Boulder Has Key Ingredients for Cooking Up New Startups
The east coast and the west coast have some of the highest profile high tech communities in the country. But Boulder is the top metro area for technology startups in the United States, according to the Ewing Marion Kauffman Foundation.
A study from the foundation calculates that Boulder has the highest density of startups, beating out Boston, Silicon Valley, Seattle, and Washington, D.C., among others. The metro area closest to Boulder for tech startup density was San Jose-Sunnyvale-Santa Clara, California. Boulder’s comparatively smaller size weighed strongly in the city’s favor in the Kauffman analysis. The foundation says that a big tech presence in a smaller market means that high-tech startups have an even bigger economic impact in their communities.
The Kauffman analysis finds that high-tech startups are forming at a higher rate compared to all other private-sector businesss. In compiling the report, Kauffman used data from Business Dynamics Statistics, an annual measure of factors that are crucial measures in evaluating business, including job creation, job loss, births, deaths, and business starts and closures. This annual report uses data compiled by the U.S. Census Bureau.
The metro areas with the highest density for tech startups have characteristics that alone or in combination feed a startup economy, the Kauffman report says. These cities are well-known tech hubs with skilled workforces to match; the defense and aerospace industries keep a strong presence in these communities; and they’re also university cities.
Boulder has all three ingredients. The city’s economy is driven by science and technology – technology giant IBM is the city’s largest company employing approximately 2,800 people. The aerospace industry has a strong presence, including Sierra Nevada Corporation’s “Dream Chaser” project, which aims to make a spacecraft that could be a successor to the Space Shuttle. And research percolates from the University of Colorado, which is making headway in new biotechnology research. Boulder has the ingredients that feeds this kind of economic growth. Come check it out.