In what ways is New Jersey positioning itself as the go-to state in the tech industry

Did you watch Johnny Mnemonic? The 1995 dystopian sci-fi movie starring Keanu Reeves and written by one of the founding fathers of cyberpunk, William Gibson, is set in a near future where cybernetic body modifications have become the norm and data-filled brain implants carry top-secret information.

Reeves might be the movie’s titular star, but the movie relies heavily on its setting — Newark, New Jersey. In the movie, Newark is home to essential communications infrastructure, underground body modification clinics, techno raves, and a team of lo-fi separatists. It’s a lively, gritty, and exciting vision of a dystopian future Newark. Too bad they only set it in 2021!

While the movie gets most things about the future wrong (sorry, no talking cyborg dolphins today), it does get one thing very right. Newark, and New Jersey generally, has started to become an important tech center in the last five years. In fact, in 2024, Jersey City was named the #5 tech city in the United States.

This article will look at the ways New Jersey is positioning itself as the go-to state in the tech industry and the fields where it is an industry leader.

What New Jersey offers

There are many reasons why New Jersey is naturally suited to becoming an industry leader. New Jersey’s location on the East Coast makes it perfectly situated for tech businesses that want to connect with New York City and Washington, D.C., without the cost of operating there.

Being on the East Coast also makes it easier to work with European businesses since the time difference is only a few hours and much more manageable.

The state has invested heavily in people and infrastructure to make tech a successful regional industry. It has an extensive fiber optic network to make connectivity fast and reliable across New Jersey. Massive data centers have also been constructed to provide the necessary processing power.

The New Jersey government has taken steps to make the state attractive to tech investors as well. The Emerge Program provides tax credits to startups that create at least 35 jobs. The Manufacturing Equipment and Employment Tax Credit provides incentives to tech businesses investing in production materials.

There are also numerous research grants and development programs. Alongside these programs, there are countless recruiting and training programs, including on-the-job training, specialty hiring programs, and registered apprenticeships.

All of these investments and features combined make New Jersey incredibly attractive for tech companies. They have also created an environment that fosters growth and innovation.

Photonics

In the simplest terms, photonics is the study of light waves. It is a multidisciplinary tech field with the goal of understanding everything about light generation, detection, control, and manipulation. Photonics can be a theoretical science, but it also has many practical applications.

New Jersey is a leading employer in photonics. Princeton University is one of the most important photonics research institutions in the world. In terms of real-world applications, photonics is used to create sensitive and accurate sensors for products like solar panels, wind farms, and monitoring alternative energy installations.

Photonics and lasers are also used to create better mobile phones with more sensitive interfaces and more accurate sensors.

Gambling

New Jersey has always been the United States’ East Coast gambling hub. The revitalization of Atlantic City has brought it back into competitiveness with the newer resort casinos of Pennsylvania and Connecticut. Alongside this growth, New Jersey has also been at the forefront of online gambling.

One aspect of iGaming where New Jersey is very successful is online casinos. The list at AskGamblers shows how many licensed online casinos are operating in the state. Online casinos are a valuable source of revenue for the states where they’re legal — which can then benefit other tech sectors if it’s reinvested in infrastructure.

New Jersey has been at the heart of the online sports betting industry from the first days. It was New Jersey that brought the case before the Supreme Court, resulting in the overturning of the Professional and Amateur Sports Protection Act in 2018.

Since then, New Jersey has become a hub for online sportsbooks. In 2023, it was the #1 market in the United States for sports betting. They have also established the FinTech & Sports Wagering Innovation Center in association with New Jersey City University — a collaborative hub working to improve the iGaming industry and keep it dynamic.

Esports

Esports have rapidly become a popular form of entertainment, and competitive video game playing has become a massive industry. The leading teams and players have state-of-the-art training facilities and lucrative sponsorship deals with big brands like Red Bull, Mastercard, Intel, Adidas, and Mountain Dew.

Unlike some states and countries that treat esports like a bit of a joke, New Jersey has taken them seriously. Stockton University has launched the esports Innovation Center in Atlantic City, which provides young esports talent with support and a place to hone their skills in a professional environment.

Artificial Intelligence

Artificial Intelligence (AI) is one of the most important — and most controversial — tech sectors. No one quite knows how AI will impact our lives, but everyone understands that it will shape our world in the next decade.

No matter what happens, New Jersey and its tech companies will be playing a central role. The state has invested heavily in data centers with enough processing power to handle AI’s intensive needs and power usage.

Universities and the government are involved in researching AI and its potential impacts. The governor of New Jersey has also created a task force to study how AI can be implemented to stimulate economic growth and create jobs.

Conclusion

New Jersey’s success as a tech industry hub is due to a combination of key factors and intelligent planning. The state has invested in the required infrastructure and provided financial incentives to attract tech businesses. They have also built up a diverse profile of tech companies instead of focusing on a single industry, which is the best way to remain competitive.