Attracting Tech-focused Growth to New York’s Tech Valley David Rooney, Senior Vice President Center for Economic Growth (CEG)

CEG’s Regional Impact Action Agenda CEG is working to bring transformational growth to the Capital Region and Tech Valley through a regional action agenda. Our master plan is to generate robust, contagious and intelligent business expansion.

Center for Economic Growth Private, not-for-profit, membership supported organization Serve 11 counties in Tech Valley Initiate and promote regional efforts to attract and develop high-tech talent and companies Strategic initiatives Technical services

CEG Strategic Initiatives Technology Industry Attraction - Global marketing A Thriving Regional Community - Regional Development Strategy A Drive for Talent – the Beanstalk Program - Retaining college grads The Technology Roadmap - Identifying critical resources Advocacy for Regional Development Projects - Controlled growth

CEG Technical Services Business Development Outreach Business & Technology Commercialization Accelerator Technology Council TechConnex Chief Executives Network (CEN) Bioconnex

Can the Region be Home to the Next Generation of Tech-focused Growth? New York’s Tech Valley

Defining a New Economic Vision What is Region’s economic future? Identify new growth engines Tie regional economic growth to global technology trends Identify and fill gaps Create and grow our own companies Attract new companies to Tech Valley Pursue transformational economic growth opportunities

How do We get There From Here? Lessons learned from other areas Gain buy in from stakeholders and communities Build on strengths IF they will be future strengths Tap into resources of re-energized State agencies and programs Identify Opinion Leaders for the “new” Regional Vision Tell the world our story – market globally

A Regional Plan Build upon strong R&D capacity as economic engine University, State/Federal and corporate based R&D Centers of Excellence International Sematech North Tokyo Electron Investment Develop consensus for broad regional vision for all communities Regional Development Strategy Economic development, quality of life, education and workforce, and infrastructure Local Government Council Invest in resources for future including infrastructure, sites, workforce Permitted sites Industry specific degree programs K-12 Education

A Regional Plan Protect and preserve quality of life Tech Valley Chamber Coalition & other Chambers of Commerce Accelerate growth opportunities for “home grown” companies Technology Commercialization Start-up Incubators Venture Capital/ Angel Investors Business Acceleration programs Attract global, growing technology sectors Industries whose needs match the Region’s and State’s strengths

Growth Industries: Now and for the Future In August 2002, CEG’s Technology Council held a Global Trends Retreat with local technology leaders to determine trends and industry sectors that will influence the Region’s economy in the next several years. Tech-focused industry sectors include: Nanotechnology Microelectronics R&D Albany NanoTech Rensselaer Polytechnic Institute Nanocrystals Evident Technologies Applied NanoWorks Biotechnology Diagnostics American Bio Medica Krackeler Scientific Pharmaceuticals Albany Molecular Fortitech Biomedical R&D Wadsworth Center Ordway Research Institute

Growth Industries: Now and for the Future Advanced Materials Plastics/Composites Cyclics Taconic Advanced Ceramics Blasch Precision Ceramics CeramTec Energy Alternative Energy Plug Power Biodiesel Technologies Power Delivery SuperPower Inverters Unlimited Information Technology Software MapInfo AutoQuant Imaging Telecom MAC Source Communications Advanced Innovative Technologies Services Documentation Strategies Tech Valley Communications

Why These Industries? Capture future growth-oriented opportunities Employment growth with above average wages in high value jobs for variety of skill levels Capitalize on current regional assets and existing infrastructure Make large investments in employees and communities where they locate

Why Would They Locate in NY’s Tech Valley? Contribute to a Region’s quality of life Require a Region or State with stable political & financial framework Need a balanced, diverse & sophisticated supplier network Highly productive & trained workforce Industries hire 80% of workers from the host Region Value university-based R&D and access to technology leaders Require permitted sites and an extensive communications & transportation infrastructure

Attraction Strategy Perform due diligence on prospect companies Good corporate citizens Regional investors Long-term players Focus on quality labor force and quality of life Meet at client’s facility Prepare/develop resources Learn about industry – what they need, most important aspect of making decision Sites Chip Fab ’98 – two sites One didn’t move forward, other didn’t withstand strong local opposition Now identifying and preparing other sites Education/Workfoce Learned important but had nothing to offer Albany NanoTech and HVCC stepped up to plate

Milestones Private-sector Job Growth: The Albany-Rensselaer-Schenectady Region added 3,000 new private sector jobs from July 2002 to 2003* High Wage Jobs: In 2000, of the 31 industries that added more than 200 jobs, 20 paid annual wages above the median** Funding and Investment: Almost $2 billion in new corporate and university-based R&D, infrastructure and programs Advanced Technology Education: Significant increase in the number of technology educational programs at local colleges and universities *September 2003 NYS Labor Market Newsletter & ** Capital Region Workforce Development Survey, October 2001

Milestones Continued Expanding Venture Capital: More than $150 million in capitalization of local VC funds, increased interest from outside VC firms and development of an active angel investment network Regional Partnerships: Development of successful private and public sector marketing and R&D cooperative partnerships National Media Buzz: Tech Valley is now mentioned frequently in national publications including Forbes, eWeek, New York Newsday, Biotech Tech Magazine, Boston Business Journal, Austin American-Statesman, The Oregonian, Wall Street Journal, New York Times and Small Times Magazine

A Few Regional Highlights International SEMATECH announced plans to locate a $400 million computer chip research and development facility at University at Albany Governor Pataki is transforming the Harriman Campus into a $300 million cutting-edge R & D tech park Development of a 1,350-acre technology campus is underway for Luther Forest in Saratoga County GE has launched a $100 million upgrade of its Global Research Center in Niskayuna A Center of Excellence in Nanoelectronics has been established at the University at Albany with initial funding of $150 million

A Few Regional Highlights Continued Rensselaer Polytechnic Institute broke ground on an $80 million Center for Biotechnology and Interdisciplinary Studies Construction began on a $60 million Center for Medical Science in Albany’s University Heights complex – Ordway Research Institute University at Albany and Rensselaer have each announced $20 million Biotech R & D Centers with a focus on genomics and medical sciences Tokyo Electron, world’s second largest maker of semiconductor manufacturing equipment, sited a $300 million R&D Center in Albany

Home to the Next Generation of Technology Growth? Yes! Workforce R&D Capacity Resources Motivation Sites New York’s Tech Valley