British Clean Tech Hiring Holds Its Own, Director Salaries Top $98,000

November 12, 2009

British clean tech workers felt the pain of the global recession this year, but the employment market remains more buoyant than the economy as a whole and salaries continue to rise.

About half of all workers received a salary boost in the past 12 months with director salaries in the United Kingdom now topping $98,000.

Survey shows industry employment driven by more than just the economy

Overall, the average environmental worker in Britain earns $65,300, according to a survey of the market place conducted this summer by Environmental Analyst and Allen & York.

More than 2,500 workers were contacted and nearly 50 percent said their organizations did not cut jobs during the downturn. About a quarter of firms saw staff reductions and another quarter added positions.

The results suggest that more than just the pace of GDP is driving the environmental market.

Salaries, for the most part, held their own. Half of workers received a salary boost during the previous 12 months; 34 percent did not. The average increase was 3 percent. One in seven received a pay cut.

The highest pay is found in the corporate sector – $77,600 on average. But the variations are considerable. Directors earn $98,000 while middle level managers earn $64,500 and recent graduates earn $37,700

With the world’s increasing focus on green, these more lucrative than average trends should continue.


May Saw A Big Rise In Online Help Wanted Advertising

June 1, 2009

Employers began showing a renewed interesting in hiring in May with online help-wanted advertising posting its biggest increase since October 2006.

Rise in online job posting is first since October 2008

Rise in online job posting is first since October 2008

The Conference Board said advertised job postings rose 250,000 during the month with increases in the key states of New York, New Jersey, California, Virginia and Massachusetts.

About a quarter of states are showing signs that the drop in labor demand is bottoming, the Conference Board said in a press release.

Tech-centric California saw an increase of 30,700 job postings, and New York and Massachusetts, both with large technology work forces, experienced increases of 20,300 and 10,000..

While the boost in online postings is good news for the beleaguered economy, it does not suggest that unemployment will suddenly lessen. Even with 3.4 million jobs posted online in May, the total is down 25 percent from last year.

Looking ahead, unemployment is expected to continue rising and employment rolls in the U.S. will continue falling through the summer.

At the end of April, there were 10.6 million more people out of work that there were jobs available.

Still, May’s gain was the first since October 2008.


IT Projects On Hold But Not Eliminated Entirely

May 14, 2009

Here’s some good news for the rebound, whenever it comes.

Hardware spending is being hit harder than other areas of IT

Hardware spending is being hit harder than other areas of IT

According to Gartner, more far more corporate technology buyers are delaying computing projects than canceling them. Only 12 percent of companies surveyed in February and March have outright eliminated a project.

What that suggests is many of the projects will be dusted off and carried forward when corporate money begins flowing again.

The survey found that spending on hardware will be hardest hit. Gartner projects overall IT spending will decline 3.7 percent this year, before rebounding 2.4 percent next year.

Hardware spending nonetheless will fall 14.9 percent in 2009, much worse than the IT market in general. Even next year, hardware – including purchases of PCs, servers and storage – will lag, growing just 0.8 percent.

Of course, conditions will vary greatly around the world. Projects in India and China are much more likely to go forward this year and projects in the U.S. and Europe.


Venture Investing Collapses In The First Quarter

April 18, 2009

The plummeting economy put a hold on venture activity in the first quarter, a pair of studies show.

U.S. venture capitalists invested only $3.9 billion during the period, down 50 percent from a year ago, according to one of the studies from Dow Jones VentureSource. It was the lowest quarterly total in a decade – from before the burst of the dot-com bubble.

Decline in venture activity accelerates. Source: Dow Jones VentureSource

Decline in venture activity accelerates. Source: Dow Jones VentureSource

A similar study from the National Venture Capital Association, PricewaterhouseCoopers and Thomson Reuters found that only 549 deals were signed, a plunge of 37 percent. Every major industry sector saw double-digit declines in activity, the firms said.

The surveys confirm what venture capitalists have been saying for months, that they industry has essentially ground to halt.

“Venture capitalists have slowed their investment pace in order to work with existing companies that are not able to exit the venture portfolio due to the shuttered IPO window and the weakening acquisitions market,” said Mark Heesen, president of the NVCA. “While this drop in investment is significant, we are not forecasting levels to continue to fall further. We would expect a mild and steady increase in investment throughout the rest of the year.”

No industry was immune to the fall off. Investments were down 42 percent software startups, 46 percent, in biotechnology companies and 31 percent in Internet businesses.

Even trendy clean-tech saw a plunge. Investments of $154 million put into 33 deals fell 84 percent.

A large share of the money spent during the quarter went to established portfolio companies. Late-stage deals accounted for 55 percent of the total, compared with 47 percent a year ago, said VentureSource.

Seed and first-round companies received just 18 percent compared with a quarter of all funding last year.

California dominated the spending, with 47 percent of the nation’s total.


Intel Sees Signs Of A Bottom In The PC Market Slide

April 14, 2009

Wall Street shrugged off Intel’s first-quarter results because of its lackluster forecast for revenue and margins to be flat in the second quarter.

Server chip sales have held up well, says Intel

Server chip sales have held up well, says Intel

But Intel offered some good news Tuesday that investors and the industry shouldn’t ignore. It said it sees an end to the slide in the personal computer market – with factory volume perhaps returning to normal by the end of the year.

“We are seeing signs that a bottom in the PC market has been reach,” said CEO Paul Otellini on a conference call. “I believe the worst is behind us” in terms of rising inventories.

Otellini’s upbeat outlook is not a stretch given the present state of the economy. In recent weeks, early signs of stability have been reported in industries as varied as retailing, automotive manufacturing, even home building.

Otellini said that while business purchases remain weak, consumer buying as rebounded and the strength of demand increases as the first quarter progressed.
By the end of the quarter, Intel’s factories were humming at faster than anticipated pace, and by the end of the year, typical seasonal patterns may return to the market, he said, referring to the back-to-school and holiday buying periods.

In fact, the company worries it may not have enough manufacturing capacity come December. What a change a couple months make.


Analyst Sees Stability In Computer And Consumer Electronics Markets

April 13, 2009

Signs are dribbling in of an improving market place for computers and consumer electronics, even if demand for cellular handsets remains an unknown.

Broadpoint AmTech Analyst Doug Freedman more upbeat about back-to-school and holiday seasons

Broadpoint AmTech Analyst Doug Freedman more upbeat about back-to-school and holiday seasons

Doug Feedman of Broadpoint AmTech said on Monday he remains “positive” about computer and consumer electronics sales as he looks toward back-to-school and year-end holiday seasons this year.

Communications may not be seeing the same momentum, but cell phone manufacturing in March and the second quarter could be better than expected, he said.

Freedman is not the first analyst to point to greater market stability. Pundits have been saying for weeks that manufacturers began replacing depleted inventories in March, lifting orders for component suppliers.

But his commentary is an early suggestion that the second half of the year might be better than feared. He made his projection as he previewed Linear Technology’s earnings expected on Tuesday, and it comes on the same day Seagate said its quarterly business was better than anticipated.

Maybe there is hope for the year after all.


Analyst Sees Improving Conditions For Chip Industry

April 7, 2009

Second-quarter shipments from major Asian chip foundries could be up 50 percent, running well ahead of the typical pace for the period, says Mehdi Hosseini, an analyst at FBR Capital Markets.

Foundry shipments could be up 50 percent in the second quarter, says FBR Capital Markets

Foundry shipments could be up 50 percent in the second quarter, says FBR Capital Markets

The upbeat forecast follows an unusually slow first quarter, when shipments are estimated to have been down 35 percent, said Hosseini in a research note on Tuesday.

The outlook offers a welcome change of pace for an industry that has been hit particularly hard by the slowing economy and the decreased in demand it brought for computers and other goods with semiconductors inside.

But while the second quarter suggests some making up for lost time and depleted inventories, its sustainability is still a question mark.

Consumption in China appears to be the biggest reason for the improving sales, as communications and computer markets elsewhere have yet to rebound, says Hosseini.

It the U.S. and Europe do not show some bounce, third quarter results could weaken. Estimates for the third quarter presently show an 8 to 10 percent increase, the analyst says.

Maybe the stimulus spending by Western nations will kick in.


Software Startup Sees A Pick Up In Business

March 31, 2009

The end of 2008 was bad for business. So was January.

Business is back to the levels of August and September, says Rob Walling

Business is back to the levels of August and September, says Rob Walling

But the bite of the downturn has been less severe in February and March, says Rob Walling, owner of the small-business invoicing software company DotNetInvoice.

“In February, (business) started picking back up,” Walling said Tuesday. “Now we’re at our levels of August and September last year.”

DotNetInvoice is not alone. Other startups say they, too, are seeing steadier business conditions in a positive sign for Silicon Valley.

Part of the explanation for DotNetInvoice’s improving sales is the new software it rolled out in late February. The new version of its invoicing product allows the use of additional credit card processors and lets developers add custom features in the C# programming language.

But that isn’t the whole story. The business climate is simply better. And for Walling, that translates into opportunity.

As bigger competitors cut back on staff to save money, Walling is betting he can work longer hours and pick up market share. “Now is the time to gain ground,” he says. “When it comes back…I want to be moving at full speed.”

Walling also calculates he has a couple aces up his sleeve. The next version of DotNetInvoice is expected in May and will integrate with Intuit’s QuickBooks, a big step. Another release is anticipated this summer and will turn DotNetInvoice into a software-on-demand service.

Maybe now is the time for startups to step on the gas.


The Other German Software Company – Software AG – Hits $1 Billion In Sales

March 20, 2009

Germany’s other software company – Software AG – announced a milestone on Friday: 2008 revenue passed $1 billion for the first time.

Software AG is benefiting from its acquisition of webMethods

Software AG is benefiting from its acquisition of webMethods

The company sees more growth ahead. This year, sales are projected to grow 4 percent to 8 percent with margins improving.

The firm isn’t the only business software maker to dodge the worst of the economic firestorm sweeping the globe. This week Oracle also impressed Wall Street with its steady financial results.

Part of the explanation is the software business model. Customers pay regular, annual fees to maintain their software and receive updates. At Software AG, 60 percent of revenue and 70 percent of profits come from maintenance, upgrades and follow-on business.

But the company says as well that software continue to be a priority purchase for corporations determined to cut costs, find new efficiencies and position their businesses for growth.

The developer, which gets far fewer headlines than Germany’s SAP,  also is benefiting from its 2007 acquisition of webMethods. WebMethods has “become the company’s growth engine,” accounting for 44 percent of revenue in 2008, according to an e-mail.


Coach Potatoes Now View Laptops As They Watch TV

March 9, 2009

New living room habits are changing the way people watch television: today’s coach potato frequently balances a computer on his or her lap.

More than 66 million consumers camp out on the sofa with laptops

More than 66 million consumers camp out on the sofa with laptops

According to In-Stat, more than 66 million U.S. consumer curl up with laptops as the camp out on the sofa watching the tube.

The trend is most common among men. A recent survey found between 40 percent and 50 percent of some male age groups use laptops while watching TV, In-Stat reported on Monday.

About 30 percent of women under 40 years old also navigate a PC while viewing TV.

This emerging trend presents cable operators and other broadcast outlets with new opportunities to synchronized programming with Web content – especially since it represents little in the way of new costs, said analyst Gerry Kaufhold.

However, before operators count their chickens, the downturn is expected to trim $5 billion from consumer spending on broadband, pay television services and mobile services, In-Stat says.

About 15 percent of consumers plan to cut back during the next 12 months. This will be most common among households with incomes below $35,000.


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