The inaugural State of the Delaware Tech Economy Report, published by Technical.ly, provides an in-depth analysis of the people, data and trends that shape the First State’s innovation ecosystem. The report, which is supported by the Delaware Prosperity Partnership, highlights the strengths and challenges of Delaware’s tech economy, as well as the opportunities and threats for the future.
Delaware’s tech economy in numbers
According to the report, Delaware’s tech economy employs about 29,000 people, or 6.4% of the state’s total workforce. This is slightly below the national average of 7.1%, but higher than some neighboring states like Pennsylvania (5.9%) and Maryland (5.8%). The report also estimates that there are about 1,300 tech companies in Delaware, ranging from startups to established corporations.
The report uses several indicators to measure the health and vitality of Delaware’s tech economy, such as:
- Venture capital: Delaware ranked 25th in the nation for venture capital investment in 2022, with $142 million raised by 24 companies. This is a significant increase from 2021, when Delaware ranked 32nd with $87 million raised by 18 companies. The report attributes this growth to the success of companies like Prelude Therapeutics, Incyte, and Carvertise, as well as the emergence of new funds like Delaware Crossing Investor Group and First State Fintech Lab.
- Innovation: Delaware ranked 11th in the nation for innovation in 2022, according to the Bloomberg Innovation Index, which measures factors such as research and development, patent activity, and STEM education. Delaware scored particularly high on patent activity, ranking 4th in the nation for patents per capita. The report cites the presence of world-class research institutions like the University of Delaware, Delaware State University, and ChristianaCare, as well as the legacy of innovation from companies like DuPont, Gore, and Chemours, as drivers of Delaware’s innovation capacity.
- Diversity: Delaware ranked 16th in the nation for diversity in tech in 2022, according to the CompTIA Cyberstates report, which measures the representation of women, Black, Hispanic, and Asian workers in tech occupations. Delaware’s tech workforce is 34% female, 12% Black, 5% Hispanic, and 11% Asian, compared to the national averages of 28%, 8%, 8%, and 12%, respectively. The report acknowledges the efforts of organizations like Tech Impact, Zip Code Wilmington, and Delaware Prosperity Partnership, as well as initiatives like the Delaware Data Innovation Lab and the Delaware STEM Council, to promote diversity and inclusion in tech.
Delaware’s tech economy in stories
The report also features some of the most compelling stories and profiles from Technical.ly’s journalism, covering topics such as:
- Thriving: How Delaware’s tech community adapted and thrived during the COVID-19 pandemic, leveraging its resilience, collaboration, and creativity to overcome challenges and seize opportunities. The report showcases examples of how tech companies pivoted, innovated, and supported each other and the broader community during the crisis, such as Prelude Therapeutics, which developed a potential treatment for COVID-19; WhyFly, which provided free internet access to low-income families; and The Mill, which launched a virtual coworking platform.
- RealLIST: Who are the most influential and impactful people and companies in Delaware’s tech ecosystem, according to Technical.ly’s annual RealLISTs. The report highlights the achievements and contributions of the RealLIST Startups, which features the most promising early-stage tech companies in Delaware; the RealLIST Engineers, which features the most talented and influential software developers in Delaware; and the RealLIST Connectors, which features the most connected and supportive community builders in Delaware.
- Data: What are the most important and interesting data points and trends that reveal the state of Delaware’s tech economy, according to Technical.ly’s original research and analysis. The report presents data visualizations and insights on topics such as the distribution and concentration of tech jobs and companies in Delaware; the salary and skill levels of tech workers in Delaware; and the funding and exit activity of tech companies in Delaware.
Delaware’s tech economy in perspective
The report concludes with a SWOT analysis of Delaware’s tech economy, identifying its strengths, weaknesses, opportunities, and threats, as well as some recommendations and best practices for enhancing its growth and competitiveness. Some of the key takeaways from the analysis are:
- Strengths: Delaware’s tech economy benefits from its strategic location, business-friendly environment, strong innovation culture, diverse talent pool, and supportive community. Delaware’s tech economy is also well-positioned to capitalize on emerging sectors such as biotech, fintech, and cybersecurity, where it has a competitive edge and a track record of success.
- Weaknesses: Delaware’s tech economy faces challenges such as a small market size, a limited talent pipeline, a lack of visibility and awareness, and a gap in early-stage funding. Delaware’s tech economy also needs to address some of the systemic issues that affect its inclusivity and sustainability, such as the digital divide, the education gap, and the environmental impact.
- Opportunities: Delaware’s tech economy has the potential to leverage its strengths and overcome its weaknesses by pursuing opportunities such as attracting and retaining more tech talent and companies, fostering more collaboration and partnerships, enhancing its branding and marketing, and increasing its social and civic engagement. Delaware’s tech economy also has the opportunity to tap into the global and regional trends that are shaping the future of tech, such as remote work, digital transformation, and social impact.
- Threats: Delaware’s tech economy faces threats from both internal and external factors, such as the uncertainty and volatility of the post-pandemic recovery, the competition and disruption from other tech hubs, the regulatory and ethical challenges of emerging technologies, and the security and privacy risks of cyberattacks and data breaches. Delaware’s tech economy needs to be prepared and proactive in addressing these threats, by building its resilience, agility, and adaptability.
The State of the Delaware Tech Economy Report is a valuable resource for anyone who is interested in learning more about Delaware’s tech economy, its achievements and challenges, and its prospects and potential. The report is available for free download from Technical.ly’s website.
