Tech Entrepreneur, BusinessWeek columnist and SAJAer Vivek Wadhwa has a new study coming out from Duke University (where he's a prof and executive-in-residence) about the impact of foreign-born immigrants on tech/engineering companies. The report, published in partnership with Berkeley's AnnaLee Saxenian (who is one of the best known experts on immgrations impact on Silicon Valley), will be released on Jan. 4. Wadhwa is offering embargoed copies for journalists (see the full offer below, along with his e-mail address).
Meanwhile, some of the highlights from the report:
The results show that the trend that Saxenian documented for Silicon Valley, a pattern of skilled immigrants leading innovation and creating jobs and wealth, has become a nationwide phenomenon. Here are some characteristics of the engineering and technology companies started in the U.S. from 1995 to 2005.
- At least one key founder in 25.3% of these companies was foreign-born. States with an above-average rate of immigrant-founded companies include California (39%), New Jersey (38%), Georgia (30%), and Massachusetts (29%). Below-average includes Washington (11%), Ohio (14%), North Carolina (14%) and Texas (18%).
- Nationwide, these immigrant-founded companies produced $52 billion dollars in sales and employed 450,000 workers in 2005.
- Indians have founded more engineering and technology companies in the US in the past decade than immigrants from the U.K., China, Taiwan and Japan combined. 26% of all immigrant-founded companies have Indian founders.
- ...in New Jersey, 47% of all immigrant founded hi-tech startups in the last 10 years had Indians as key founders.
- Indians have overtaken the Chinese as the leading group of immigrant founders in Silicon Valley.....
The preview of the study is below. Post your thoughts on what you have read so far below, too.
From Vivek Wadhwa [vivek at wadhwa.com]
Executive in Residence/Adjunct Professor, Pratt School of Engineering
Duke University
For the last few months, my team at Duke has been working around the clock to produce the most comprehensive study to date on the contribution of skilled U.S. immigrants. In partnership with AnnaLee Saxenian, Dean at UC Berkley, we are about to release a report that will without doubt rock the boat. This is based on interviews of 2054 technology and engineering companies founded from 1995-2005. The report will be released by both Universities on Jan 4, 2007.
I can make copies available to the press under the condition that you agree to an embargo. If you’re interested in covering this and your publication will agree not to publish until Jan 4, please let me know [vivek at wadhwa.com]. Please forward this to journalists that will be interested. Here are some of the highlights of our report:
The results show that the trend that Saxenian documented for Silicon Valley, a pattern of skilled immigrants leading innovation and creating jobs and wealth, has become a nationwide phenomenon. Here are some characteristics of the engineering and technology companies started in the U.S. from 1995 to 2005.
· At least one key founder in 25.3% of these companies was foreign-born. States with an above-average rate of immigrant-founded companies include California (39%), New Jersey (38%), Georgia (30%), and Massachusetts (29%). Below-average includes Washington (11%), Ohio (14%), North Carolina (14%) and Texas (18%).
· Nationwide, these immigrant-founded companies produced $52 billion dollars in sales and employed 450,000 workers in 2005.
· Indians have founded more engineering and technology companies in the US in the past decade than immigrants from the U.K., China, Taiwan and Japan combined. 26% of all immigrant-founded companies have Indian founders.
We have substantial data on where immigrants are founding companies, what industries they specialize in and what their nationalities are.
In addition, we analyzed the international patent databases and came up with very interesting statistics showing the contribution of foreign nationals residing in the U.S. who haven’t received citizenship. This will add quite a lot of fuel to the debate about H1B’s vs. citizens. After analyzing the data, my view is that America doesn’t need more temporary workers – it needs more immigrants. This is quite an extreme view from someone who has been one of the staunchest supporters of H1B’s!
We looked in depth at two tech centers -- Silicon Valley and RTP. We were surprised to learn that over half of the startups in SV had immigrant founders.
The data on Indians was particularly surprising. For example, in New Jersey, 47% of all immigrant founded hi-tech startups in the last 10 years had Indians as key founders. Indians have overtaken the Chinese as the leading group of immigrant founders in Silicon Valley……
Vivek Wadhwa
Executive in Residence/Adjunct Professor
Pratt School of Engineering
Duke University
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