Every week, ‘Good News of the Week’ features a curation of positive headlines from San Diego, delivered straight to your inbox. A blend of aggregated stories from San Diego’s most trusted news sources and original EDC-created content, GNOTW provides a comprehensive recap of the region’s best stories from the past week.
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For the week of October 13, 2023, here’s what we’re reading:
Join EDC and County Board of Supervisors Chairwoman Nora Vargas on October 17 as we share the findings from the Inclusive Growth Progress Report for 2023, which measures how the region is tracking toward our 2030 goals. Before a Q&A, EDC will spotlight ways employers and community leaders can advance inclusion across the San Diego region.
I hope you are enjoying the early days of fall in San Diego.
Those of you who have worked closely with our team at EDC over the last decade know that our core values have long been integrity, accountability, collaboration, and inclusion. We strive to ensure that these principles guide all that we do and are woven into the work of every team—and one of our most important teams at EDC is Research.
Our research is something I have always been quite proud of. You will frequently hear our team and board members say that everything we do at EDC starts with research. I have even heard more than one of our current board officers cite research as our organizational “superpower.”
When we reestablished the EDC Research Bureau, it was mainly to ensure that the internal decisions we were making, the goals we were setting, and the information we were providing on the San Diego economy was accurate and up-to-date. Over the years, we realized that our data and information was at its most powerful when it was being shared with audiences and decision makers outside of the organization.
More and more partners and investors began asking us to use our research to help understand the economic impact of a business or project, a certain sector of the economy, a new market or customer base, and more. Our team has partnered and worked with the Brookings Institution, AECOM, UCSD, SDSU, SANDAG, CBRE, CA EDD, County Office of Education, BW Research, and other partners to ensure that our data remains relevant, free from bias, and helpful in creating more quality jobs, skilled talent, and thriving households across our region.
As the organization has grown and the work has evolved, so has the research. Over the last year, EDC’s Research Bureau has:
Launched the San Diego Investment Map, a digital tool to help inform development and childcare, with data from SANDAG, CBRE, YMCA, and more
And as the challenges, opportunities, and work pertaining to talent, equity and diversity, cost of living, and technology continue to evolve, we will again make sure that our team is moving and changing as well. In the year ahead, our Research Bureau will focus on better understanding and supporting the changing needs of small business as well as the ‘future of work’ and its impact on commercial real estate.
If interested in sponsoring and investing in our research into 2024, we welcome those conversations and opportunities. Please reach out to Eduardo Velasquez—our Sr. Director of Research and Economic Development—if you would like to learn more. After all these years, I can still assure you that everything we do at EDC starts with research, just as I can assure you that an investment in our EDC research team is an investment in accountability, integrity, collaboration, and inclusion.
Thanks as always for your leadership, partnership, and support.
Every week, ‘Good News of the Week’ features a curation of positive headlines from San Diego, delivered straight to your inbox. A blend of aggregated stories from San Diego’s most trusted news sources and original EDC-created content, GNOTW provides a comprehensive recap of the region’s best stories from the past week.
Get Good News of the Week in your inbox every Friday.→ Sign up
For the week of October 6, 2023, here’s what we’re reading:
Reaching Tomorrow’s Talent: Verified Program Designation Day
EDC invites employers and community partners to join in the selection of Verified Programs on November 15 at UC San Diego Park & Market. San Diego companies in the Computing and Engineering fields will have the opportunity to learn about local education and training programs preparing the next generation of talent.
As cyberattacks and ransomware threats extend beyond technology and begin to impact even our built environment, the importance of cybersecurity cannot be overstated. Not only are the consequences costly—reaching an average of $9.44 million in the U.S. per IBM—but they have profound impacts on human health and safety.
“San Diego is leading the charge with more than 1,000 cyber firms, top-ranked education and research institutes, and the Naval Information Warfare Systems Command (NAVWAR). This collaborative ‘Ecosystem in Action,’ as highlighted by the White House, is developing new technologies, solutions, and diverse cyber talent to create a more secure digital community for all,” said Lisa Easterly, President & CEO, CCOE—commissioning organization of the report.
Marking the 10-year anniversary of CCOE, the biennial report includes a deep dive into San Diego’s $4 billion cyber cluster, a metro-by-metro comparison, a roster of local resources and assets, and business sentiments of local firms.
KEY report FINDINGS
Cybersecurity is everyone’s business. With increasing cyber threats to physical infrastructure, the security of data and communication is of critical importance, leading to a sharp rise in global demand for cybersecurity talent across industries. In San Diego, 59 percent of private sector cybersecurity jobs are in industries outside of technology, such as manufacturing, architecture, and engineering.
San Diego’s cybersecurity cluster is expanding its footprint and impact on the regional economy. There are 13,383 jobs and 1,016 establishments tied to the cybersecurity cluster in San Diego, up eight percent and 17 percent respectively in the last two years. Altogether, this amounts to a $4 billion regional economic impact.
Local cybersecurity firms remain deeply linked to the Federal government, including the Department of Defense. A majority (65 percent) of San Diego cyber firms work directly or indirectly with the government. Nearly one-fifth indicate government-related work as their primary focus, explaining why 23 percent of local cybersecurity firms are in the defense and aerospace industry.
Fast growth and resilience define San Diego’s cybersecurity talent. The region’s talent pool has grown by nearly 10 percent since 2018, five times faster than all other occupations combined. The cybersecurity talent base experienced significantly smaller job losses during the pandemic and recovered both more strongly and more quickly than other occupations.
Demand for cyber talent far exceeds local supply. Three out of four cybersecurity firms in San Diego report having difficulty finding entry- to mid-level as well as experienced applicants. Increasing compensation and diversity can help address San Diego’s talent shortage.
Cyber is an important and rapidly growing piece of the San Diego regional economy. The cluster supports 26,000 local jobs, most concentrated at NAVWAR, the preeminent provider of information warfare capabilities for the U.S. Navy. In all, the economic impact of San Diego’s cyber cluster is about the same as 24 Comic-Cons.
“Firms in every industry face cybersecurity risks. This is driving up the demand for cybersecurity talent and solutions. To keep pace and remain competitive, San Diego must leverage its unique assets, such as the military, as well as its incredibly diverse pool of talent,” said Eduardo Velasquez, Senior Director of Research and Economic Development, EDC.
“We have a national shortage of cyber workers—to the tune of 663,000 in the U.S. per Cyberseek. Opening the aperture with accessible and skills-based training helps seed and diversify the talent pipeline, which is critical to advancing our country’s homeland security,” said Joseph Oregon, Chief of Cybersecurity, Region 9, Cybersecurity and Infrastructure Security Agency (CISA).
More competitive compensation, increased diversity in recruitment, and thoughtful consideration of degree requirements are all strategies that can help San Diego lead in cybersecurity innovation across the region and globe.
In partnership with CCOE, the report was sponsored by Booz Allen Hamilton, CyberCatch, ESET, Haiku, RiskRecon, and San Diego State University, and was unveiled today at an industry event hosted at Qualcomm.
About Cyber Center of Excellence (CCOE) CCOE is a San Diego-based nonprofit that mobilizes industry, academia, and government to grow the regional cyber economy and create a more secure digital community for all. sdccoe.org
Every week, ‘Good News of the Week’ features a curation of positive headlines from San Diego, delivered straight to your inbox. A blend of aggregated stories from San Diego’s most trusted news sources and original EDC-created content, GNOTW provides a comprehensive recap of the region’s best stories from the past week.
Get Good News of the Week in your inbox every Friday.→ Sign up
For the week of September 29, 2023, here’s what we’re reading:
Join EDC and County Supervisor Nora Vargas on October 17 as we share the findings from the Inclusive Growth Progress Report for 2023, which measures how the region is tracking toward our 2030 goals. Before a Q&A, EDC will spotlight ways employers and community leaders can advance inclusion across the San Diego region.
The power of gene expression manipulation has unlocked possibilities that were once unthought of—advanced treatments for cancer, HIV vaccines, personalized medicine, and more. These scientific achievements, discoveries, and events have catalyzed the growth of RNA innovation and therapeutics.
Home to dozens of RNA firms supporting more than 11,000 jobs, San Diego is especially well positioned to lead in RNA therapeutics innovation, promising a bright future for the region’s Life Sciences ecosystem and the broader economy.
KEY report FINDINGS
San Diego’s RNA cluster is a major contributor to the regional economy, with a nearly $6 billion annual impact. For every 100 jobs generated within the cluster, an additional 150 jobs are supported across the region.
San Diego’s RNA cluster has capabilities in both research and development (R&D) and manufacturing. While R&D leads RNA activities in the region, San Diego’s expertise in advanced manufacturing offers a solid foundation for further growth.
Leveraging its expertise in RNA technology, San Diego proved resilient and important in the fight against COVID-19. The region drew in $59 million from the National Institutes of Health (or NIH) and employment grew nine percent through 2021.
Software development jobs continue to grow within San Diego RNA firms. Demand for these professionals is expected to rise as Artificial Intelligence and Machine Learning (AI-ML) are further integrated.
Talent attraction is a major challenge for local RNA companies. Compensation is not keeping pace with San Diego’s high cost of living and puts the region seventh out of 10 in average wages among peer metros.
RNA and RNA therapeutics sit at the intersection of four sectors: R&D, manufacturing, trade, and healthcare. These include operations such as medical laboratories, production of biological materials and lab instruments, drug wholesalers, and consulting services to name a few—all of which are part of a broader ecosystem of industries fueling San Diego’s RNA cluster. This broader ecosystem feeds RNA clusters across the country, and San Diego consistently ranks among the top 10 metros in terms of total jobs, job concentration, and average wages. Peer metros includes Life Sciences heavyweights Boston and San Francisco, as well as parts of the North Carolina Research Triangle and tech hubs Seattle and San Jose.
Among peer metros, San Diego ranks:
#2 in job growth (nine percent) from 2021
#2 in projected job growth (13 percent) by 2027
#3 in number of job postings
#4 in median advertised salary for RNA jobs at just under $85,000
#7 in average hourly compensation ($56.68) for RNA jobs
Home to #5 most funded institution in the U.S. in RNA-related projects, and #2 in California – UCSD
The study was produced by EDC on behalf of 1STRAND in June 2023. Learn more about EDC’s research here.
Every week, ‘Good News of the Week’ features a curation of positive headlines from San Diego, delivered straight to your inbox. A blend of aggregated stories from San Diego’s most trusted news sources and original EDC-created content, GNOTW provides a comprehensive recap of the region’s best stories from the past week.
Get Good News of the Week in your inbox every Friday.→ Sign up
For the week of September 22, 2023, here’s what we’re reading:
EDC Research: Understanding San Diego’s labor trends
At the end of 2022, San Diego’s unemployment rate was three percent, coming back to pre-pandemic level after peaking at 13.9 percent. However, the unemployment rate in Q2 2023 slightly rose to four percent with data showing a decline in the total labor force caused by remote work trends, rising cost of living, and limited talent supply. EDC takes a closer look at the data behind the Economic Snapshot here.
Every week, ‘Good News of the Week’ features a curation of positive headlines from San Diego, delivered straight to your inbox. A blend of aggregated stories from San Diego’s most trusted news sources and original EDC-created content, GNOTW provides a comprehensive recap of the region’s best stories from the past week.
Get Good News of the Week in your inbox every Friday.→ Sign up
For the week of September 15, 2023, here’s what we’re reading:
Last call: Grow international sales with MetroConnect
World Trade Center San Diego’s MetroConnect accelerator equips sets of 15 San Diego companies with the resources and partners needed to increase international sales. Participating companies receive a $5,000 export grant, expert advising, and the chance to win a $25,000 Grand Prize.
Every week, ‘Good News of the Week’ features a curation of positive headlines from San Diego, delivered straight to your inbox. A blend of aggregated stories from San Diego’s most trusted news sources and original EDC-created content, GNOTW provides a comprehensive recap of the region’s best stories from the past week.
Get Good News of the Week in your inbox every Friday.→ Sign up
For the week of September 8, 2023, here’s what we’re reading:
Using a cohort-based model, World Trade Center San Diego’s MetroConnect accelerator equips sets of 15 San Diego companies with the resources and partners needed to increase international sales. To date, the program has assisted 95 San Diego companies in turning export grants into $97 million in new international sales, 543 new international contracts, and 32 new offices around the world. Cohort members receive a $5,000 export grant, expert advising, and the chance to win the $25,000 Grand Prize.
Report: San Diego affordability crisis threatens latest jobs and talent gains
Today, San Diego Regional EDC released its 2023 Inclusive Growth Progress Report. With updated data and bold objectives set around increasing the number of quality jobs, skilled talent, and thriving households critical to the region’s competitiveness, the report measures San Diego’s growth and recovery, and spotlights the greatest threats to prosperity.
Making the business case for inclusion, EDC releases this annual report to track progress toward the region’s 2030 goals: 50,000 new quality jobs* in small businesses; 20,000 skilled workers per year; and 75,000 newly thriving households**. Since its launch in 2017, the initiative has rallied public commitments from County, City, academic, and private sector leaders who are leveraging the Inclusive Growth framework to inform their priorities, tactics, and resource allocation. While much about the economy remains uncertain, intentional and consistent efforts by a diverse set of regional stakeholders will be key to achieving these goals.
“Large and small businesses, nonprofits, and government all play important roles in building a strong local economy and expanding economic inclusion,” said Jennie Brooks, Executive Vice President at Booz Allen Hamilton and EDC Board Chair. “Booz Allen is empowering its employees with training in technologies such as Artificial Intelligence and is committed to helping prepare local, diverse San Diegans for tech careers of the future. We are proud to partner with local nonprofits and small businesses to make advanced technology broadly accessible to students and create a supportive ecosystem in San Diego to drive inclusive economic growth.”
THE STORY BEHIND THE DATA
Over the past decade, the San Diego region has experienced a notable upswing in general prosperity, standard of living, average wages, and productivity, including a full recovery from the pandemic across virtually every sector. Yet, these gains have not been evenly distributed.
In terms of racial, geographic, and overall inclusion, San Diego has slipped; the pandemic has hit lower-income households and minority communities hardest. The relative poverty rate has increased while median earnings and the household wage gap between white and non-white populations has widened. Record-level inflation has hit struggling San Diego households hard, and high operating costs have degraded the ability of businesses to attract and retain talent.
Despite these obstacles, San Diego is once again making headway on the quality jobs and skilled worker goals; see charts below. 2021 saw an uptick in small business jobs as well as the highest increase in post-secondary education (PSE) completions in more than a decade.
However, decreasing affordability coupled with uneven economic prosperity not only threatens that progress but indeed may mean that San Diego falls even further behind its peer metros on overall prosperity. The region now needs to add 125,000 newly thriving households by the end of the decade to meet the goal.
The region’s expensive and limited housing market has exacerbated inflation across all categories, with fewer than 44 percent of San Diego households considered thriving. The affordability crisis will primarily impact Black and Latino households, of which more than half are low-income, and continue to challenge employers’ ability to attract and retain talent—posing the single greatest threat to the region’s economic growth.
“While EDC’s report demonstrates San Diego’s remarkable resilience in the face of the pandemic, our jobs and talent gains are being diminished by the region’s affordability crisis. Unless we get this right, San Diego will always be catching up,” said Lisette Islas, Executive VP and Chief Impact Officer at MAAC, and EDC Vice Chair of Inclusive Growth.
Join the movement
Using a demand-driven, employer-led, and outcomes-based approach, San Diego private, public, and community leaders must deploy creative solutions to achieve these 2030 goals. EDC invites the community to join us at one of two upcoming webinars to learn more about the data and how to get involved:
“We’re seeing HR departments dissolve degree requirements, big buyers redirecting procurement spend, governments streamlining permitting processes, and developers prioritizing on-site childcare. This is the level of regional adoption required to move the needle on inclusion, and EDC is committed to continuing to tell a data-driven story to make the business imperative clear. San Diego’s future depends on it,” said Teddy Martinez, Senior Manager, Research, San Diego Regional EDC.
The initiative is sponsored by Bank of America, City of San Diego, County of San Diego, JPMorgan Chase & Co., San Diego Gas & Electric, Seaport San Diego, Southwest Airlines, and University of San Diego Knauss School of Business.
