Delaware Named Most Influential State for African American Tech Companies
A study has revealed Delaware is the most influential state for African American tech companies.
The research by Black social commentators That Sister studied 500 technology companies founded and led by African Americans in the past five years—including their headquarters’ locations and their total funding to discover the most influential state for African American technology companies.
Delaware ranked first with the highest influence score of 16.1 out of 20. It has seen total funding of $22.1M raised by six companies in the past five years, which means the state is home to one African American tech company for every 168,000 people—the best ratio of people to companies out of all 50 states. The funding raised by the Delaware companies equates to $22 for each person in the state. The highest-funded company identified in Delaware is Stack Diagnostics, Newark, a provider of genetic diagnostic tests and services, and has received $18.8 million in total funding.
Delaware is followed by California, New York, Illinois, and Massachusetts.
Illinois ranked fourth, scoring 7.8 points. The state makes up 7.3% of African American Tech’s total funding recorded in the past five years and holds the third largest number of companies, totaling 21. That equates to a company for every 594,000 people in the state and a funding total of $17.90 per person. Zing Health, headquartered in Chicago, is the most funded company, with $190 million.
“We are excited to see the progress of African Americans in the tech space—founding and building companies which are attracting hundreds of millions of dollars in funding and investment,” concluded a spokesperson for That Sister. “It’s fascinating to see which states are home to the most successful new African American-led tech businesses, and hopefully in future they will be joined by many more start-ups across the U.S.”