STATEMENT
of the
Honorable Nydia M. Velázquez, Chair
Committee on Small Business
Full Committee Hearing on Technology Agenda
Wednesday, March 7, 2007

I am very pleased to call to order this morning’s hearing on technology and telecommunications policy issues. 

These sectors are a major contributor to the U.S. economy and an engine for growth.  The IT sector contributes nearly $1 trillion to the U.S. GDP each year, and despite its size, will grow at more than 5 percent per year until 2009.  The technology industry employs more than 3 million Americans. According to the AeA, these jobs pay 85 percent more than the average private sector job.  These occupations, which come with benefits like healthcare and retirement, are the types of opportunities that we in Congress continue to talk about the economy needing to create.   

It is clear that innovation is leading the way in today’s economy and that small tech companies are at the forefront of this boom.  Employing over half of the nation’s scientists and engineers, small research and development oriented firms are at the heart of the industry’s innovative core.

Companies, both large and small, have helped usher-in the information wave.  Characterized by competition and seemingly continual re-invention of goods and services, the information economy has changed the way we go about our daily lives – from our work, to education and recreation.   

In order to sustain the environment that facilitated this rapid development, a number of challenges must be overcome.  From workforce and broadband access, to tax and international trade – we can not stress enough the importance of effective policies in these areas.

This morning, we begin the Committee’s work on technology and telecommunications issues, and take our first step towards strengthening the American business environment for innovation. 

I can tell you that this committee intends to be very engaged in this area.  Small businesses are some of the larger consumers and producers of advanced technology products.  Given the role of entrepreneurs in this nation’s economy, our focus will include American competitiveness and broadband policy.

It only makes sense that as Congress begins its work on advancing innovation and enhancing U.S. competitiveness, the interests of small business are a priority.  This committee will ensure entrepreneurial needs are taken into account in the policy process.  Our country’s continued leadership in technological development depends on it.

I would like to thank all of the witnesses for their testimony today, and invite you to continue to work with our committee as these issues develop.  I now recognize Mr. Chabot for his opening statement.