Biden Administration Invests $504 Million in 12 Tech Hubs Nationwide

Biden Administration Invests $504 Million in 12 Tech Hubs Nationwide
Commerce Secretary Gina Raimondo on Capitol Hill, on Oct. 4, 2023. (Saul Loeb/AFP via Getty Images)

WASHINGTON—Over the past twenty years, technological innovation has mainly been concentrated in traditional tech hubs like California, New York, and Massachusetts. The Biden administration is now looking to broaden this potential, providing smaller tech hubs across the country with more opportunities to grow.

As part of the effort, the administration on July 2 announced $504 million in funding for 12 regional tech hubs to support the growth of critical technologies and sectors such as semiconductors, biotechnology, artificial intelligence, quantum computing, and clean energy.

“These Tech Hubs will give regions across our nation the resources and opportunities necessary to lead in the economy of tomorrow while creating good-paying jobs for American workers,” Vice President Kamala Harris said in a statement.

The U.S. Department of Commerce received nearly 400 applications for the fund last year.

In October 2023, the administration announced the designation of 31 tech hubs in 32 states and Puerto Rico, which was the first phase of funding authorized by President Biden’s CHIPS and Science Act.

For the next round of funding, the program is announcing 12 winners, spanning 14 states—Colorado, Florida, Georgia, Illinois, Indiana, Montana, Nevada, New Hampshire, New Mexico, New York, Ohio, Oklahoma, South Carolina, and Wisconsin.

Each winner will receive a grant of up to $51 million to help strengthen critical industries in their communities, the White House said.

“These tech hubs will allow Americans to pursue careers in leading technology fields at home,” according to U.S. Secretary of Commerce Gina Raimondo.

“People won’t have to move and live in one of the few American cities that have historically been tech eco centers,” she said during a call with reporters on July 1.

Among the recipients of funding are Headwaters Hub in Montana, Heartland BioWorks in Indiana, and Sustainable Polymers Tech Hub in Ohio.

Ms. Raimondo also noted that the U.S. tech ecosystem is “far too concentrated,” adding that 90 percent of new tech jobs have gone to only five cities around the country in the past two decades.

“The reality is that there are smart people, great entrepreneurs and leading-edge research institutions all across the country, and we’re leaving so much potential on the table if we don’t get them the resources to compete and win in the tech sectors.”

She said that the president has asked Congress to provide more funding to help grow more tech hubs across the country.

The CHIPS and Science Act of 2022 authorized $10 billion for the program over five years.

According to a senior administration official, the president’s budget has requested an extra $4 billion for the initiative in the fiscal year 2025 budget.

From The Epoch Times