Australian Tech Start Ups Stir Amid Nascent Economic Transition

A sharp fall in the prices of Australia’s main exports, iron ore and coal, has squeezed profits, lifted the jobless rate to decade highs above 6 per cent, and produced sluggish growth. Amid the gloom, however, the tech sector is showing signs of life. Some believe it could, along with tourism and education services, become a growth engine helping to rebalance the economy. Last year the export value of services overtook that of iron ore. Australia’s information, media and technology industry remains smaller than mining, accounting for 3 per cent of the economy in June 2014, against 8.9 per cent for resources. But after years of stagnation, employment in the sector has grown to make up 1.9 per cent of the workforce, up from 1.7 per cent in 2013... The Australian Stock Exchange is targeting tech companies to reduce reliance on resources and banking. Last year there were 13 tech and telecoms initial public offerings, equivalent to the previous five years combined. More than a dozen struggling resource companies on the ASX were bought by tech companies in “backdoor listings” (Subscription Required) (VIEW LINK)