A new report from Google and PricewaterhouseCoopers has tipped that Australian businesses in the technology sector will be worth $109 billion within 20 years.

Tech talk

The PwC report, The Startup Economy, also predicted that local technology businesses will employ 500,000 people and contribute as much to the Australian economy as the retail and education sectors by 2033.

This contribution is expected to increase the country's GDP by four per cent.

The technology sector currently accounts for 0.01 per cent of the national economy and employs 9500 people.

Gaining global ground

There are currently around 1500 tech start-ups in Australia, with 64 per cent in Sydney and 24 per cent in Melbourne.

Australia currently ranks ahead of Israel and the UK as a preferred location to launch a technology-based business.

Suggested steps

For this tech boom to occur, the report suggest five steps needed to be implemented to facilitate the growth.

These include enhancing community engagement, attracting entrepreneurs with the right skills, opening up markets to Australian tech startups, encouraging early stage funding and improving regulation.

To read the full report visit digitalpulse.pwc.com.au.