The Philadelphia Department of Commerce sought to understand the current state of the city’s technology ecosystem, including its competitive position, workforce composition, and potential for growth. The Department needed a comprehensive analysis to identify key drivers and barriers affecting Philadelphia’s tech industry, along with strategic recommendations to position the city as a leading and diverse tech hub.
ESI employed a mixed-methods approach to assess Philadelphia’s tech ecosystem. The team conducted extensive quantitative research using industry data from sources like Lightcast and the American Community Survey to analyze employment trends, wage data, demographic representation, and educational pathways. The quantitative analysis was complemented by qualitative research through stakeholder listening sessions with key players in the tech ecosystem.
The team also analyzed current workforce development programs and educational pathways within Philadelphia, examining the pipeline of talent and identifying gaps between training programs and industry needs.
ESI facilitated targeted listening sessions with key players across Philadelphia’s tech ecosystem, including investors, entrepreneurs, technologists, and workforce development experts. These sessions were structured to gather diverse perspectives from representatives of early-stage startups, established companies, and supporting organizations. Participants provided crucial insights on practical challenges and opportunities, which directly informed the development of actionable, community-supported recommendations.
Outcomes from this study include:
- Tech Ecosystem Size: ESI identified nearly 42,000 tech workers (5.5% of Philadelphia’s workforce) with median annual wages of $109,700.
- Demographics: Diversity in Philadelphia’s tech jobs remains a work in progress, with 16% Asian, 12% black or African American, 5% Hispanic/Latino, and 2% all other.
- Strategic Advantages: The study highlights Philadelphia’s location benefits, cost efficiency, educational assets, and leadership in life sciences and telecommunications.
- Key Challenges: ESI pinpointed critical barriers including outdated perceptions, mid-stage funding gaps, workforce pipeline disconnects, and limited convening institutions.