When I reached out to Robbie Melton, executive director and CEO of the state鈥檚 High Technology Development Corporation (HTDC), on the premise of talking with the organization鈥檚 鈥渘ew鈥 leader, I was shocked when she mentioned that she鈥檇 been there for an entire year.
Wow, where does the time go? But, more importantly, what has Melton been up to this whole time? And what鈥檚 on HTDC鈥檚 to-do list for 2015?
Established in 1983, HTDC鈥檚 mission is to 鈥渉elp develop and retain high tech in Hawaii.鈥 Its core initiatives are to provide incubation facilities, business development services, access to technology and research grants, and to support workforce development.
Aligned with that mission, Melton鈥檚 pet project is the so-called 鈥80/80鈥 plan, which aims to create 80,000 new technology jobs with salaries of at least $80,000 by 2030.
鈥淭ech isn鈥檛 just software or hardware or telcom, which is what pops into everyone鈥檚 mind,鈥 Melton explained as we began our conversation.
鈥淚t鈥檚 more than that, especially for Hawaii, and it has to be. There鈥檚 biotech, ag tech, aquaculture. Tech is everywhere, and we want to focus on its long-term development for Hawaii.”
But it鈥檚 difficult getting people to focus on 鈥渢ech鈥 as more than just iPhone apps and Uber, which is why Melton and the HTDC team hit the road late last year for a 鈥淪PIN Crawl鈥 tour of Honolulu鈥檚 鈥渟tartup paradise innovation network.鈥 (Get it, S.P.I.N.?)
They set up the event for legislators because Melton recognized early on that leading HTDC was also going to be a difficult crawl.
鈥淲hen I came, people said, 鈥楬TDC? That鈥檚 the incubator in Manoa, right?鈥 But we鈥檙e so much more than that. We want to develop the entire tech industry in the state, explain to people what an incubator is and why it鈥檚 important, and show how the local co-working spaces and accelerators fit into the whole picture.鈥
鈥淚 can see that there鈥檚 a hub building around tech in Hawaii. It gives me hope. It gave me hope before I moved back here. And I think that I can make a difference.” 鈥 Robbie Melton
The 80/80 jobs plan was announced at the SPIN Crawl, and it鈥檚 a pretty lofty goal, especially for a region with little to no existing tech jobs.
At least that鈥檚 what I thought.
鈥淎ccording to the Hawaii Business Roundtable, there are about 76,000 tech positions in Hawaii today,鈥 Melton added.
Wait, what? Seventy-six-thousand tech jobs? In Hawaii? Where?
Looking at the data for tech jobs that was included in Enterprise Honolulu鈥檚 recent 鈥淭he Innovation Framework Forward鈥 report, and assuming it鈥檚 similar to HBR鈥檚 (because they reference HBR鈥檚 research), they鈥檙e using a very broad definition of 鈥渢echnology.鈥 While they include obvious professions, such as computer support specialists, they also count the not-so-obvious, such as architects, surveyors, psychologists, and social scientists.
The Innovation Framework Forward report explains that HBR used a 鈥渟tandard method of sizing an industry,鈥 which means that the chef employed by Google is considered a tech worker just as the software developer employed by Marriott is a tourism worker. (That鈥檚 called politician鈥檚 math, I think.) Anyway, since HBR鈥檚 report has yet to be released, we鈥檒l have to wait to see its math.
But still, 80,000 new jobs is a lot, regardless of their category. And, $80,000 is a nice salary for Hawaii, especially given that the 2013 average salary for science, technology, engineering and math (STEM) jobs is under $63,000 in Hawaii. (Although, keeping pace with just 1 percent annual inflation, that $63K will be $73K in 2030, so there鈥檚 not much growth required to hit HTDC鈥檚 80/80 salary goal.)
Talk of salaries prompted Melton to relay her own story, and how she had to take a significant pay cut to return home to Hawaii, even though the cost of living is higher than what she was used to near the nation鈥檚 capital. Hawaii needs more higher-wage jobs, obviously, and Melton thinks that tech is the most-promising path.
鈥淚 can see that there鈥檚 a hub building around tech in Hawaii. It gives me hope. It gave me hope before I moved back here. And I think that I can make a difference. I think that someone has to figure out what鈥檚 missing here, and I have the added experience to help make things happen in government.鈥
鈥淎ccording to the Hawaii Business Roundtable, there are about 76,000 tech positions in Hawaii today.鈥 鈥 Robbie Melton
And then the talk turns to innovation, which seems to be the buzzword of the decade.
鈥淚nnovation is happening everywhere, not just in the city,鈥 Melton explained.
鈥淭ech is part of innovation. It鈥檚 new processes, new ways of doing things, creative ideas. 鈥楻esistance to change鈥 is an old mantra, and it鈥檚 no longer true here. Things here are changing, evolving. And if we want to help the economy, if companies in Hawaii want to help the local economy, then we have to think big.鈥
So what is HTDC鈥檚 big thinking for 2015? When pressed about HTDC鈥檚 focus for the year, Melton offered up a few areas of interest, including broadband, tech parks, and more funding for existing programs, all helping to support the 80/80 plan.
鈥淭he lack of broadband here is squashing business, but it has to be affordable for everyone so we need to do something there. There鈥檚 a new research and development tax credit, but it鈥檚 only for incremental R&D dollars so it鈥檚 not going to be very useful. We want more funding for those types of programs, ones that give businesses an incentive to innovate and add tech jobs.鈥
And therein lies the crux of the challenge for Hawaii: we need to incentivize companies to innovate and add tech jobs. We need to use taxpayer dollars to educate business owners on why running a 鈥渓ifestyle business鈥 isn鈥檛 helping our economy, it鈥檚 hurting it. That growing a business isn鈥檛 a burden, and that being innovative is good for business.
But then that鈥檚 not free-market capitalism, is it? That doesn鈥檛 mesh with the #LuckyWeLiveHawaii lifestyle, does it?
It鈥檚 almost as if we鈥檙e trying to recreate Silicon Valley in a place that has no desire to ever be anything but Hawaii.
Why bother?
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About the Author
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Jason Rushin has nearly 20 years of experience in software marketing, consulting, and engineering, and currently works as a marketing consultant for high tech clients, both locally and in Silicon Valley. Prior to relocating to Hawaii in 2010, he led marketing at several Silicon Valley software startups. Once in Hawaii, he launched and subsequently sold his own startup, and has been an active supporter of Hawaii鈥檚 small-but-growing startup ecosystem. Jason holds a BS in Mechanical Engineering from University of Pittsburgh at Johnstown and an MBA from Carnegie Mellon University.