Rochester’s businesses benefit from a thriving innovation ecosystem

Later this month, hundreds of startups, researchers and technologists will gather in Rochester for the annual New York State Innovation Summit. It’s an exceptional setting for such an event — a region where some of our greatest ideas have sparked, caught fire and shaped global industries.

We all know Kodak, Xerox and Bausch and Lomb. Their contributions put Rochester on the map. But in today’s economy, innovation can come from anywhere. It’s distributed across startups, researchers, and solo entrepreneurs following a hunch. With support systems in place, we can help these smaller innovators — who are quietly building the foundation for our state’s next chapter — navigate the difficult journey from concept to commercialization.

It’s a long game. It takes commitment. New York has built an infrastructure through Empire State Development, and maintained it over decades, to ensure new technologies have a chance to reach their full potential.

Those of us who do this work, day in and day out, know the impacts. For example, the New York Manufacturing Extension Partnership, whose services include prototype assistance, generated $1.25 billion in economic activity while creating or retaining nearly 6,300 jobs in 2023. That’s just one program of many.

The wider lesson for the business community? Innovation is not a niche cause. It is a reliable way to grow our local economies, strengthen our workforce, and ensure prosperity flows across entire regions.

The downstream effects are broader than you’d think. An investment in a new medical technology or advanced manufacturing process doesn’t just create high-skilled jobs. It spurs demand for suppliers, logistics, construction, trades, professional services, retail and hospitality.

Consider the impact of one homegrown startup, having successfully commercialized an innovation, that grows from three employees to 50. That’s 50 new paychecks circulating through restaurants, auto dealerships, gyms, and coffee shops across Rochester. That’s 50 families paying mortgages, sending kids to local schools, and volunteering in community organizations.

Now consider the impacts over time. New York’s commitment to innovation has attracted multinational corporations such as Micron setting up shop not too far down the Thruway. Thousands of new jobs are coming to Central New York, which means additional hospitality and tourism for neighboring regions — day trips to places like The Strong National Museum of Play. Not to mention a greater need for specialized expertise in photonics, optics, and other areas crucial to the semiconductor supply chain.

The ripple effect is real. It is exactly why investments in innovation matter to every business. It translates directly into local jobs for people at every skill level. And as more residents earn family-sustaining wages, they generate demand for the full spectrum of goods and services that power Rochester’s small business economy.

For business leaders, this means innovation is not something happening “over there.” It is directly connected to your customer base and your bottom line.

The region faces a transformative opportunity as part of the federally designated New York Semiconductor Manufacturing and Research Technology Innovation Corridor (NY SMART I-Corridor Tech Hub). The region’s historic strengths in photonics and optics will strengthen the supply chain for Micron, Wolfspeed and others. I’m just as excited to see what all this activity means for the future of semiconductors. Innovations will surely bubble to the surface.

That’s where Empire State Development’s Division of Science, Technology and Innovation (NYSTAR) comes in. We fund a network of innovation support organizations — more than 80 of them — that help entrepreneurs and established companies bring their ideas closer to commercialization. Rochester is home to several: three Centers of Excellence: Advanced and Sustainable Manufacturing and Digital Game Development at Rochester Institute of Technology, Data Science and Artificial Intelligence at the University of Rochester, as well as RNA Research and Therapeutics at the University of Rochester; two Centers for Advanced Technology: the Center for Emerging and Innovative Sciences (CEIS) at the University of Rochester and the Additive Manufacturing and Multifunctional Printing (AMPrint) Center at RIT; as well as NextCorps being home to the Luminate accelerator and investment fund, the regional NY MEP center, and the Regional Hot Spot.

By leaning into our strengths in research, higher education, and applied technology, we are positioning the region to be a magnet for talent and investment.

Every business leader in Rochester has a stake. Whether you run a manufacturing firm, a professional services company, or a downtown storefront, your future customer base depends on the region’s ability to create good jobs. Innovation fuels those jobs.

Supporting innovation can be as simple as mentoring an entrepreneur, becoming a supplier to a local startup, or advocating for policies that strengthen Rochester’s innovation ecosystem. You could simply refer an entrepreneur to NYSTAR. Every little bit matters.

Rochester has always been defined by its innovators. Today, we have the chance to extend that legacy — and to build a stronger, more resilient community for everyone.

After all, supporting innovation is smart business.

Ben Verschueren is the executive director of Empire State Development’s Division of Science, Technology, and Innovation (NYSTAR), which funds a network of 80-plus organizations that provide services and expertise to New York State’s innovation ecosystem.