south florida - leading technology hub? latin america silicon valley?
TRANSCRIPT
SOUTH FLORIDA TECHNOLOGY
MARKET 2014
LATIN SILICON VALLEY – EL BARRIO DE SILICON?
By Heath Jones
http://www.linkedin.com/in/heathmjones
Think Globally, Act Locally!
2014 Florida Economic Highlights
Budget: ~ $1Billion Surplus going into 2015
Real Estate Cost: Miami/Ft. Lauderdale Average @ $163/SQF
Education: Per-Student Record Funding
Taxes: Extremely Business Favorable
Economic Growth: 5% in 3RDQ
Unemployment Rate: 6%
USA State Rankings for Florida
Tech Employment Growth: Rank # 2
Manufacturing & Services Export: Rank # 4
Job Churning: Rank # 4
Economic Dynamism: Rank # 6
Globalization: Rank # 10
Image Source: Google Images Filtered by Reuse RightsSource: Multiple Sources – See on Following Slides
AVERAGE REAL ESTATE
0
200
400
600
800
1000
1200
1400
New York City San Francisco Boston Miami/Ft
Lauderdale
Metro
Dallas
Cost/SQF
Source: Zillow
S. Florida has low cost
real estate @ $163 /sqf
Image Source: Google Images Filtered by Reuse Rights
SPENDING & FUNDING
Florida has almost $1 billion budget
surplus going into 2015 and has
record per-student funding
Image Source: Google Images Filtered by Reuse RightsSource: http://www.bizpacreview.com/2014/12/16/florida-five-gov-scott-gives-advice-to-
feds-state-budget-surplus-nears-1-billion-165732
2014 - S. FLORIDA 5% GROWTH IN 3Q
and 2015 could be even better, with
a national economy that continued
to boom in the final months of the
year.
Image Source: Google Images Filtered by Reuse Rights
Source: http://www.bizjournals.com/southflorida/print-edition/2015/01/02/business-leaders-tell-us-why-its-going-to-be-good.html?ana=e_sflo_rdup&s=newsletter&ed=2015-01-02&u=PNtjA2Zj1JuwfCm15UgM2g0a0893a8&t=1420210847
Unemployment Rate – Seasonally Adjusted
Source: U.S. Bureau of Labor Statistics
Florida has low unemployment
rate @ 6%
TOP 10 STATES IN TECH JOB GROWTH
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
2014 Annual Growth
Source: Forbes http://www.forbes.com/pictures/mkl45egfli/1-texas/
Florida is 2nd Highest Tech
Employment Growth Rate
Nationwide
EXPORT FOCUS OF MANUFACTURING & SERVICESThe value of exports per manufacturing and service worker, adjusted for industry mix
Florida State Ranks # 4 in the USA with $85,953 per every manufacturing & server worker, almost double the national average.
States that win the race to provide high-quality services for the global marketplace will secure their position in the New Economy. The leading states are generally those that have high-value-added, technologically advanced manufacturing sectors.
Image Source: Google Images Filtered by Reuse RightsSource: 2014 ITIF State New Economy Index
JOB CHURNING
Florida State Ranks # 4
Why Is This Important? Steady growth in employment masks the constant
churning of job creation and destruction, as less innovative and efficient
companies downsize or go out of business and more
Image Source: Google Images Filtered by Reuse Rights
innovative and efficient companies grow or take
their place. While startups have a higher failure rate
than older, more established businesses, the ones
that survive have very high rates of growth and job
creation.
Source: 2014 ITIF State New Economy Index
ECONOMIC DYNAMISM
Florida State Ranks # 6
The old economy was driven by large companies facing limited competition in stable markets with high barriers to entry.
The New Economy is driven by economic dynamism and competition, exemplified by fast growing entrepreneurial companies and rapidly changing fortunes in many industries. Given this new economic paradigm, the ability of state economies to rejuvenate themselves through the formation of new, innovative companies is critical to economic vitality.
Dynamism and Competition Indicators
1. Degree of job churning
2. Number fast growing firms
3. Number and value of companies’ IPOs
4. Number of entrepreneurs starting new businesses
5. Number of individual inventor patents granted
Image Source: Google Images Filtered by Reuse RightsSource: 2014 ITIF State New Economy Index
GLOBALIZATION
Florida State Ranks # 10 in the USA
When the “old” economy emerged after World War II, the winners were states whose
businesses sold to national markets, as opposed to local or regional ones. In the New
Economy, the winners are the states whose businesses are best integrated into the world
economy, as a global orientation ensures expanding markets for a state’s industries.
Image Source: Google Images Filtered by Reuse RightsSource: 2014 ITIF State New Economy Index
Florida’s stable and highly favorable tax climate
NO corporate income tax on limited partnerships
NO corporate income tax on subchapter S-corporations
NO state personal income tax guaranteed by constitutional provision
NO corporate franchise tax on capital stock
NO state-level property tax assessed
Image Source: Google Images Filtered by Reuse RightsSource: http://www.enterpriseflorida.com/why-florida/business-climate/tax-advantages/
continued…
NO property tax on business inventories
NO property tax on goods-in-transit for up to 180 days
NO sales and use tax on goods manufactured or produced in Florida for export outside
the state
NO sales tax on purchases of raw materials incorporated in a final product for resale,
including non-reusable containers or packaging
NO sales/use tax on co-generation of electricity
Image Source: Google Images Filtered by Reuse RightsSource: http://www.enterpriseflorida.com/why-florida/business-climate/tax-advantages/
FLORIDA GEOGRAPHIC BENEFITS
Florida is the jumping off point for North American businesses looking to engage in Latin America markets
Florida represents a prime location for Latin American businesses looking to expand operations into North America
Image Source: Google Images Filtered by Reuse Rights
Prime Cities you can reach in under 6 hours
Miami to San Francisco = 5h 50 m
Miami to Boston = 3h 15m
Miami to New York = 3h 10m
Miami to Dallas = 2h 55m
Miami to Mexico City, Mexico = 3h 20m
Miami to Lima, Peru = 5h 40m
Miami to Quito, Ecuador = 4h 15m
Miami to Panama City, Panama = 3h 0m
Miami to Bogota, Colombia = 3h 35m
Miami to Santo Domingo, Dominican Rep. = 2h 20m
Miami to San Juan, Puerto Rico = 2h 35m
EASY AIR-COMMUTE TIMES
Florida shares same time zone with Boston
New York
Washington D.C.
Atlanta
Bahamas
Cuba
Jamaica
Panama
Colombia
Ecuador
Peru
LIMITED JET LAG
Manny Medina a premier technology leader in S.
Florida, who sold his company Terremark to Verizon in
2011, remarks, “4 things South Florida needs to be a
technology hub”
Image Source: Google Images Filtered by Reuse Rights
Written Source: Celia Ampel, Reporter- South Florida Business Journal
http://www.bizjournals.com/southflorida/news/2014/10/22/manny-medina-4-things-south-florida-needs-to-be-a.html?page=all/
4 things South Florida needs to be a tech hub
1. Technology Education
2. Accelerators & Incubators
3. Funding Mechanism
4. Strong Employment Base
Tech hubs develop around great technological
training, Medina said: Think Silicon Valley's
relationship with Stanford University or Boston vis-
à-vis the Massachusetts Institute of Technology.
Nova Southeastern University and Florida Atlantic
University (FAU) will join the largest technology
event eMerge America to promote this need
Image Source: Google Images Filtered by Reuse Rights
Written Source: Celia Ampel, Reporter- South Florida Business Journal
http://www.bizjournals.com/southflorida/news/2014/10/22/manny-medina-4-things-south-florida-needs-to-be-a.html?page=all/
Technology Education
South Florida needs to focus its efforts on
accelerators and incubators to create local tech
jobs, Medina said.
Two Examples:
• Florida Atlantic University's Tech Runway
• Fort Lauderdale's just-launched Thesis Ventures
Image Source: Google Images Filtered by Reuse Rights
Written Source: Celia Ampel, Reporter- South Florida Business Journal
http://www.bizjournals.com/southflorida/news/2014/10/22/manny-medina-4-things-south-florida-needs-to-be-a.html?page=all/
Accelerators & Incubators
The goal of Tech Runway is to establish a
formal program for mentoring entrepreneurs
and their ventures based on the
Massachusetts Institute of Technology’s (MIT)
Venture Mentoring System (VMS).Image Source: Google Images Filtered by Reuse Rights
Written Source: http://business.fau.edu/centers/adams-center/tech-runway/index.aspx#.VKLFN14DcA
FAU’s Tech Runway
A successful tech ecosystem needs venture
capital and angel investors, Medina said.
• Through Medina Capital, Manny invests in
cybersecurity and Big Data platforms that
might not be "sexy" enough for Silicon Valley.Image Source: Google Images Filtered by Reuse Rights
Source: Celia Ampel, Reporter- South Florida Business Journal
http://www.bizjournals.com/southflorida/news/2014/10/22/manny-medina-4-things-south-florida-needs-to-be-a.html?page=all/
• "I have not seen a good business plan that has not been
funded… So I do believe the money is there," he said.
Funding Mechanism
• There's no shortage of demand for programmers in South
Florida — for instance, Miami coding school Wyncode placed
all of its graduates in programming jobs, Medina said.
• But he said the region doesn't have enough large companies
that can attract tech talent from Silicon Valley or New York.
• "What we're missing the most is an employment base… that
ability to say 'I've got my degree now, people are going to
compete for me'," Medina said.
Image Source: Google Images Filtered by Reuse Rights
Source: Celia Ampel, Reporter- South Florida Business Journal
http://www.bizjournals.com/southflorida/news/2014/10/22/manny-medina-4-things-south-florida-needs-to-be-a.html?page=all/
A Strong Employment Base
emerge americas
6,000 Attendees
400 Participating Companies
115 Startups
105 Sponsors
150 Speakers
31 Countries
Held Annually in May
2,000 IT Professionals Attendees
400 Participating Companies
60 of South Florida’s Top IT Professionals presenting on technology topics and trends covering multiple tracks
100+ Sponsors, Exhibitors and User Groups in a celebration of South Florida’s Technology community.
Hiring Fair
Community Support raising over $75,000 in cash & toys over the past 2 years
Urban Dictionary – Palooza: an
all-out crazy party; partying at
one place with a ton of people
like there's no tomorrow
Held Annually in December
Benefit
Increases in the S. Florida technology economy means more employers, leading to
increased employment opportunities
Increases in employment opportunities, means more competing employment, leading
to pay increases
Increases in technology employment opportunities leads to a stronger economy, and
an economy that’s not dependent on tourism
Increases in a stronger economy leads to increased real estate values
If you are a S. Florida resident or looking to move to
here this can benefit you in the following ways:
Heath works for Verio Inc. an NTT Communications Company
But I would appreciate it if you could
take a moment of your time to promote
this information to your network
If you found this of value, in just 2 clicks you can…
• create immediate value for your network!
• increase your profile views !
• help improve South Florida by getting the word out!
You are completely free to choose either to decline or re-share
TIP 1: An easy way to increase your
social media profile views is by
sharing quality content.
Tip 2: A super easy way to share
quality content is to just re-share a
great post you just read.
The more you share, the more you
care!
You are only 2 Clicks away from providing great value to your network
If you would like to see more great
content from me, don’t forget to click
“Like”
Think Globally, Act Locally!
To connect with me scan the QR Code
with your phone or use the contact info below
Heath works for Verio Inc. an NTT Communications Company
QR Code
http://www.linkedin.com/in/heathmjones
@hmjones88
Linkedin:
Twitter: