New York City is one of the most famous cities in the world and for a great number of reasons. One that doesn’t make it to the screens it the tech industries. The tech industry in NYC is one of the fastest-growing areas of the economy. What’s more, the startup ecosystem is continuously maturing at a very fast rate.
Let’s take a closer look at how the tech industry has developed over the last few years and the current situation in NYC.
New York City Universities
Where better to start our overview than with the education. NYC is ranked first in the world for the number of stem students and life science universities, and this plays a key role in startups in the same field. In total, you can find over 120 universities with the majority offering computer science education. To appreciate the cities diversity, there are 80,000 international or out of state graduates each year.
New York City Startups
In 2019, NYC had the second-highest number of startups in the entire world. The ecosystem has over 9,000 startups at present. It has also been ranked first in Savills Tech Cities Index. Its current value sits at $71 billion, making it the third most valuable tech ecosystem in the world. To highlight the growth, Brooklyn has experienced a 356% growth rate since 2008, the second-highest in the country.
This growth could be explained by the heavy amount of investment. There are more EdTech companies in NYC than anywhere else in the States, placing it first in funding for EdTech. NYC has more than 100 incubators where startups can flourish. Currently, there are upwards of 200,000 businesses that employ 20 or fewer workers. Combined, they have over 600,000 employees. The ecosystem has strength in life sciences and blockchain, placing it fourth globally.
New York City Tech Jobs
The growing tech ecosystem looks set to continue into the future with 85% of companies in NYC planning to hire more tech talent. 87% of companies feel strongly that they will find this talent within the city. With demand for tech talent so high, the recruitment process is fast, faster than any other U.S. tech ecosystem to hire engineers.
New York City had the highest average engineer salaries than any other U.S. city with wages 49% higher than the average wage in the private sector. It’s easy to see why 10% of the nation’s developers are in the NYW metro area.
Funding in the New York City Tech Industry
The city was placed first in the world for availability and quality of funding in 2019, receiving $17.2 billion in the metro area. After Silicone Valley, it has the highest number of early-stage investments in the world. Since 2019, over 6,100 VC funding rounds have occurred and 883 VC deals have closed in 2019 alone.
The Importance of Diversity in NYC
Having a diverse team of IT experts adds quality and innovation to business and 89% of tech companies in NYC agree. 47% of technology workers in NYC are foreign-born. When comparing this to other major U.S. cities, only Miami tops this figure.
Women also play a very important role in the tech ecosystem. The number of female-owned businesses rose by 35% from 2007 to 2012 and today, 42% of students that take the AP Computer Science exam are women (the national average is just 28%). NYC is one of the first in the world for attracting and supporting female entrepreneurs. With more than double the number of female business owners, NYC is home to 410,000 female-owned businesses.
Real Estate and Infrastructure in New York City
In 2000, 5% of the office market was dedicated to tech firms. This accounted for 17.6 million square feet. Today, this is 8% of the market or 29.3 square feet. Another increasing trend in the tech ecosystem is coworking spaces. With over 200 of these locations, startups have a much better chance and thriving from the very beginning.
You may have dreamed of living in New York City but worried about the future of your IT career. The above statistics show that the city where dreams are made has plenty of opportunities in a tech ecosystem that is thriving. Whether you are looking for employment or to start your own business, New York City offers high salaries, diversity, and innovation.