Alexander X Research Report Finds Strength In California Telecom Employment.

Business Editors & High-Tech Writers

SAN DIEGO--(BUSINESS WIRE)--May 30, 2001

Results from an Alexander X Inc. research report suggests that telecommunications may soon be California's new technological market leader.

The research company recently compiled data from 15,000 technology companies with offices throughout California and compared it to the rapidly advancing telecommunications industry in California. Although Information Technology currently leads the market in employment, Stephen Meyer, president of Alexander X Inc., said the telecom industry follows close behind with more than 117,000 employees.

"Excluding the baby bells, the explosion in California's telecom employment started in 1990," said Meyer. "This is due in part to the development of wireless and satellite technology, in which California has taken the lead."

Leading the pack are companies like Qualcomm, Boeing Satellite Systems, Pacific Bell and the Sony Technology Center. Qualcomm continues to lead the talent pool with 6,500 employees. Boeing falls in close behind with 5,000 employees. But the market is highly diversified with 37 California firms employing more than 500 people each.

Even so, California does not hub headquarters for any of the world's top 10 telecommunications product manufacturers or the top 10 telecommunications service providers.

Santa Clara County leads telecommunications employment with 32,492 while San Diego County is second largest with 29,292. Almost half of the employment in California is situated in the product manufacturing side while another quarter lies with the service related companies. The rest is dispersed between component manufacturers, software developers, integrators and research facilities.

"A general slowdown has occurred in the wireless arena due to a softening of the venture and public markets, not to mention the temporary decrease in demand," said Meyer. "However, we still see a 12 percent growth rate this year in overall telecommunications employment in the state."

"Three-fourths of the world's population has no or limited access to communications," said Meyer. "The long term market potential is huge."

Alexander X Inc. provides research into California's technology trends and publishes 11 reference directories on California's technology companies.