PATHS FOR MARYLAND  ENTREPRENEURS & INNOVATORS

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MARYLAND INDUSTRIAL PARTNERSHIPS PROGRAM

MIPS Impact

HughesNet, North America's largest consumer satellite Internet network, $13.7 billion in impact

Synagis, which prevents a severe respiratory disease in infants, $13.6 billion in impact

Martek Biosciences' Life's DHA fatty acids, found in more than 90 percent of infant formulas in the U.S., $2.9 billion

Read more about MIPS projects

MIPS Cumulative ROI

  • $30.3 billion in company revenues from products benefiting from MIPS projects
  • 5% of that returned to State treasury from corporate and employee income taxes, and  3X jobs multiplier effect
  • $44.7 M total state funding for MIPS projects
  • Total Maryland Tax Revenues: $30.3B x 0.05 = $1.5 B
  • MIPS ROI: $1.5B / $44.7M =  34 to 1

MIPS: An Innovative Job Creation Engine for Maryland

  • 6,600 jobs created in companies with products benefiting from MIPS projects (impacts created 15,000 total jobs)
  • $30.3B in company revenues from products benefiting from MIPS projects
  • Annual Tax Revenues State: $87M, Counties: $70M

MIPS: 57 Competitive Rounds

  • 2,124 applications received
  • 1,151 different contracts and amendments
  • 770 individual projects
  • 557 companies
  • 415 faculty

MIPS Impact

In 2012, MIPS commissioned an economic impact study of the MIPS program: “An Analysis of the Impacts of MIPS Program Spending and the Commercialization of MIPS Funded Projects on the State of Maryland,” prepared by Dr. Richard Clinch, Director of Economic Research at the Jacob France Institute of the University of Baltimore.

Dr. Clinch and his team analyzed the effects of the MIPS program on Maryland’s economy and the return on the investment in MIPS to the state treasury. Some highlights of the 16-page report include:

Research conducted by the MIPS program has found that MIPS-supported technologies have generated $24 billion in revenue over the program's first 25 years.

Technology developed and commercialized in collaboration with the MIPS program over its first 25 years generated over $3 billion in product sales and supported 3,615 ongoing jobs in Maryland in calendar 2011 alone. When the multiplier-based economic impacts associated with this activity are included, the economic impacts associated with the production and sale of these commercialized technologies total $4.8 billion in economic activity in Maryland, supporting 15,191 jobs earning $1.1 billion in labor income during 2011.

The economic impacts associated with MIPS supported technology generated an estimated $87.3 million in state tax revenues in the year 2011 alone. These estimated one-year 2011 state tax revenues significantly exceed the $37 million lifetime costs of the MIPS program. An estimated $70.6 million in local government revenues was also generated by MIPS supported technologies in 2011.

MIPS lifetime spending of $37.0 million assisted in catalyzing the development and commercialization of technologies that have attracted $884.2 million in additional grant, debt, equity, and venture capital funding into Maryland.

Several MIPS supported companies have been acquired over the past few years and the acquisition cost of these companies has totaled over $18.0 billion dollars.

Overall, the Jacob France Institute’s report paints a picture of a program that continues to make a significant contribution to the Maryland economy.

Browse a special collection of MIPS projects in the 25th anniversary collection
DOWNLOAD THE MIPS ECONOMIC STUDY

“Over time, we’ve probably  generated within the state of Maryland, a large share of our  revenue—$1.5 billion a year, with a total of close to $15 billion... We employ 1,500 people here in the state. Most of them are working on businesses related to this technology. MIPS helped develop not just a new product, but a new industry.”

-- John Kenyon, Senior Vice President for Engineering, Hughes Network Systems

“MIPS funding was pivotal. It enabled us to validate the invention’s commercialization potential and get onto the path to our first customers. Without MIPS, we would not have been able to get our first product out the door and land those first few key customers.”

-- Jason Volk, CEO, Alertus Technologies

"Over 55 million babies worldwide have now had infant formula that included Martek’s nutritional ingredients. Over 99 percent of the infant formula in the Unites States has it, as well as products in more than 75 countries around the world.  Almost every U.S. child under the age of six has had this Martek DHA in their brain. It all started here..."

-- Henry “Pete” Linsert, former Chairman and CEO, Martek Biosciences

“I would say MIPS validated us. Here we are, two people knocking on the doors of Fortune 100, Fortune, Fortune 300 companies, public payers, private payers, partners, and until we had that endorsement from a MIPS grant, it was hard. It really did help us open doors by saying we are MIPS-endorsed. It made a big difference in our ability to get traction.”

-- Suzanne Sysko Clough, Founder and Chief Medical Officer, WellDoc