Fueling innovation: How start-ups are shaping America’s future

May 06, 2024
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Fueling innovation: How start-ups are shaping America’s future

The data from the past decade reveals an interesting trend: the majority of venture capital funding has been concentrated in just three states – California, New York, and Massachusetts. Meanwhile, the other 47 states have been left to compete for the remaining 25 percent. However, there is a shift happening as 1,400 new regional venture firms have emerged in the last decade. This has resulted in a significant increase in venture capital investments in rising cities in the heart of the country.

This shift is promising, with success stories like Mailchimp in Atlanta, which was recently acquired for $12 billion, and Epic Systems in Madison, Wisconsin, a leading healthtech company. Additionally, companies like Carvana in Arizona, now valued at $8 billion, are making waves in their respective industries.

It’s worth noting that a growing number of disruptive companies are emerging outside of Silicon Valley, with two-thirds of the companies on CNBC’s “Disruptor 50” list coming from non-traditional tech hubs.

https://www.mckinsey.com/featured-insights/mckinsey-on-books/author-talks-steve-case-identifies-the-us-cities-driving-new-innovation-and-its-not-where-you-think

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