH SKILL(S)*

5

42.8

Raleigh, Cary

20

239

30

H-1B VISA APPROVALS*

2

33.9

Charlotte, Concord, Gastonia

27

5.7

Raleigh, Cary

19.4

Durham, Chapel Hill

34

4.5

Charlotte, Concord, Gastonia

50

15.0

Wilmington

53

2.6

Wilmington

57

14.0

Greensboro, High Point

66

1.8

Greensboro, High Point

67

11.8

Asheville

81

1.1

Winston-Salem

92

8.2

Fayetteville

106

0.4

Hickory, Lenoir, Morganton

94

7.9

Winston-Salem

108

0.3

Fayetteville

95

7.3

Jacksonville

109

0.2

Asheville

102

6.0

Hickory, Lenoir, Morganton

110

0.1

Jacksonville

*PER 1,000 ADULTS

Durham, Chapel Hill

*PER 1,000 ADULTS

PEOPLE W/ BACHELOR’S DEGREES OR HIGHER*

TECH WORKER DIVERSITY INDEX

7

461.8

Raleigh, Cary

4

148.9

Hickory, Lenoir, Morganton

8

452.9

Durham, Chapel Hill

8

145.4

Asheville

25

379.2

Wilmington

18

119.0

Jacksonville

33

359.7

Asheville

40

106.3

Charlotte, Concord, Gastonia

38

351.1

Charlotte, Concord, Gastonia

43

102.3

Wilmington

86

295.9

Greensboro, High Point

46

100.4

Winston-Salem

95

265.2

Winston-Salem

75

92.5

Raleigh, Cary

99

240.4

Fayetteville

82

88.6

Durham, Chapel Hill

101

237.0

Jacksonville

93

83.0

Greensboro, High Point

107

188.2

Hickory, Lenoir, Morganton

106

71.2

Fayetteville

*PER 1,000 ADULTS


TECH TALENT DEMAND INDEX NO.2

The Tech Talent Demand subindex was given the second highest weighting (35 percent) of the three. Demand is an important indicator for tech because tech companies and startups look for thriving tech presence when they decide where they want to locate.

This index includes the metrics of tech worker concentration, tech wages, and turnover rate. Skills based data was used for measuring demand in job postings.

9

TOP 10 METROS FOR TECH TALENT DEMAND

1

2

3

4

80.2

5 RANKING

10 I TECH INNOVATION INDEX 2021

80.0

6

7

78.3

8

78.1

9

DENVER-AURORA-LAKEWOOD, CO

82.2

DURHAM-CHAPEL HILL, NC

82.9

SALT LAKE CITY, UT

90.5

BOSTON-CAMBRIDGE-NEWTON, MA-NH

SEATTLE-TACOMA-BELLEVUE, WA

AUSTIN-ROUND ROCK-GEORGETOWN, TX

SAN JOSE-SUNNYVALE-SANTA CLARA, CA

90.7

COLORADO SPRINGS, CO

97.8

SAN FRANCISCO-OAKLAND-BERKELEY, CA

TECH TALENT DEMAND INDEX VALUE

WASHINGTON-ARLINGTON-ALEXANDRIA, DC-VA-MD-WV

DURHAM-CHAPEL HILL, NC RANKED 9 TH OF THE 110 METROS FOR TECH TALENT DEMAND

76.8

10


TOP NC METROS 107

Durham-Chapel Hill, NC ranked ninth of the 110 metros for tech talent demand, just behind Washington, DC. The Charlotte and Raleigh metros scored in the top 20. Seven of the ten NC metros scored in the top 50 on cost-of-living adjusted tech wages.

87

106

9

67

16

17

60 86 63

RANKING

9

DURHAM-CHAPEL HILL, NC........... 78.1

67

GREENSBORO-HIGH POINT, NC...... 43.7

16

CHARLOTTE-CONCORDGASTONIA, NC-SC......................... 71.2

86

JACKSONVILLE, NC....................... 32.1

87

WINSTON SALEM, NC................... 31.7

106

HICKORY-LENOIRMORGANTON, NC.......................... 17.1

107

ASHEVILLE, NC...............................16.9

17

RALEIGH-CARY, NC........................ 70.5

60

FAYETTEVILLE, NC........................ 49.5

63

WILMINGTON, NC........................... 45.9

TECH TALENT DEMAND INDEX VALUE TECH INNOVATION INDEX 2021 I 11


NC TECH TALENT DEMAND INDEX CHARTS

UNIQUE JOB POSTINGS W/ TECH SKILL(S)*

5

78.3

Raleigh, Cary

12

60.0

Durham, Chapel Hill

17

50.9

Charlotte, Concord, Gastonia

75

17.6

Fayetteville

78

16.9

Wilmington

83

15.0.

Greensboro, High Point

93

11.6

Winston-Salem

105

6.7

Asheville

106

6.5

Hickory, Lenoir, Morganton

107

6.4

Jacksonville

RANKING ACROSS ALL METROS

*PER 1,000 ADULTS

TECH WORKER LOCATION QUOTIENT

MEDIAN JOB POSTING W/ TECH SKILL(S) DURATION, DAYS

6

1.9

Durham, Chapel Hill

18

38

Raleigh, Cary

8

1.7

Raleigh, Cary

22

37

Fayetteville

21

1.3

Charlotte, Concord, Gastonia

30

36

Charlotte, Concord, Gastonia

72

0.8

Wilmington

41

35

Durham, Chapel Hill

76

0.7

Greensboro, High Point

61

33

Greensboro, High Point

84

0.6

Winston-Salem

91

29

Jacksonville

91

0.5

Fayetteville

91

29

Winston-Salem

94

0.5

Jacksonville

96

28

Wilmington

103

0.4

Asheville

98

27

Asheville

106

0.4

Hickory, Lenoir, Morganton

102

26

Hickory, Lenoir, Morganton

12 I TECH INNOVATION INDEX 2021


COST OF LIVING ADJUSTED MEDIAN HOURLY TECH WAGES

COMPETITIVE EFFECT OF TECH JOB GROWTH*

6

$47.70

Raleigh, Cary

3

4.59

Durham, Chapel Hill

8

$46.53

Charlotte, Concord, Gastonia

7

2.74

Wilmington

13

$45.07

Durham, Chapel Hill

11

2.44

Charlotte, Concord, Gastonia

19

$43.61

Greensboro, High Point

17

1.21

Greensboro, High Point

21

$42.87

Fayetteville

38

0.24

Hickory, Lenoir, Morganton

33

$41.48

Winston-Salem

39

0.20

Asheville

48

$39.13

Jacksonville

53

-0.26

Fayetteville

78

$35.82

Wilmington

55

-0.39

Winston-Salem

95

$34.34

Hickory, Lenoir, Morganton

76

-1.11

Raleigh, Cary

103

$32.22

Asheville

95

-1.94

Jacksonville *PER 1,000 ADULTS

ANNUAL TECH JOB OPENINGS*

TURNOVER RATES OF TECH WORKERS

5

5.36

Durham, Chapel Hill

11

30.1%

Jacksonville

15

3.70

Raleigh, Cary

34

33.3%

Fayetteville

22

3.20

Charlotte, Concord, Gastonia

47

34.0%

Wilmington

45

2.17

Wilmington

84

37.8%

Winston-Salem

68

1.74

Greensboro, High Point

85

37.9%

Durham, Chapel Hill

80

1.42

Jacksonville

88

38.1%

Hickory, Lenoir, Morganton

89

1.22

Winston-Salem

96

39.4%

Asheville

93

1.15

Fayetteville

104

43.1%

Raleigh, Cary

100

0.86

Asheville

108

44.8%

Greensboro, High Point

102

0.83

Hickory, Lenoir, Morganton

110

50.4%

Charlotte, Concord, Gastonia

*PER 1,000 ADULTS


TECH

NO.3

The Tech Innovation subindex evaluates the culture of R&D and entrepreneurship in each metro. Feedback provided by the NC Tech leaders reminded the

INNOVATION INNOVATION

researchers that the next great tech advancements

INDEX

will come in non-tech industries such as automobiles, healthcare, etc. This is why research & development is so important to developing new and innovative technology. Some of the biggest unicorns have been tech startups. If a metro is able to support new businesses and help them thrive, than perhaps the next great tech startup will come out of their area.

23

TOP 10 METROS FOR INNOVATION

Raleigh-Cary and Durham-Chapel Hill rank 2nd and 3rd out of all 110 metros

1

2

3

4

5 RANKING

14 I TECH INNOVATION INDEX 2021

6

7

71.8

70.9

8

9

NEW HAVEN-MILFORD, CT

73.8

SALT LAKE CITY, UT

74.8

PHILADELPHIA-CAMDEN-WILMINGTON, PA-NJ-DE-MD

78.9

PROVO-OREM, UT

82.4

SAN FRANCISCO-OAKLAND-BERKELEY, CA

DURHAM-CHAPEL HILL, NC

82.7

BOSTON-CAMBRIDGE-NEWTON, MA-NH

83.2

RALEIGH-CARY, NC

AUSTIN-ROUND ROCK-GEORGETOWN, TX

87.4

SAN DIEGO-CHULA VISTA-CARLSBAD, CA

TECH INNOVATION INDEX VALUE

69.9

10


TOP NC METROS 70

Raleigh-Cary and Durham-Chapel Hill rank 2nd and 3rd respectively out of all 110 metros studied, just behind Austin, TX for the most innovative tech metro. The other metros in North Carolina did not fare as well in innovation as they did in other subindexes. Jacksonville, NC did rank 4th overall in business dynamism, meaning more businesses were opening, than closing, in the metro. The innovation subindex is where Charlotte metro scored lower than expected, given its size.

59

107

3

81

69

2

97 98 70

RANKING

2

RALEIGH-CARY, NC........................ 83.2

70

ASHEVILLE, NC............................... 44.2

3

DURHAM-CHAPEL HILL, NC........... 82.7

81

GREENSBORO-HIGH POINT, NC...... 39.7

59

WINSTON SALEM, NC..................... 49.7

97

FAYETTEVILLE, NC....................... 31.7

69

CHARLOTTE-CONCORDGASTONIA, NC-SC.......................... 44.3

98

JACKSONVILLE, NC....................... 31.5

70

WILMINGTON, NC.......................... 44.2

107

HICKORY-LENOIRMORGANTON, NC.......................... 23.5 TECH INNOVATION INDEX VALUE TECH INNOVATION INDEX 2021 I 15


NC TECH INNOVATION INNOVATION INDEX INDEX CHARTS

PATENTS PER 1,000 WORKERS

10

2.41

Raleigh, Cary

16

1.83

Durham, Chapel Hill

47

0.78

Winston-Salem

58

0.61

Hickory, Lenoir, Morganton

64

0.56

Charlotte, Concord, Gastonia

70

0.49

Wilmington

75

0.45

Asheville

77

0.43

Greensboro, High Point

108

0.09

Jacksonville

109

0.09

Fayetteville

RANKING ACROSS ALL METROS

BUSINESS FUNDED HIGHER ED R&D AS A % OF GROSS AREA PRODUCT

HIGHER ED R&D AS A % OF GROSS AREA PRODUCT

1

4.47%

Durham, Chapel Hill

Raleigh, Cary

18

0.66%

Winston-Salem

.041%

Winston-Salem

24

0.57%

Raleigh, Cary

68

.007%

Wilmington

73

0.14%

Greensboro, High Point

81

.002%

Charlotte, Concord, Gastonia

76

0.11%

Wilmington

82

.001%

Fayetteville

90

0.03%

Charlotte, Concord, Gastonia

87

.001%

Greensboro, High Point

92

0.02%

Asheville

100

.000%

Asheville

93

0.02%

Fayetteville

104

.000%

Jacksonville

107

0.00%

Jacksonville

104

.000%

Hickory, Lenoir, Morganton

107

0.00%

Hickory, Lenoir, Morganton

1

.618%

Durham, Chapel Hill

9

.064%

28

16 I TECH INNOVATION INDEX 2021


SBIR/STTR FUNDING PER $1M OF GROSS AREA PRODUCT

$1,262.11 Durham, Chapel Hill

2

BUSINESS APPLICATIONS PER 1,000 ADULTS

18

24.3

Charlotte, Concord, Gastonia

Raleigh, Cary

24

22.2

Raleigh, Cary

29

$188.14

52

$85.87

Asheville

33

21.4

Fayetteville

75

$40.08

Greensboro, High Point

43

19.6

Greensboro, High Point

79

$35.70

Winston-Salem

52

17.8

Durham, Chapel Hill

87

$18.59

Hickory, Lenoir, Morganton

55

17.4

Wilmington

95

$12.19

Charlotte, Concord, Gastonia

69

14.9

Jacksonville

101

$0.00

Jacksonville

78

13.9

Winston-Salem

101

$0.00

Fayetteville

82

13.6

Asheville

101

$0.00

Wilmington

110

8.6

BUSINESS DYNAMISM RATE

Hickory, Lenoir, Morganton

FUNDED TOTAL R&D AS A % OF GROSS AREA PRODUCT

4

2.7%

Jacksonville

6

4.9%

Durham, Chapel Hill

10

2.0%

Charlotte, Concord, Gastonia

20

2.4%

Hickory, Lenoir, Morganton

12

1.8%

Asheville

20

2.4%

Asheville

15

1.8%

Raleigh-Cary

20

2.4%

Jacksonville

34

1.3%

Wilmington

20

2.4%

Wilmington

63

0.7%

Durham, Chapel Hill

20

2.4%

Fayetteville

81

0.3%

Greensboro, High Point

26

2.4%

Raleigh, Cary

82

0.3%

Fayetteville

36

1.7%

Greensboro, High Point

84

0.3%

Winston-Salem

61

1.0%

Winston-Salem

97

0.1%

Hickory, Lenoir, Morganton

78

0.8%

Charlotte, Concord, Gastonia


INSIGHTS INSIGHTS

This analysis reveals that NC metros rank well on several metrics that contribute to their competitiveness. All of the NC metros had positive business dynamism

The Tech Metro Index shows which metros have the talent, the demand, and the innovation to maintain, create, and recruit tech business. North Carolina’s top metros score well across the board, and rank in the

rates, which means more businesses are being created than exiting. Several NC metros scored high in the competitive effect of tech occupation growth. This means growth is driven by more than just national and tech industry trends.

top 30 overall. Some of the small metros in the state “punched above their weight”, and scored higher than expected based on their population size, particularly Wilmington.

There are also opportunities for NC metros to improve their rankings. Outside of the Triangle, the innovation metrics lagged. Fostering more business R&D and entrepreneurship would improve innovation in these other metros. Several NC metros also had high turnover rates for tech occupations, with Charlotte having the highest out of all 110 metros in 2020. This could indicate high rates of cannibalism between firms or insufficient hiring and/or training programs for employees. This

TECH

shows an opportunity for local educational institutions to help ensure that their students are ready to hit the ground running when they start at a local firm. Many

INDEX

National Metro Comparison

NC metros also scored low in approvals of H1-B visas. This means metros could be missing out on injecting talent to their area. Out analysis helps benchmark the top metros of the state against the top metros in the country and can quantify future improvement needed to become even stronger tech hubs.

18 I TECH INNOVATION INDEX 2021


APPENDIX SUPPLY

DESCRIPTION

Resident tech workers per 1,000 adults

The number of tech workers who live within the metro area standardized by the adult population of the metro (over the age of 25).

Computer, math, and statistics degrees per 1,000 adults

The number of adults who had their first major in a computer, math, or statistics degree in the metro standardized by the adult population of the metro.

STEM educational completions per 1,000 adults

Number of completions (certification, degree, or award from a postsecondary institution) in STEM fields standardized by the adult population of the metro.

Number of online profiles in MSA with tech skills per 1,000 adults

Number of online professional profiles that contained any tech skill in the metro area standardized by the adult population of the metro.

Bachelor’s degree or higher per 1,000 adults Number of adults with a bachelor’s degree standardized by the adult population of the metro. H-1B visa approvals per 1000 adults

The number of new and renewed high-skilled immigration work visas standardized by the adult population of the metro.

Diversity of tech occupations relative to total population

The percentage of tech workers who are people of color divided by the percentage of people of color in the general adult population. A value of 100 means the tech workforce is as diverse as the general population of the metro. If lower, less diverse. If higher, more diverse.

DEMAND

DESCRIPTION

Tech occupation location quotient (LQ)

Tech workers % of the total metro workforce compared to the national average. If higher than 1, more concentrated in tech than the national average.

Unique job postings with tech skills per 1,000 adults

Online job postings (with duplicates removed) that required at least one tech skill standardized by the adult population of the metro.

Median job posting duration

The median amount of time it takes for an online job posting with at least one tech skill to be filled.

Cost of living adjusted tech wages

The median hourly wage for tech workers in the metro adjusted for the cost of living in the metro.

Annual tech job openings per 1,000 adults

Openings are the number of jobs that need to be filled to meet growth demand, turnover, and retirement of workers in a year.

Competitive effect of tech job growth

The competitive effect is the actual change in tech workers minus the expected change in tech workers for the metro. The expected change accounts for the national growth and the industry mix. If positive, it means the job growth was higher than expected due to the region’s competitive effect.

Turnover rate of employees

The total number of separations in tech jobs divided by the total number of tech jobs. A separation is when a worker’s SSN is removed from a company’s payroll. This demonstrates the amount of movement occurring in tech jobs.

INNOVATION

DESCRIPTION

Patents per 1,000 workers

The number of registered patents created in a metro area standardized by the number of workers in the metro.

Higher education R&D as % of gross area product

The $ amount of research & development spending occurring at universities in the metro standardized by the gross area product of the metro.

Business funded higher education R&D as a % of gross area product

The $ amount of research & development spending occurring at universities that are funded by the private sector in the metro standardized by the private sector gross area product of the metro.

SBIR/STTR funding per $ of gross area product

The total funding awarded to SBIR/STTR projects in the metro standardized by the gross area product of the metro.

Business Dynamism Rate (Opening vs Closing Rate)

The percentage of business opening compared to the percentage of the business closing in the area. If positive, it means that there is good business churn in the area that contributes to innovation.

Business applications per 1,000 adults

The number of applications people submitted to start businesses in the metro standardized by the adult population of the metro.

Business R&D as a % of gross area product

The $ amount of research & development that is funded by the private sector in the metro standardized by the private sector gross area product of the metro. For some values there was not data available, in this case the state level was used.


TECH SKILLS LIST AMX Programming

Interactive Web Pages

Espresso (Android Testing Framework)

Data Lakes

Sizmek (Software)

watchOS

ExactTarget

Agile Product Development

Microsoft Enterprise Library

Cisco Certified Network Professional

Adobe Spark

Azure Service Fabric

(CCNP) Wireless

Test Datasets

Ad Serving

On-Screen Takeoff (Estimating Software)

Cloud Management Platforms

IT Security Documentation

Semantic Parsing

HyperWorks (CAE Software)

ATLAS.ti (Qualitative Data Analysis Software)

Defect Life Cycle

Soft Sensors

Power Distribution Units

Windows Software

IAM Level III Certification

Performance Profiling

Amazon Elastic Container Registry

Cyber Incident Response

Oracle Human Capital Management (HCM)

CompTIA Security+ CE

Network Science

Cloud Hosting

Geospatial Information Technology (GIT)

Information Systems Architecture

CompTIA Cybersecurity Analyst (CySA+)

Avaya (Telecommunications)

Mobile Native Application Testing

XtremIO (Network-Attached Storage System)

Automated Machine Learning

FileAid (Software)

Informatica Data Validation Option

Sprint Backlogs

Digital Communications

Server Automation

Crimeware

Facebook Advertising

Ionic 4 (Mobile App Framework)

Correlation Analysis

Google Adwords Certification

Azure Data Lake

Epicor Prophet 21 (Distribution Software)

Vbrick (Software)

Spring Cloud

Pega Certified Senior System Architect

ASC 606 (Revenue Recognition)

Solution Design

Cisco Certified Internetwork Expert (CCIE)

Project Management Body Of Knowledge

Digital Rights Management

Routing And Switching

(PMBOK) Methodology

PMI Professional in Business Analysis

Avid Media Composer (Software)

SpriteKit

Accubid (Estimating Software)

Shiny (R Package)

Construction Management Software

Microsites

Dialogflow (Google Service)

Application Delivery Controller

Computational Design

Word Embedding

Cellular Phone Exploitation

Adaptive Insights (Software)

OmniGraffle

Azure Logic Apps

Amazon Elastic File System

Cisco Certified Network Associate (CCNA)

Graphics API

Content Filtering

Routing And Switching

Growth Hacking

AWS App Mesh

MITRE ATT&CK Framework

Cloud-Native Computing Foundation (CNCF)

GigE Vision

Elixir (Programming Language)

Standards

3D Touch

Anaconda (Software)

Bluecoat Proxies

Office 365 Administration

Software Installation

Defense In Depth

ASP.NET MVC 5

Custom Scripting

Go-to-Market Strategy

Excel Services

Aderant (Software)

Cloud-Native Computing

Gatsby.js

Voice User Interface

Ridge/LASSO Regressions

Energy Policy Analysis

Crestron Certified Programmer

MeteorJS

Supply Chain Cyber Security

20 I TECH INNOVATION INDEX 2021


TECH SKILLS LIST CONTINUED Interactive Web Content

Cloud-Native Architecture

Command And Data Handling

Worksoft Certify

Azure Command-Line Interface (Azure CLI)

Unified Endpoint Management

Oracle Demantra

Pelco (Security System)

Amazon Macie

Spring WebFlux

Image Segmentation

Industry 4.0

PHP Frameworks

Microsoft 365

Video Ads

Capital IQ (Software)

Endpoint Devices

Cyber Governance

Atmospheric Modeling

Ixia BreakingPoint

AWS Internet Of Things (IoT)

Product Roadmap Management

Microsoft Planner

Crestron (A/V Systems)

Cisco Meraki

eTapestry (Fundraising Software)

Geospatial Mapping

Amazon WorkSpaces

UX Research

Android Emulators

Julia (Programming Language)

Desktop Management

Cyber Defense

Oracle HRMS

Pega Certified Lead System Architect

Optitex (Fashion Design Software)

Amag Symmetry

PVT Analysis

Cyber-Physical Systems

AWS Auto Scaling

Amazon Translate

TransCAD

Jamf Certification

Tricentis Tosca

Digital Design

Atlassian OpsGenie

Cloud Services

Server Configuration

Computer-To-Plate

Email Service Providers

Sponsored Posts

Smart Meter Systems

Flask (Web Framework)

Informatica

Microsoft Delve

Apache Avro

Audio-Visual Technology

IxVeriWave (Network Test Tool)

Cyber Security Strategy

AWS Inferentia

Microservices Development

AWS Certified Solutions Architect

Houdini (3D Animation Software)

Amazon Textract

Crazy Egg (Website Optimization Tool)

Kenshoo (Marketing Software)

Natural Language Generation

Sports Analytics

CISCO Certified Network Professional -

Cloud Management

Hybrid Cloud Computing

Security

Amazon Elastic Container Service

EnCase Certified Examiner

DevSecOps

Canva (Software)

Small-Unmanned Aerial Systems (S-UAS)

Apple Device Enrollment Program (DEP)

Haskell (Programming Language)

Navisworks (BIM Software)

Macros

Design Portfolio

iSqFt (Bidding Software)

Economic Modeling

Android Testing

Nintex Workflow

Control-M (Batch Scheduling Software)

2D Computer-Aided Drafting And Design

Virtual Reality

Azure Active Directory

Poll Everywhere (Polling Software)

IxLoad (Network Testing Tool)

Deep Learning Methods

Alexa Skills Kit

Gulp.js

Finance Automation

Cyber Operations

GoSystems (Tax Software)

BuzzSumo (Software)

IxChariot (Traffic Generator)

Adobe Business Catalyst

Lumion (3D Rendering Software)

Microsoft Dynamics 365

Enterprise Storage System

Travel Demand Modeling

IBM Informix

AWS CodeDeploy

Learner Analysis

Digital Content Management

Hootsuite (Social Media Management Software)

Fastboot


TECH SKILLS LIST CONTINUED Office 365 Admin Center

AWS Kinesis

Qualitative Data Analysis

Data Literacy

Healthcare Analytics

Part-of-Speech Tagging

Amazon Quantum Ledger Database (QLDB)

Expense Forecasting

FastAPI

ITIL Foundation Certification

Ivalua (Spend Management Software)

Sound Design

Mainframe Testing

Data Interfaces

ADDIE Instructional Design Model

Mechanical Electrical Plumbing (MEP)

Agile Project Management

Network Infrastructure

Design Software

Equivio (eDiscovery Software)

System Recovery

Google Cloud Dataproc

Amazon Data Pipeline

SAP IoT

Amazon Forecast

Figma (Design Software)

GIS Certificate

File Naming

CompTIA IT Fundamentals

GIAC Web Application Defender

NedGraphics (Textile Design Software)

Pega Robotics Software

Virtualization Security

Certified Information System Auditor (CISA)

Cyber Safety

Cyber Hygiene

Industry Analysis

Cyber Security Management

Reltio (Master Data Management Software)

Robotic Process Automation

Microsoft Certified: Azure Fundamentals

Azure Security

Amazon Comprehend

User Journey Mapping

Conversational User Interface

Clinical Informatics

Radare2 (Reverse Engineering Software)

Apache Flume

LS-DYNA (FEA Software)

Google Display & Video 360

AWS CodeCommit

AWS Key Management Service (KMS)

AWS SageMaker

Software Development Engineer in Test

Autonomous Underwater Vehicle

Thermal Desktop (Thermal Modeling Software)

Dell Boomi (Integration Platform)

Host Based Security System (HBSS)

Citrix Workspace

Feature Learning

Smart Buildings

Technology Strategy Development

WebVR

Foglight (Database Software)

Spectre Circuit Simulator

Sybase (Software)

Machine Learning Methods

Microsoft Azure Certification

Cisco Certified Internetwork Expert (CCIE)

General Fund Enterprise Business Systems

Wireless

(GFEBS)

Zuken (Software)

Heuristic Evaluation

Autoregressive Integrated Moving Average

AWS CloudHSM

(ARIMA)

Data Management Platforms

Full Stack Development

Spring MVC

Quantum Mechanics

Automation Controls

Breeze.js

Social Media Trends

Amazon ElastiCache

Online Marketing

Quantitative Data Analysis

Windows Performance Analyzer

22 I TECH INNOVATION INDEX 2021


TECH OCCUPATIONS LIST CODE

DESCRIPTION

11-3021

Computer and Information Systems Managers

15-1211

Computer Systems Analysts

15-1212

Information Security Analysts

15-1221

Computer and Information Research Scientists

15-1231

Computer Network Support Specialists

15-1232

Computer User Support Specialists

15-1241

Computer Network Architects

15-1244

Network and Computer Systems Administrators

15-1245

Database Administrators and Architects

15-1251

Computer Programmers

15-1256

Software Developers and Software Quality Assurance Analysts and Testers

15-1257

Web Developers and Digital Interface Designers

15-1299

Computer Occupations, All Other

17-2061

Computer Hardware Engineers

TECH INDEX

National Metro Comparison


2021 RESEARCH UNDERWRITERS PARTNERS

GOLD SUPPORTERS

SILVER SUPPORTERS

TECH NCTECH.ORG

INDEX

National Metro Comparison


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