Economic contribution of telecommunication companies serving Greater Minnesota
Key findings for communities
- The total economic contribution of the telecommunications industry serving Greater Minnesota in 2011 was an estimated $1.3 billion.
- The industry itself directly made an estimated $870 million worth of expenditures in 2011, including operations, wages and salaries, and capital improvements.
- Suppliers to the telecommunications industry directly employed an estimated 600 people in order to provide goods and services.
- Overall, the telecommunications industry had the highest spin-off effects in construction, restaurant, health care, housing, wholesale trade, and retail industries.
About this study
The report is a summary of the results of a recent University of Minnesota Extension study titled “The Economic Contribution of Telecommunication Companies Serving Greater Minnesota.”
There are 48 telecommunication holding companies serving customers in Greater Minnesota. Sixteen responded to a confidential survey regarding their employment and expenses. While taxes are not considered in the economic contribution study, telecommunication companies paid an estimated $30 million in property, sales, and income taxes in 2011.
This analysis focuses on telecommunication companies (specifically, local exchange carriers) with customers in Greater Minnesota. See the full report for further definition and clarification. Telecommunication services are primary inputs for many businesses. This study does not attempt to measure the value of these services to Greater Minnesota’s economy.
Reviewed in 2012