Despite the highly partisan political climate in the United States, the Economic Development Administration (EDA) remains hopeful that the Tech Hubs program — a key federal initiative aimed at boosting economic competitiveness in industries like clean energy and quantum computing — will continue to thrive under the incoming Trump administration.
Bipartisan Support for Tech Hubs
Cristina Killingsworth, acting assistant secretary of commerce and economic development at the EDA, expressed optimism regarding the program’s future. During her recent tour of 13 of the 31 regions designated as Tech Hubs, she witnessed widespread bipartisan support from local officials, both Democrat and Republican. Killingsworth emphasized that while she could not guarantee continued funding, there is strong cross-party consensus on the need to bolster US economic competitiveness and national security.
In a briefing with reporters, she remarked:
“While I can’t predict whether or not there’s going to be additional funding… I can say that everybody is behind the idea of bolstering US economic competitiveness and US national security. And so, we’re hopeful that the program will continue for years to come.”
The Tech Hubs program was launched by the Biden administration as part of a broader push to strengthen the U.S. economy through investments in innovation, with a specific focus on cutting-edge industries such as biotechnology, semiconductors, and quantum computing.
The Roadmap Summit: A Showcase for Tech Advancements
Killingsworth’s comments were made ahead of the Roadmap Summit, a two-day conference hosted by the National Science Foundation (NSF) and EDA in Washington, D.C. The summit is set to highlight technological advancements funded by the national government, featuring panels and workshops on critical sectors like quantum technologies, semiconductors, and biotechnology. These industries have already received substantial backing from federal funding, and the summit aims to highlight ongoing efforts in these areas.
Tech Hubs: Progress and Funding Challenges
In July 2024, the EDA selected 12 regions for definitive funding from the Tech Hubs program. However, not all regions vying for funding were successful. Notably, Baltimore and Philadelphia were excluded from this round of funding, despite submitting strong proposals — Baltimore’s bid sought $70 million to enhance biomanufacturing capacity, job training, and startup investment networks, while Philadelphia’s proposal aimed to secure $80 million to support the development of precision medicine.
Despite this setback, regional leaders in both cities remain hopeful about securing future funding. The EDA has expressed interest in revisiting these and other regions as more funds become available.
Challenges with Funding Allocation
The Tech Hubs program has been allocated $10 billion under the CHIPS and Science Act of 2022 to help transform regional economies, but as of now, Congress has only appropriated $541 million — about 5% of the total funding. Killingsworth noted this discrepancy, acknowledging that more funding is essential for the program’s long-term success.
The limited funding has raised concerns about how effectively the program can scale, especially given the vast geographic scope and varied needs of the 31 regions initially designated as Tech Hubs.
The Future of Tech Hubs
Although funding challenges remain, Killingsworth and other EDA officials are confident that the Tech Hubs program can continue to thrive, regardless of who occupies the White House. The bipartisan nature of support, along with a shared commitment to economic competitiveness and national security, makes it likely that the program will endure under the Trump administration, provided that future funding allocations are secured.
With significant long-term potential for regional economic growth, the Tech Hubs program remains an important tool in the U.S.’s effort to lead in critical tech sectors globally. For now, EDA officials are focused on navigating the current funding challenges and ensuring the program’s continuation, while keeping an eye on opportunities for expansion as more resources become available.
