The DMV boasts one of the country's most innovation-friendly business environments, according to a new study.
Personal finance platform WalletHub ranked all 50 states and the District for innovation, which it measured in two dimensions: “human capital” and “innovation environment.”
D.C. came in third, with Maryland fourth and Virginia seventh.
The rankings are based on 24 metrics, including the share of STEM professionals, research and development spending, share of technology companies, venture capital, internet speed and tax friendliness.
Source: WalletHub
At 9.8 percent of the total workforce, D.C. has the highest share of STEM professionals compared to other states — three times higher than in Mississippi, which ranked last at 3.3 percent. The District also ranks first for the highest share of science and engineering graduates over age 25, and Maryland ranks third.
Having an oversized share of STEM graduates and workers can become a major growth factor for the local ecosystem, by attracting startups and tech companies from other cities that need a deep talent pool to carry out their missions.
D.C. also has the highest share of technology companies, at 8.4 percent, while Virginia and Maryland rank second and third in the U.S., respectively, for their share of technology companies.
Maryland ranks second in the nation for the highest share of STEM professionals, and Virginia tied Colorado for the fifth-biggest proportion of STEM professionals.
D.C., Virginia and Maryland also all rank in the top five for highest projected STEM job demand by 2020, likely bolstered by Amazon's plan to eventually hire 25,000 employees in the area.
Massachusetts and Washington state topped this year's list of most innovative states, while West Virginia, Louisiana and Mississippi rounded out the bottom of the list.
The distinction follows the D.C. region landing at No. 13 on KPMG's recent rankings for 2019 Technology Innovation Hubs. And early this year, the region was crowned for the world's best entrepreneurial talent in the Global Cities Talent Competitiveness Index.
