Press Releases

PPI Releases New Report on “Internet Economy” — Internet/tech growth has spread far beyond Silicon Valley

By / 5.14.2013

NOTE: The Internet Association will host a press briefing call today on release of PPI’s California Internet Economy Study Results. The call will feature opening remarks by Michael Beckerman, President and CEO of The Internet Association, and a presentation by Dr. Michael Mandel, the chief economic strategist at the Progressive Policy Institute. The call will be at Noon PDT / 3:00 p.m. EST and is expected to last approximately 30 minutes. The teleconference will be live and can be accessed by calling 1-877-375-9151 (toll free). The passcode is 72082938, followed by the pound key. Media are encouraged to RSVP to Betsy Barrett betsy@internetassociation.org. Download the policy brief.

WASHINGTON — In California, internet and tech growth is spreading outside the Bay Area to other regions not traditionally associated with the technology and internet industries, accelerating job growth and economic recovery in the state, says a new report released today by the Progressive Policy Institute (PPI).

The report, written by PPI’s chief economic strategist Dr. Michael Mandel, highlights recent encouraging signs of job growth in the Internet and tech sector in California that could lift the state out of its economic doldrums, including hard-hit areas such as the Central Valley.

The study examined help-wanted ads across California and found that ads for computer and mathematical occupations in the Central Valley are up by almost 12% over the past year, compared to a smaller 3% gain in the Bay Area. The number of want ads for media and communications workers—many of them related to social media, websites, and other online activities—is up by 34% in Southern California and 42% in the San Diego region. And, demand for web developers is skyrocketing in the Central Valley and Central Coast.

Each of these jobs has the added benefit of creating more jobs in the local economy, from plumbers and janitors to accountants.

The data, notes Mandel, “suggests that the California economy may be approaching a critical inflection point. If the Internet/tech growth continues at its current pace, it may be enough to lift the whole state out of its economic doldrums, including hard-hit areas such as the Central Valley. It also suggests that state government policy should be directed toward encouraging Internet/tech growth, rather than suppressing it.”

Download the policy brief.