The economy is feeling the affects of the banking woes over the last month as Lehman Brothers filed for bankruptcy, Bank of America acquired Merrill Lynch and companies ranging from Washington Mutual to AIG are at the point of no return.

This crunch is now making its way over to the tech sector. The latest news on AMD splitting off its manufacturing operations, Yahoo shares hit lowest in 5 years (closing at $15.31), Ebay to layoff 10% of its workforce and HP cuts 25,000 jobs.

Can the tech sector survive?

In most cases some jobs will be in demand, such as;

Infrastructure consolidation projects will last for years. IT spending surveys indicate a demand for consultants.

Project managers will be in demand. Systems integration skills will be critical and you’ll need project managers to consolidate all of those applications and data centers as well as re-architect systems according to ZDNet Larry Dignan.

The bad news:

There will be an increase in available technology professionals which will potentially drive down wages. Developers, engineers and data center workers will all be looking for jobs as many of the hard hit Wall Street firms begin to consolidate systems and infrastructure. This may be the best time to hire If you’re in the market for talent.