Minnesota flies under the radar in terms of producing globally dominant technology corporations. Yet this unassuming Midwestern state nurtures a thriving digital hub padding the fortunes of industry juggernauts. Bold homegrown startups also blossom here into segment shapers like SPS Commerce and Code42.
From the postwar era through today, Minnesota forged heavyweights including erstwhile leaders like Control Data and Lawson Software. Let‘s explore the largest technology enterprises headquartered in or hatched from Minnesota currently lifting the state‘s $31 billion tech economy.
Minnesota Mints Industry Pacesetters
Minnesota‘s long line of tech trailblazers at times resembled Silicon Valley startups with basement origins like pioneering programmers Bill Norris and Seymour Cray founding Control Data Corporation in 1957. The following companies also set the pace globally for verticals like retail software and supply chain automation:
| Company | Year Founded | Revenue | Headquarters |
|---|---|---|---|
| SPS Commerce | 1987 | $385.3 million | Minneapolis |
| PaR Systems | 1961 | $371.5 million | Shoreview |
| Digital River | 1994 | $370.5 million | Minnetonka |
| Calabrio | 2007 | $248 million | Minneapolis |
| Code42 | 2001 | $44.5 million | Minneapolis |
Supply Chain Automator SPS Commerce
Retailers and suppliers tightly interlink through SPS Commerce, one of the supply chain management realm‘s pioneers. Having weathered ups and downs since its 1987 founding under the name St. Paul Software, this technology backbone now buoys 100,000 customers.
"We solved inventory accuracy issues plaguing manufacturers and retailers for decades with our cloud-first approach,” said SPS Commerce CEO Archie Black. “Now our platform processes invoices, purchase orders and inventory data for thousands of trading partners daily."
SPS Commerce quintupled its share price after going public in 2010 by SUPPORTING surging ecommerce volumes and complexities. With annual contract value soaring 30% in 2021 to $350 million, these supply chain orchestrators seem poised to benefit from ongoing retail transformations.
Homegrown Heroes Lead Market Niches
In addition to heavyweights like SPS Commerce greasing the wheels of global commerce, an array of Minnesota-conceived companies culminated into market segment authorities:
Code42 Ushers Insider Risk Detection Into the Mainstream
Cybersecurity upstart Code42 anticipated companies requiring greater visibility and control over endpoint data leaks. Their foresight around insider threat detection and response became a breakout platform category as remote work and digital transformation intensified data hazards.
“We‘re witnessing a paradigm shift with enterprises now equally concerned about inadvertent data loss as external attacks,” said Code42 CTO Joe Payne. “Our IOC-less approach using behavioral science to reveal data exfiltration brings Code42 distinctive value.”
Code42 recently earned $100 million in their first funding ever, fortune they may funnel towards sustaining growth exceeding 60% annually. With digital assets hemorrhaging via cloud apps and remote workers, they seem well-positioned to disrupt data loss prevention incumbents.
PaR Systems Customizes Automation DNA
Since 1961, family-owned PaR Systems tailored material handling systems for individual factory needs well before “automation” became an industry buzzword. They gradually morphed into specialists at integrating robotics and sensor technologies into custom automation gear.
“We seemingly put a different twist on automatic unpacking, palletizing and conveyance for every customer to optimize workflows," said PaR Systems CEO Jason Stover. “Our job becomes Crafting automation in those customers’ image as manufacturing processes constantly change."
Demand runs hot today for skilled system integration assistance across mining, pharmaceuticals and other asset-intensive sectors attempting to modernize. These dynamics bode well for this Minnesota custom automation house anteed up through half a century of mechanical mastery.
Minnesota Tech Giants – Publicly Traded
A herd of Minnesota-based technology thoroughbreds gallop ahead financially via public exchanges providing them expansion fuel:
Local Giant Helms Apple Enterprise Charge
Jamf skillfully corralled Apple‘s mushrooming corporate presence since 2002 with its intuitive enterprise management software tailored specifically for Mac, iPad and iPhone deployments.
"What distinguishes us among mobile management vendors is our exclusive Apple focus since their devices entered businesses,” Jamf CEO Dean Hager said. “We spare IT frustration and delays managing Apple gadgets designed for consumers."
Jamf IPOed in 2020 to capitalize on Apple‘s industry dominance, raising $468 million. With Apple enterprise integration projects ballooning, Jamf boosted 2021 revenue 45% year-over-year to $413 million.
This financial flexibility lets them enhance their market-leading Apple enterprise platform as demand intensifies for seamless device deployments supporting dispersed workforces.
Private Equity Powers Tech Firms
Well-funded investors inject fuel into Minnesota tech flyers, exemplified by Perforce Software since getting acquired in 2020:
Perforce Cultivates “State of Flow” for Developers
Application development toolmaker Perforce Software shifted its headquarters from California to Minneapolis in 2020 while securing a $1 billion-plus valuation.
Perforce DevOps tools like Helix ALM and Code Collaboration assist software engineers "achieve flow states” through removing distractions, said CEO Mark Ties. "Our automation helps them focus on coding not infrastructure."
Now with global private equity titans Clearlake Capital and Francisco Partners as stewards, Perforce invested in more acquisitions and product enhancements to expedite delivery pipelines. Bolstered by DevOps urgency, they‘ve sustained 20%+ annual revenue expansion.
Conclusion – Minnesota‘s Past and Future Tech Leadership
Minnesota cultivated computing visionaries like Engineering Research Associates in the 1940s whose innovations echoes today through conglomerates like Unisys. Generations later, Minnesota hasn‘t lost its technology edge as new gamers like jamf and Code42 emerge from the same humble Heartland origins.
This intersection blending Minnesota‘s traditionally strong manufacturing base with digitization also promises to hatch more industrial automation leaders like PaR Systems. Couple that with homegrown investor enthusiasm through groups like the Minnesota High Tech Association, and expect more Minnesota tech prodigies to shape global enterprise technology directions for years ahead!
So despite lacking California‘s repute, Minnesota figuratively floats a technology flotilla likely to voyage smoothly given its uniquely pragmatic digital ecosystem nurturing innovation.
