ICYMI: New Op-Ed from Leading Tech Innovators Highlights How Governor Shapiro’s Proposed Budget Will Further Boost Pennsylvania’s Innovation Economy

“Gov. Josh Shapiro’s proposed innovation fund is exactly the kind of bold move we need to help power up Pennsylvania’s innovation economy. It’s a smart, future-focused investment in industries that already have significant traction here, like advanced manufacturing, robotics, AI, life sciences and cutting-edge deep tech.”

Harrisburg, PA – Last week in the Pittsburgh Business Times, Pittsburgh Life Sciences Alliance President and CEO Megan Shaw, Pittsburgh Robotics Network Executive Director Jennifer Apicella, and InnovatePGH President and CEO Sean Luther applauded Governor Josh Shapiro’s commitment to fostering Pennsylvania’s innovation economy.

Governor Shapiro recognizes that the Commonwealth’s life sciences sector is positioned for explosive innovation and growth. That’s why the Governor’s 2025-2026 proposed budget creates a new, $50 million PA Innovation program, which includes a one-time $30 million initiative to spur life sciences job growth and $20 million to provide annual funding to support large-scale innovation.

The proposal aims to help our industry leaders share data, commercialize their discoveries, and unleash Pennsylvania’s full potential. The Governor’s proposed funding will be used to match additional private venture capital investments, positioning the Commonwealth as a national center for innovation while proactively making investments in entrepreneurs who have historically lacked access to venture capital funding.

This new fund will give Pennsylvania a competitive advantage — positioning our Commonwealth as a leader to companies who want to move quickly on getting their discoveries to market.

Read this new op-ed about the Governor’s proposed PA Innovation program in the Pittsburgh Business-Times here and below:

Pittsburgh Business-Times [OPINION]: Viewpoint: Innovation fund aims to make Pennsylvania a powerhouse
By Megan Shaw, Jennifer Apicella, and Sean Luther, June 6, 2025

Let’s be honest — our region has been at a bit of a standstill. While cities across the country are growing and evolving, Pittsburgh and parts of Pennsylvania have been holding steady. Not declining, but not exactly soaring either.

But here’s the good news: Beneath the surface, there’s significant momentum building. Now is the time to kick it into high gear.

Gov. Josh Shapiro’s proposed innovation fund is exactly the kind of bold move we need to help power up Pennsylvania’s innovation economy. It’s a smart, future-focused investment in industries that already have significant traction here, like advanced manufacturing, robotics, AI, life sciences and cutting-edge deep tech.

State leaders are showing they get it: If we want a thriving economy, we need to build it. Recent efforts — like reforming the corporate net income tax, simplifying the permitting process and boosting funding for site readiness through programs like PA SITES — are helping lay the groundwork. These changes weren’t made in a vacuum; they came straight from conversations with companies that decided to grow elsewhere. Pennsylvania is showing that we’re serious about staying competitive, and the innovation fund builds heavily on that momentum.

Here’s why we’re feeling confident: Pittsburgh is booming with innovation. We’ve got over 600 startups and scale-ups calling the region home. Two top-tier (R1) research universities are pouring $2.1 billion into research every year, much of it in high-growth areas.

Our life sciences sector alone employs more than 15,500 people, with the number of venture deals climbing fast. Robotics, AI and autonomy? Over 125 companies have generated more than $7.5 billion in capital investment, and nearly 8,000 people are employed.

Venture capital investors are paying attention, too. In 2024, Pittsburgh hit nearly $1 billion in VC investments, making it a record- breaking year for our region. Much of that investment was received by Pittsburgh’s world-class robotics, AI and deep tech startups.

But we’re not blind to the challenges. Growing companies here still struggle with getting access to capital, experienced executive talent and strategic workforce support. Yes, we’ve celebrated huge wins like Duolingo Inc. and Krystal Biotech Inc. going public, but we need more success stories to create that “flywheel effect” you see in places like Silicon Valley; Austin, Texas; or Boston.

If we look at what has worked elsewhere, states like Massachusetts and North Carolina built thriving innovation hubs thanks to early, coordinated investments from government, philanthropy, and institutions. Decades later, they’re reaping the rewards with thriving job markets and major industry buy-in.

Pittsburgh already punches well above its weight in research funding — we just need to translate that R&D into commercial growth and jobs.

That’s where the innovation fund comes in.

It’s a crucial step toward fueling the kinds of initiatives and incentives that will not only help homegrown companies thrive (keeping them — and their jobs — here), but also attract outside companies looking for their next big move.

Bottom line? The innovation fund is more than a line item in a budget — it’s a statement that Pennsylvania is ready to lead, not follow.

And with the right support, our region can become one of the most dynamic innovation hubs in the country.

We’re counting on you, Pennsylvania. Let’s make it happen.

Megan Shaw is president and CEO of the Pittsburgh Life Sciences Alliance.
Jennifer Apicella is executive director of the Pittsburgh Robotics Network.
Sean Luther is president and CEO of InnovatePGH.

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MEDIA CONTACT:
Governor’s Office, ra-gvgovpress@pa.gov, 717.783.1116
DCED, dcedpress@pa.gov

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