Dive Brief:
- U.S. exports of technology products and services totaled an estimated $309 billion in 2016, just a bit lower than 2015, according to a new report on U.S. trade in tech products and services from CompTIA.
- Tech services saw particularly strong growth, more than doubling since 2015. Tech services exports now make up 34% of total tech exports, the report found.
- Exports now account for about $1 out of every $4 generated by the U.S. tech industry and support 40% of tech manufacturing jobs, according to the report.
Dive Insight:
Even with the small dip last year, the U.S. tech sector is enormous, representing one of the largest sectors for exports in the U.S. economy. Per CompTIA's analysis, tech exports only trailed transportation and vehicles in manufacturing exports.
Part of the growth has to do with digital transformation initiatives. As companies drive technology into more parts of the business, they need a constant refresh of tools, services and technology. U.S. tech companies are helping companies around the world become more digital.
International Data Corporation (IDC) recently predicted worldwide spending on digital transformation technologies is expected to reach $1.2 trillion in 2017, an 18% increase over 2016 spending. By 2020, IDC says digital transformation spending could reach $2 trillion. The U.S. is a world power in technology and will likely continue to maintain its dominance as every company across sectors works to become more digital.
