In the October 20, 2000 Issue:
- DoCs NTIA Releases 2 Digital Connectivity Reports
- Joint Venture Completes Internet Cluster Analysis
- Useful Stats: The CFED Report Card
- OTP Announces Get Tech
- Springboard 2000 Yielding Results
Copyright State Science & Technology Institute 2002. Information in this issue of the SSTI Weekly Digest was prepared under a cooperative agreement with the U.S. Department of Commerce, Economic Development Administration. Redistribution to all others interested in tech-based economic development is strongly encouraged please cite the State Science & Technology Institute whenever portions are reproduced or redirected. Any opinions expressed in the Digest do not necessarily reflect the official position of the U.S. Department of Commerce.
Subscription to the SSTI Weekly Digest is free. If you are reading a forwarded copy of this issue and would like to receive your own copy each week directly, please subscribe at: http://www.ssti.org/Digest/digform.htm Requests to unsubscribe should be sent to sstiwd@ssti.org
DoCs NTIA Releases 2 Digital Connectivity Reports
More Americans than ever have Internet access and own computers, but disparities remain in many areas, according to two new reports by the National Telecommunications and Information Administration (NTIA). Falling Through the Net: Toward Digital Inclusion, completed by NTIA staff, and Historically Black Colleges and Universities: An Assessment of Networking and Connectivity, which was conducted by the National Association for Equal Opportunity in Higher Education, offer insights as well as outline work which still needs to be done to address the Digital Divide.Historically Black Colleges and Universities: An Assessment of Networking and Connectivity contains findings from a technology needs assessment conducted for the Technology Opportunities Program at NTIA. The study was sparked by the NTIAs series Falling Through the Net as well as a Yahoo report of Americas top 100 most-wired campuses. None of the HBCUs were included in that 1998 top 100 list. The resulting study assesses the computing resources, networking, and connectivity of HBCUs and other institutions that provide educational services to predominantly African-American students. The information collected provides a benchmark to use in measuring the degree to which the HBCUs are keeping pace with change.
Researchers found that while most of the colleges and universities studied had some type of campus network which provided access to the Internet and the World Wide Web, the computing and connectivity resources are concentrated mainly in administrative buildings and not evenly distributed to classrooms and dormitories. While all HBCUs do own significant computing resources, the facilities in which they are provided limit student access. Also discovered was a computer ownership gap among students at HBCUs (approximately 25%) as compared to students at non HBCUs (approximately 50%).
The study team concluded that HBCUs must dramatically increase their connectivity speed rates beyond the T-1 level if they are to compete in certain areas such as providing network technology supporting basic research, advanced research, e-commerce, imaging distance learning, and video applications. Additionally, half of the 80 HBCU's surveyed lack completed technology plans with strategies for updating those plans. This deficiency may impact future opportunities for HBCUs in taking advantage of funding, innovations, and increased competitiveness in the field of higher education.
Researchers were concerned about the general lack of strategies to upgrade and improve network systems as well as the lack of connectivity beyond the T-1 level. They suggest institutional mentoring and collaborative efforts between small and larger HBCUs to help achieve economies of scale from purchasing materials to online classes and training of faculty and staff.
To review the report, visit: http://www.digitaldivide.gov
Falling Through the Net: Toward Digital Inclusion, fourth in the influential series of NTIA reports on the Digital Divide, is a comprehensive study measuring digital inclusion by looking at households and individuals that have a computer and an Internet connection. This year's report finds that there is rapid growth in accessing and utilizing these new technologies among most groups of Americans regardless of income, education, race or ethnicity, location, age, or gender. While the gap is narrowing in all of these areas, a digital divide still exists. Another survey will be undertaken in September, 2001.
The report presents Internet and computer access based on households, allowing for comparison by factors such as geography, income, race and household type. A new addition this year is the inclusion of data on high-speed Internet access.
As in the past, NTIA is measuring the digital divide by looking at the differences in the shares of each group that is digitally connected. Data is presented based on age, gender, and labor force status as well as how people use the Internet (e.g., job search, bill paying, and communication with family and friends).
Finally, the report examines the use of computers and the Internet among people with disabilities that adversely affect their ability to walk, to see, to hear, to use their hands and fingers, or to learn. The report indicates Internet access is about half as common among people with disabilities and that computer access is even more skewed. This may be reflective of the fact that on average, disabled people are older and less likely to be employed, and also have lower incomes than people without disabilities. All of these factors are associated with lower computer and internet use.
The complete report may be downloaded from one of three places: http://www.doc.gov, http://www.ntia.doc.gov; and through the Economics and Statistics Administration which assisted on the study, http://www.esa.doc.gov
Return to the top of this page
Joint Venture Completes Internet Cluster Analysis
As the digital economy matures and more regions around the country are prepared to offer the telecommunications infrastructure and skilled workforce required to compete for high-tech businesses, the implications for Silicon Valley were presented in a new report from Joint Venture: Silicon Valley Network. Internet Cluster Analysis 2000, released last week, outlines several challenges facing the region.Unlike Joint Venture's first internet cluster analysis last year, which focused on Silicon Valley's position in the Internet economy as well as identifying other key Internet Cluster regions (Austin, Washington DC, Seattle), Internet Cluster Analysis 2000 characterizes the global nature of the Internet industry today and presents the results of interviews with more than 100 Internet executives around the country.
The report urges local governments in the Valley to take a more proactive and innovative role to attract, retain, and nurture Internet firms. One reason is that in addition to the five key attributes identified in last year's report as essential to attracting high-tech businesses to a particular region (talent, pillar companies, universities, capital and support services), 63 percent of Internet executives identified a strong and supportive government as an important consideration in location decisions. Initiatives mentioned as examples included not only local start-up/seed capital and incubator programs, but also international efforts to entice foreign investment and relocation.
The growing international Internet market is having economic and employment implications: 59 percent of the top U.S. Internet companies have operations in Europe, 43 percent in Asia, 19 percent in Latin America and 7 percent in Africa. Thirty percent of Silicon Valley's Internet businesses surveyed for the report say they would consider relocating.
The report also provides one surprising finding regarding the skilled IT workforce issue. Talent or a skilled workforce, while still important, is becoming less critical a consideration for location decisions. Only 58 percent of the executives surveyed this year said talent was a key relocation issue versus the 86 percent reporting the same last year. Talent remained the number one most often cited reason for current location however, followed by availability of capital, quality of life and proximity to partners.
The full report can be downloaded from Joint Venture: Silicon Valley Network's website: http://www.jointventure.org
Return to the top of this page
Useful Stats: The CFED Report Card
While the Development Report Card of the States, issued annually by the Corporation for Enterprise Development (CfED) usually generates a news story in most local papers, a quick scan of several articles reveals the science and technology-related components of the report card get mixed play. This years report, funded by the Economic Development Administration, is available on-line in its entirety and has a customizing feature for ease of comparison.CfED uses more than 70 measures and data sets as indicators of the effectiveness of each states economic development policies in three broad categories: performance, business vitality and development capacity. Each category has a number of sub units, which in turn consist of several individual measures. S&T indicators and those more generally related to tech-based economic development are somewhat scattered throughout the report card.
(Note that most of the individual sets of statistics have been discussed in earlier editions of the Digest. The uniqueness of the CfED report card is the selection and aggregation of the particular indicators, the assignation of letter grades to indicate a states performance for each of the three broad categories, the ease of on-line access to the information, and the amount of public attention the report card receives.)
Indicators of possible utility for S&T programs include:
Development Capacity
- Innovation Assets including Ph.D. scientists and engineers (S&E) in the workforce, S&E graduate students, computers in households, university R&D expenditures, federal R&D spending, private research R&D, SBIR awards, royalties and licenses grants, patents issued, and university spin offs. Innovation Assets is part of the Development Capacity category. A table of how each states grades for these ten measures can be found at: http://drc.cfed.org/?section=grades&page=innovation
- Measures of venture capital investments and Small Business Investment Company financing are included in the Financial Resources subcategory.
- Digital infrastructure, a composite score of 41 indicators developed by the Progress and Freedom Foundation that determine progress by state governments in creating policies for world-class digital infrastructure, can be found under Infrastructure Resources. This appears to be the only indicator in the Report Card that is policy driven rather than normative statistics. The measure doesn't include the degree of Internet connectivity, broadband access, or other telecommunications infrastructure issues.
Business Vitality
- Entrepreneurial Energy including new companies created in 1998, the percentage change in the number of new company formations over 1997, employment growth of start-up firms (less than five years old), initial public offerings, and the percentage of businesses that are technology companies according to the Census Bureaus definition. A table of how each state ranks for these ten measures can be found at: http://drc.cfed.org/?section=grades&page=business
- Two components of the Competitiveness of Existing Businesses subcategory, capital investment in manufacturing and number of business closings.
The complete Development Report Card of the States 2000 can be found at: http://drc.cfed.org/
Return to the top of this page
OTP Announces Get Tech
In an effort to improve the image of technology professionals and encourage teens to prepare for technical careers, the U.S. Department of Commerces Office of Technology Policy (OTP) has kicked off Get Tech, a national awareness campaign directed at Americas youth. The campaign is designed to inspire teens to prepare for the technology-driven jobs of tomorrow.A centerpiece of the campaign will be radio and television public service announcements (PSAs) urging teens to take advantage of the opportunities open to those proficient in math, science, and computers. In addition to PSAs, Get Tech has developed a web site, www.gettech.org, that provides students with information about the careers of the future along with other features.
Joining OTP as founding sponsors of Get Tech are the National Association of Manufacturers and Women in Film. The sponsors are seeking other partners, including groups that will distribute information to students, parents and teachers; host local events and support local Get Tech activities; and, provide high visibility to the initiative.
For more information on how to become a Get Tech partner contact Karen Laney-Cummings at klc@ta.doc.gov
Return to the top of this page
Springboard 2000 Yielding Results
As mentioned in the last week's SSTI Weekly Digest, access to capital is a challenge for women-owned businesses. Springboard 2000, one nationwide initiative to overcome that obstacle, in less than one year, has assisted women entrepreneurs in science and technology businesses to raise more than $235 million in venture funding. The investments have been raised directly as a result of two forums held this year in Redwood City, California and Dulles, Virginia.The forums are co-hosted by the National Womens Business Council, and other groups such as the Womens Growth Capital Fund, the Forum for Women Entrepreneurs, American Online, the Morino Institute, and the Oracle Corporation. Another forum will be held at Harvard Business School in New England this November. Approximately one month prior to the forum, selected entrepreneurs will participate in a boot camp which will help to prepare them for their upcoming presentations to venture capitalists. Springboard 2000 will continue its series of forums into 2001 with events to be held in Silicon Valley in February, New York City in March, and Chicago in May.
The Springboard 2000 web site, http://www.springboard2000.org, includes updates on the women who have participated in the forums, resources, and additional information on upcoming and past events. The Learning Center, includes the following topics: Creating a Business Plan, The Funding Presentation, the Venture Financing Process, Presentation Tips, Building Your Team, and more.
Return to the top of this page
State Science & Technology Institute
5015 Pine Creek Drive
Westerville, OH 43081
Phone: (614) 901-1690
Fax: (614) 901-1696
Email: ssti@ssti.org© 2002 State Science and Technology Institute. All rights reserved.