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Jan. 10, 2005 — Nanotech appears to be on lawmakers’ minds as state governors and legislators set their agendas for 2005. A little over a week into the year, officials in New York, Texas and Colorado have either announced new nanotechnology-related investments and initiatives or demanded them of their governments as the race to be a nanotech powerhouse continues.

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As part of his 2005 State of the State Address, New York Gov. George Pataki announced $2.7 billion worth of private commitments to build semiconductor and nanotechnology research and development infrastructure in New York State. Meanwhile, Texas Gov. Rick Perry announced the launch of his state’s Nanotechnology Workforce Development Initiative, funded by a $500,000 grant. In Colorado, a group of Democratic senators called for more economic development funding in the state and suggested much of it should go toward bio- and nanotechnology.

Each of the three states is already strong in micro- and nanotechnology. In Small Times magazine’s annual state rankings in 2004, New York jumped to fourth place, up from seventh in 2003. Texas remained at fifth place both years. Colorado hovered near the top-10 mark each year, placing 13th in 2004 and 12th in 2003. The 2005 rankings will appear in the upcoming March issue of Small Times magazine.

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One reason for New York’s success in the rankings was its focus on research through state initiatives and the pursuit of federal funding. The recently announced investments suggest the state is continuing its aggressive approach to build up its small tech R&D capabilities. Industry’s participation is likely to increase the chances that research is converted into tangible products and jobs, further growing the state’s economy.

The $2.7 billion commitment is comprised of three projects, according to a transcript of Pataki’s remarks. IBM and six other global companies, including Sony, Toshiba and Samsung, will invest $1.9 billion to build a next-generation chip plant in the Hudson Valley. Netherlands-based chip equipment manufacturer ASML will invest more than $325 million to create its first-ever R&D center outside Europe at Albany Nanotech’s Center of Excellence in Nanoelectronics. And IBM and a consortium of nanoelectronics equipment suppliers will fund a $450 million expansion of the R&D capabilities at the Albany Center of Excellence.

In Texas, a poor showing in the work force category dampened its position in both 2003 and 2004. In 2004 Texas placed a dismal 30th in work force. Companies like Zyvex, a partner in the new Texas initiative, are aware of the state’s shortcoming, and have voiced concerns for years.

“As a company, we’re stuck between a rock and a hard place,” Zyvex Chief Executive Officer Jim Von Ehr told Small Times in 2003. “If we can’t import talent, then we have to export the jobs.”

The new initiative will be based at Texas State Technical College in Waco, which will partner with Baylor University, Del Mar College of Corpus Christi, as well as Zyvex. Once the program is operational a government agency, the Texas Workforce Commission, is expected to replicate it at the state’s 51 other community colleges.

The initiative will allow students from participating schools to intern at Zyvex. The program is expected to provide up to 50 nanotech-related internships.

Colorado consistently received strong scores in work force and innovation categories in the Small Times rankings analysis in 2003 and 2004, and is competitive in the other categories used to rank each state. The state is home to innovative nanotechnology startup ZettaCore Inc. and appears to have more strength in nano than micro. Nevertheless, legislators last week recently called for increased funding of economic development activities that demand highly skilled labor.