Maryland had a vision 25 years ago to support technology-based development and growth; since inception, TEDCO—the Maryland Technology Development Corporation, also known as the economic engine for Maryland’s technology companies—has taken great strides in building a diverse, innovative, and sustainable ecosystem.
However, we cannot be complacent. TEDCO is the hub of Maryland’s innovation ecosystem, but to maintain this standing, we must continue to move forward, envision bold responses to challenges facing the entrepreneurial community, and continue investing in programs that support diversity and inclusion. Through these practices, TEDCO will continue to be a leader in supporting translational research and technology-based, economic and entrepreneurial development while also supporting the growth of a sustainable state-wide ecosystem.
How TEDCO Started
TEDCO was created in 1998 by the Maryland General Assembly to address an array of start-up issues, including a lack of access to capital and limited understanding of commercialization when it came to tech transfer by academic researchers. TEDCO’s early charge was to 1) facilitate the transfer and commercialization of technology from Maryland’s research universities and federal labs to the marketplace; and 2) support the creation and growth of technology-based businesses across the state of Maryland.
We owe a debt of gratitude to the visionary legislators and TEDCO board members who understood the need for TEDCO, as well as the tireless team members who got a fledging organization up and going, developing the tools, programs, processes, and connections that could help Maryland tech start-ups succeed.
How It’s Going
25 years later, we are proud of our collective work; TEDCO is a key driver in both the development and expansion of Maryland’s entrepreneurial and innovation driven economy. In a 2021 economic and fiscal analysis by the University of Baltimore’s Jacob France Institute, researchers found that Maryland has received significant and growing economic benefits from its investment in TEDCO. The report found that in 2021:
When multiplier effects are included, the companies created or supported by the six core TEDCO programs generated a total of $2.3 billion in Maryland economic activity. Those companies also supported a total of 10,433 jobs, earned $884.7 million in labor income, and generated estimated state and local government revenues of $100.1 million.
This impact is due to the success of important programs and resources at TEDCO, from mentoring and marketing supports to tech transfer and funding for promising STEM start-ups. Those programs include:
- The nationally recognized Maryland Innovation Initiative Fund helps identify promising technologies with significant commercial potential from Maryland academic research institutions and accelerates them to market.
- The Maryland Stem Cell Research Fund accelerates human stem cell- based research and cures through grants to public and private entities in the State.
- TEDCO’s federal programs work with Maryland’s Federal labs and entrepreneurs to bring innovations to market.
- Social Impact Funds are designed to engage and invest in economically underserved founders, with the goal of optimizing the path to follow-on funding and embracing diversity, equality, and inclusion in Maryland’s start-up communities.
- Seed Funds and Venture Funds support early-stage companies with growth potential.
- The Rural Business Innovation Initiative Fund supports the growth of technology-based companies in the rural areas of Maryland.
- TEDCO’s Development and Marketing department not only amplifies the stories of local STEM entrepreneurs, it also educates the public about TEDCO’s programs and funding, inviting them to explore programs that might work for their start-ups.
Where We’re Heading: A Nation-Leading Vision
Maryland is not alone in setting our sights on the very important areas of supporting entrepreneurship, innovation and technology commercialization. We’ve seen many other states and entities adopt this economic development strategy. According to the Information Technology and Innovation Foundation, “Start-ups in technology-based industries benefit the economy in a number of ways: they create many high-paying jobs; they invest heavily in R&D; and they are more likely to export their goods and services.”
The Governor’s administration, the Maryland General Assembly, and all of us at TEDCO know the importance of innovation and are aware of the competition as well as another challenge: the recently completed Maryland Innovation Competitiveness Study warned of a slowing growth rate that that could negatively impact job opportunities and the state economy.
The solution? Maryland must create more opportunities for a larger and more diverse workforce if we want to continue an upward trajectory as an innovation powerhouse. That includes supporting and increasing the opportunities for underrepresented individuals to get into high technology-based education, careers and entrepreneurial activities. The new Cultivate Maryland Initiative does just that, focusing on creating inclusive tech and startup activity.
Retaining and supporting our talented Maryland-based entrepreneurs and workers ensures founders, workforce, mentors, investors and thought leaders are included and active in shaping the tech ecosystem and workforce.
Innovation is in the air at TEDCO; like the entrepreneurs we serve, our organization is not one to stand still; we are constantly seeking new ways to innovate, grow and include. This last year alone we’ve expanded our funds to include up to $50 million in new federal SSBCI funding, created a mentoring pilot program to support women-led start-ups, and put out calls for proposals for a new Maryland Makerspace Initiative.
What remains constant: TEDCO’s team is committed to our mission, vision and core values of accountability, collaboration, integrity, respect and stewardship. When it comes to celebrating our Silver Anniversary, I can’t imagine a better time, place or team in which to recommit to our vision—and think about how best to ensure a Golden Anniversary in the years to come.