A Thriving Technology Cluster
Some of the greatest technological advances of the twentieth century – the transistor, fiber optics, digital cellular and LCD technology, barcoding, C++ programming and more – were born in New Jersey. This legacy of innovation continues today.
At companies, research centers and universities around our State, the next generation of visionaries are developing the technologies that change the way we live today and propel us into a future of endless possibilities. From cloud computing to augmented intelligence – from radical new transceiver chip technology to dynamic network infrastructures – New Jersey scientists and engineers are pushing the boundaries of innovation.
In fact, nearly 4,500 patents for advances in electrical computing, digital processing, data systems, information security, semiconductor devises and telecommunications were awarded to New Jersey inventors in 2 years alone, ranking the State among the top 5 innovation states in the U.S. by CompTia.
The number of technology start-ups and new tech business establishments in our State is growing too. Nearly 1,250 new ventures took root in New Jersey, up 21% year over year. Despite its size – the 4th smallest state in the Continental U.S. – New Jersey ranked #5 for net-new tech business establishment growth year over year.
With more than 16,100 tech business establishments and a legacy of innovation, technology companies of all sizes – from global leaders to disruptive start-ups – have discovered New Jersey has the assets and resources they need to develop the technological advances of tomorrow.
Highly Educated, Highly Skilled
One of the reasons New Jersey’s technology cluster is flourishing is its highly-educated tech-savvy workforce, making it easy to recruit top talent. The State’s growing sector boasts a workforce of more than 214,700, including more than 15,000 computer programmers, nearly 41,500 software developers and applications engineers, and 14,370 computer systems analysts. The New Jersey/New York metropolitan statistical area has the largest base of tech sector employment in the U.S.
Thanks to the State’s world-class colleges and universities, technology companies can tap into an ever-growing pool of qualified, tech-savvy talent. Nearly 7,000 students graduate with computer science-related bachelor’s degrees from New Jersey’s colleges and universities each year. More than 4,700 computer science-related graduate degrees are awarded from higher education institutions in our State annually.
Princeton University has one of the top 10 graduate programs in Computer Science in the country, according to U.S. News & World Report’s annual college rankings. Our institutions of higher education also offer top-notch programs in specialized technology, including Financial Technology and Engineering, Cybersecurity, Game Development, Informatics and Entrepreneurship, which are preparing today’s students to meet the challenges of a constantly evolving industry.
Tech Industry Workers
Software & Application Developers
BACHELORS DEGREES AWARDED ANNUALLY
New Jersey’s strategic location in the heart of the U.S. Northeast Corridor, with proximity to both New York City and Philadelphia, has made it an attractive place for technology companies to do business.
The State’s competitive real estate market offers prime, yet less expensive, options than its New York City neighbor. New Jersey cities such as Newark and Jersey City have become increasingly popular with a growing number of early-stage tech companies looking for affordable incubator, accelerator or co-working space. Established technology companies are drawn to the State’s more affordable real estate and state-of-the-art broadband capabilities.
"I consider Audible's move to Newark one of the best decisions we've made as a company. Newark's transportation advantages, its convenience to New York City, its many cultural amenities and the presence of more than 40,000 college students should all accrue to the creation of a vibrant growth economy environment."
Broadband connectivity in New Jersey is the best in the nation. Ranked the #1 Most Connected State in the U.S. by Broadbandnow.com, nearly 99% of the State’s population has access to wireline service and 64% also have access to fiber optic service. In addition, over 98% of businesses have access to broadband 100 mbps or faster.
Many of New Jersey’s cities offer lightning-fast Wi-Fi and a vast web of fiber optic cable to support companies that require high-speed connections. In fact, four cities – Newark, Jersey City, Paterson and Elizabeth – dominated fDi Magazine’s 2017-2018 American Cities of the Future Connectivity rankings, taking four of the top six positions.
With connectivity of 10 gigabits per second – a speed light years ahead of typical internet connections – Newark has the best fiber optic network in the world.
MOST CONNECTED STATE IN THE U.S.
GIGABITS PER SECOND (NEWARK CONNECTIVITY)
HAVE ACCESS TO WIRED BROADBAND 100 MBPS OR HIGHER
A Leader in Communications & Information Technology
For more than 80 years, researchers at Bell Labs in Holmdel developed the breakthrough inventions that would usher in the modern age. Today, information and communications technology (ICT) companies of all sizes are continuing New Jersey’s rich legacy of discovery.
The two largest telecommunications companies in the U.S. – Verizon and AT&T – both have major facilities in New Jersey. In fact, Verizon employs 3,900 people at its 1.4 million-square-foot operations center in Basking Ridge.
Global giant AT&T monitors the activity and performance of its infrastructure from its Global Network Operations Center in Bedminster. And at AT&T Labs Research Institute in Middletown, renowned researchers recognized for their scientific and technical achievements are discovering real-world networking, data mining, cloud computing and video processing solutions to propel tomorrow’s technological advances.
Nokia Bell Labs continues to conduct innovative and game-changing research around the big issues affecting the ICT industry at its research center in Murray Hill. Its Crawford Hill facility, located in Holmdel Township about 3 miles from the former Bell Labs Holmdel location, continues to be a leading center of wireless and optical research.
At Bell Works, the former site of Bell Labs in Holmdel, innovation also continues. ICT companies iCIMS, WorkWave, Acadia Communications, EtherFAX, Vydia and others are developing the cutting-edge technologies of tomorrow at the 2-million-square-foot building that shaped the technological advances of the twentieth century. Reimagined as a fully-contained “metroburb”, Bell Works offers companies in the technology sector an environment that includes spaces for collaboration and community.
As the Internet of Things continues to permeate every industry sector and every aspect of our lives, it’s not surprising that companies in many sectors have come to rely on New Jersey’s highly educated workforce to develop the technologies that will give them a competitive advantage.
For example, UPS chose to locate its new Technology Development Center in New Jersey to advance the technologies that keep their fleet operating more efficiently. The four-story building in Parsippany is outfitted with enhanced communications systems to connect UPS technologists and business units around the world. The building will ultimately house approximately 1,000 technology workers of the 4,500 UPS employs worldwide.
Cognizant, a multinational corporation with more than 260,000 employees at offices worldwide, chose to locate its headquarters in Teaneck. One of the world’s leading professional services companies, Cognizant provides digital business, digital operations, digital systems and IT infrastructure services to businesses in a wide variety of sectors including consumer goods, healthcare, life sciences, manufacturing, logistics, as well as the banking and financial sector, to help them grow and thrive in the digital economy.
A Robust FinTech Sector
The emerging FinTech sector, the industry that delivers financial services such as debit rewards, social investing, credit and next-generation online banking platforms, is booming in northeastern New Jersey due to the region’s proximity to Wall Street, highly-educated workforce and state-of-the-art broadband network.
In fact, companies in the FinTech space are choosing New Jersey in record numbers. BNY Mellon recently located one of its six Global Innovation Centers in Jersey City. Goldman Sachs, JPMorgan Chase, RBC Capital Markets and other global giants have relocated thousands of employees that once occupied space in New York City.
New Jersey is now home to the headquarters of 3 of the world’s top 100 FinTech companies: IPC, Cognizant, and Collabera. Broadridge Financial Solutions recently cut the ribbon on its new 160,000-square foot office in Newark, which will house 1,000 employees.
In addition to the proven reliability of the State’s infrastructure, the growth of our FinTech sector is being fueled by the availability of finance and technology-focused programs at New Jersey’s world-class universities.
Stevens Institute of Technology in Hoboken offers a highly-specialized Quantitative Finance program where students receive Bloomberg Certification in their freshman year. The first university in the nation to develop a PhD program in Financial Engineering, Stevens also offers undergraduate and graduate students practical “hands on” experience at its Hanlon Financial Systems Lab. The Lab is a state-of-the-art research and teaching facility that integrates the latest hardware and software technologies to access real-time and historical data to support advanced financial research.
At New Jersey Institute of Technology (NJIT) in Newark, students and faculty are collaborating with the financial industry and innovative start-up companies to test new disruptive technologies at it Financial Services Innovation Lab. Other New Jersey universities, including top ranked Princeton University and Rutgers, the State University of New Jersey, also are educating FinTech’s future leaders and innovators.
HOME OF BIG DATA
Given New Jersey’s proximity to New York City and infrastructure, which includes miles of underground fiber and a connection to the undersea internet cables running between North America and Europe, it should come as no surprise that New Jersey has a robust data center market.
In fact, New Jersey is home to 2.14 million square feet of data center space, representing 234 megawatts of commissioned power, according to research from DatacenterHawk, making it one of the leading geographic markets for data center space in the country. Most of the data centers are located in northern and central New Jersey.
As the need to store, manage, and disseminate data continues to grow, so will New Jersey’s data center market. Financial institutions like the New York Stock Exchange and the Federal Reserve Bank of New York already run most of their transactions through New Jersey data centers. CenturyLink, Digital Realty, Telx, Equinix and CoreSite are among the many companies that have invested in the New Jersey data center market.
Rutgers, the State University of New Jersey, also is home of the New Jersey Dig Data Alliance (NBIJDA), a consortium of the State’s higher education institutions to bring together the diverse advanced cyberinfrastructure resources and talent housed at the State’s universities. The assets and resources of a dozen universities across the State are part of the Alliance including the Caliburn computing system at Rutgers, the Center for Big Data at NJIT and the Virtual Reality Center at Rowan University.
Incubators, Accelerators and Co-Working Spaces
New Jersey is home to a robust network of incubators, accelerators and co-working spaces to support the growth and development of start-up and early-stage technology companies. Here are just a few:
- Enterprise Development Center at NJIT (Newark)
- Newark Venture Partners Accelerator (Newark)
- Philadelphia 76ers Innovation Lab (Camden)
- Picatinny Innovation Center (Dover)
- Princeton Innovation Center (Plainsboro)
- Stevens Venture Center at Stevens Institute of Technology (Hoboken)
- South Jersey Technology Park at Rowan University (Mullica Hill)
- TechLaunch BullPen
- Tigerlabs Accelerator at Princeton University (Princeton)
- Waterfront Lab and Coworking (Camden)
- =SPACE Sharespace & Incubator (Newark)
Top New Jersey Tech Companies
Many leading and growing tech companies have headquarters or operations in New Jersey. Here are just a few:
|DLC - Technology Solutions|
|Universal Display Corp.|
Incentives to support growth
New Jersey offers a number of attractive incentives for qualified technology companies, including incentives specifically created to support start-up and early- stage companies.
Technology Business Tax Certiﬁcate Transfer Program (NOL)
This incentive gives companies the ability to sell their net operating tax losses and R&D tax credits for non-dilutive operating capital.
Angel Investor Tax Credit Program
Provides refundable tax credits against New Jersey corporation business or gross income tax.