SSTI Digest

Implementation of the Global Grid Exchange, a state-sponsored open public computing grid in West Virginia, is underway. Hewlett Packard will provide the infrastructure technology that will power the grid, an initiative of the West Virginia High Technology Consortium (WVHTC) Foundation.

The Global Grid Exchange utilizes the Internet to aggregate idle or unused computer processing resources throughout West Virginia. HP will furnish hardware such as desktop personal computers for customer service personnel and robust, reliable high-end servers. With access to such resources, the grid reportedly will be the largest open public computing grid in the world.

The nonprofit WVHTC received a $14.7 million grant from the West Virginia Economic Development Authority to launch the grid, according to the Associated Press. The project's first phase cost $2.8 million, the AP reports.

What policies, investments and programs would be most effective for communities trying to attract, retain or build a local pharmaceutical industry? Research parks? Tax incentives? Biotech seed capital funds?

The answers one gets will vary, but using historical data on patent activity and observing the location of the largest pharmaceutical companies, a group of researchers suggests investments in academic R&D that lead to publications is not a bad place to start.

If you haven't purchased your 2005 wall calendar or updated your computer-based planner yet, you will need to soon, to schedule travel and update budget requests. At the top of many lists will be SSTI's 9th annual conference, Oct. 19-21, 2005 in Atlanta, but how do you conveniently find out about the many other high quality events happening throughout the year?

While many organizations and associations only post their own events, SSTI maintains an open calendar web page as a service to the larger TBED community. Each of the more than 100 current announcements includes a link or contact to obtain additional information. For example, here is one offering from each of the next four months from the calendar page:

Going into yesterday's elections, it was clear at least five states would have freshmen governors as three incumbents chose not to run for re-election and two incumbents lost their parties’ nominations to seek new terms. The five states were Missouri, Montana, Utah, Washington and West Virginia.

With the tallying of the votes, the number had grown to seven new governors as incumbents in New Hampshire and Indiana were unseated by successful challenges. Winning re-election were four sitting governors: Ruth Minner in Delaware, Mike Easley in North Carolina, John Hoeven in North Dakota, and Jim Douglas in Vermont.

At press time, no winner had been declared in the extremely close Washington race for governor. Republican Dino Rossi was ahead of Democrat Christine Gregoire by four one-hundredths of a percent at the last count. (see http://vote.wa.gov for more information)

The Oct. 25 issue of the SSTI Weekly Digest previewed ballot issues in six states that would have implications for their respective state efforts to grow a knowledge-based economy. The unofficial results at press time for each are provided below:

Unofficial results posted today on the National Conference of State Legislatures (NCSL) website reveals political control of at least 10 of the country's 99 state legislative chambers (Nebraska has a unicameral legislature resulting in the odd total for the country) changed parties in yesterday's election.

NCSL reports "Based on unofficial results, the Democrats won the Colorado House, Colorado Senate, North Carolina House, Oregon Senate, Vermont House and Washington Senate. In case of the Colorado and Washington chambers, the margin of victory is only one seat, and recounts are expected in several districts."

Republicans took control of the Georgia House, Indiana House, Oklahoma House and Tennessee Senate.

Gov. Rick Perry announced last month a long-term, strategic job creation plan that will focus state efforts on six industry clusters that economists say will be the engine of future job creation and economic growth in the U.S. Although the state already has an advantage in terms of a growing workforce, the key is retaining workers that are skilled and trained in emerging technology fields, the governor said.

A study conducted for the Texas Workforce Commission identified the following clusters for the state:

Venture capital (VC) investing dipped in the third quarter of 2004, with $4.3 billion going to 601 companies, according to the latest MoneyTree™ Survey by PricewaterhouseCoopers, Thomson Venture Economics and National Venture Capital Association. The Q3 2004 figure was below the prior quarter of $5.9 billion, but equal to the $4.3 billion posted in Q3 2003.

The Life Sciences sector continued to dominate as it has for the past nine consecutive quarters, among MoneyTree™ Survey highlights. Investments in the sector totaled $1.26 billion, or 29 percent of all venture capital. Biotechnology and Medical Devices, the sector's two components, accounted for $771.4 million and $486.3 million, respectively. Seventy-five biotech and 52 medical device companies were funded during the quarter.

Four Greensboro, N.C., economic development organizations – the Greensboro Chamber of Commerce, the Economic Development Partnership, Action Greensboro and the Development Corp. – have agreed to consolidate into the Greensboro Partnership.

The New Century Technology Council has changed its name to the NewVa Corridor Technology Council to reflect the regional branding campaign underway for the Roanoke area.

While the presidential election has been dominating the news, voters across the country will be acting on an array of tech-based economic development issues on Election Day next week. The largest is an initiative in California that would provide up to $3 billion for embryonic stem cell research. If approved by California voters, Proposition 71 would have the potential of significantly changing the landscape of where stem cell research is carried out and have significant economic development implications.

Separate reports released in the past two weeks, one by a national outsourcing firm and the other by a Congressionally mandated commission, reveal efforts to create jobs faster than they are being eliminated remains a challenge for many sectors of the U.S. economy.

Quarterly Figures for Information & Communications Tech Job Cuts

Computer and related high-wage tech job cuts jumped 60 percent in the third quarter, according to the latest quarterly survey by Challenger, Gray & Christmas. The 54,701 positions lost during the summer brings the total to 118,427 so far this year.

The largest number of layoff intentions were at computer companies, which planned 30,624 cuts in the third quarter (127 percent increase over the previous quarter). Also seeing increased job cutting are telecommunications (+8 percent to 19,825) and electronics (+75 percent to 4,092).

Earlier this month, the U.S. Department of Commerce's National Telecommunications and Information Administration announced $14.4 million in Technology Opportunities Program (TOP) grants to 27 organizations in 22 states and the District of Columbia. Historically, TOP has been one of the most competitive tech-based economic development grant programs offered by the federal government, and 2004 was no exception – 494 applications were received, requesting $277.1 million.

This year's grantees represent a variety of nonprofit organizations and public institutions, including hospitals, K-12 schools, libraries, universities, public safety agencies, community technology providers, and city and county governments. Partnerships with the private sector and state and local organizations are required, leveraging the $14.4 million in federal funds with commitments in non-federal matching funds totaling $16.9 million.