We present novel evidence on the effects of advancedtechnologies on employment, skill demand, and firmperformance. The main finding is that advanced technologiesled to increases in employment and no change inskill composition. Our main research design focuses ona technology subsidy program in Finland that inducedsharp increases in technology investment in manufacturingfirms. Our data directly measure multiple technologiesand skills and track firms and workers overtime. We demonstrate novel text analysis and machinelearning methods to perform matching and to measurespecific technological changes. To explain our findings,we outline a theoretical framework that contrasts twotypes of technological change: process versus product.We document that firms used new technologies to producenew types of output rather than replace workerswith technologies within the same type of production.The results contrast with the ideas that technologiesnecessarily replace workers or are skill biased.