Vermont may conjure up images of sleepy small towns and rolling pastures, but the state is also emerging as a regional leader in the high-tech economy. Home to nearly 2,000 tech companies employing over 16,000 skilled workers, Vermont offers an environment where innovative technologies can be incubated and develop into thriving businesses.
In this post, we will analyze the largest and most influential technology companies founded in Vermont across sectors like software, electronics manufacturing, aerospace and defense. We‘ll meet the entrepreneurs driving growth in the state‘s $2.8 billion technology industry and explore the keys to their success. We‘ll also investigate how pro-business government policies, investments in infrastructure and partnerships with universities are fuelling technology innovation and prosperity while creating rewarding, high-salary careers.
Why Tech Companies are Choosing Vermont
With its robust talent pipeline, business-friendly tax policies and unmatched quality of life, Vermont offers unique advantages for technology-focused companies.
Prime Access to Skilled Graduates – Schools like the University of Vermont, Champlain College and Vermont Technical College equip graduates with tech competencies like software development, data science and advanced manufacturing. Leaders across Vermont‘s tech sector cite the state‘s deep pool of qualified, ambitious young workers as a driving factor in their location decisions.
Financial Incentives for Innovation – Vermont provides tax credits, grants and other incentives for high-tech startups and established tech companies expanding operations. These include tax breaks as high as 70% for growth in sectors like biotech and environmental engineering specified by the state government as crucial for future job creation.
Unparalleled Lifestyle – From pristine wilderness to thriving local food and arts scenes, Vermont‘s exceptional quality of life helps attract and retain talented technology professionals. With median home prices nearly 40% below the national average, Vermont also offers affordability lacking in other tech hubs like Silicon Valley.
Spotlight: Leading Tech Companies Based in Vermont
Vermont‘s tech landscape features innovative startups alongside established corporations serving global markets. From educational software to aerospace systems, meet some of the state‘s largest and most influential technology employers:
| Company | Location | Year Founded | # of VT Employees | Overview |
|---|---|---|---|---|
| Systems and Software | Winooski | 1973 | 30 | Creates customized financial/operations software and cloud-based business solutions for clients across multiple industries. Nearly 20% graduated from Champlain College. |
| Schoolhack Solutions | Bristol | 2014 | 50 | Builds personalized e-learning platforms leveraging technology to reinvent K-12 education. Received crucial $350K support from the VT government. |
| Inntopia | Stowe | 1998 | 73 | Develops booking, reservations and guest relationship systems for hotels, resorts and vacation rentals in over 30 countries. Pivoted during pandemic to launch coronavirus test scheduling software. |
| Data Innovations | Colchester | 1989 | 180 | Global leader in clinical and diagnostic laboratory middleware software with over 6,500 global customer laboratories and hospital networks across 55+ countries. More than 14% of staff recruited from University of Vermont. |
| iTech US | South Burlington | 2001 | 200 | Provides software development, data analytics, cloud computing and other technology consulting services to major companies like FedEx, AT&T and Allstate. Maintains additional offshore teams numbering over 1,000 employees. More than 14% graduated from Champlain College. |
| Dynapower | South Burlington | 1963 | 100 | Leading manufacturer of specialized electrical equipment ranging from inverters to switch mode power supplies serving clients in the military, aerospace, architecture and renewable energy sectors. About 18% recruited from University of Vermont. |
| Simmonds Precision Products | Vergennes | 1956 | 650 | Wholly owned subsidiary of aerospace giant Collins Enterprises supplying customized electronic systems, sensors and aviation components to the U.S. Department of Defense, NASA and major private commercial airline manufacturers. More than 16% recruited from Vermont Technical College. |
| The Peck Company | Williston | 1972 | 350 | Designs and produces commercial and residential solar panel systems. Recently transitioned into a publicly traded company while expanding its northeastern U.S. renewable energy footprint. |
*Employee figures for Dynapower and Simmonds Precision Products reflect company-wide global staffing with about 100 and 650 based in Vermont respectively.
Several consistent themes emerge among these industry leaders. Firstly, a commitment to sourcing local talent through partnerships with Vermont universities and technical colleges. By actively recruiting from within the state, they tap into a pipeline of energized graduates armed with relevant competencies.
Secondly, these companies rely on the specialized expertise of technology and engineering workers to manufacture complex, high-value products and deliver sophisticated services. Investments in human capital and innovation drive growth. Exporting goods and services outside of Vermont turns the state into a high-tech production hub.
Now, let‘s analyze examples of individual leaders who chose to build technology powerhouses within Vermont‘s borders by identifying emerging market niches.
Vermont‘s Next Generation of Visionary Tech Founders
Vermont offers no shortage of ambitious entrepreneurs looking to transform ideas into fast-scaling startups:
Lisa Gardner, Co-Founder of EdTech Leader Schoolhack – A former public school administrator, Gardner grew frustrated with antiquated tools failing Vermont students. She built a customizable e-learning platform now utilized by dozens of school districts with backing from the Vermont government. "We‘re leveraging technology to truly personalize education and ignite passion," shares Gardner.
Adam Knudsen, CEO of Dynapower – Knudsen joined Dynapower straight out of the University of Vermont in the late 1990s when renewable energy solutions represented a novel, unproven market. He led Dynapower‘s transition into manufacturing advanced inverters, transformers and control systems enabling solar and wind farms across the globe. The company sees consistent 20-30% annual growth as demand for clean energy skyrockets. "I‘m proud we‘ve sustained 60 years of profitability while retaining cutting-edge capabilities right here in South Burlington," says Knudsen.
Trevor Crist, Founder of Inntopia – After losing his home amidst early entrepreneurial struggles, Crist found success by listening to Vermont ski resort operators complaining about fragmented booking systems. He launched reservation management platform Inntopia in 1998, weathering the dot-com burst before emerging as an industry leader managing over $5 billion in vacation transactions. "I‘m grateful that Vermont offered the safety net to take risks," Crist explains. "Failure here didn‘t end dreams like it might have elsewhere."
Grit and perseverance are hallmarks of Vermont‘s startup leaders, along with visionary thinking spotting opportunity in adversity. Combined with the state‘s incubator-like support system, entrepreneurs transform ideas into job-creating engines powering innovation across technology.
How Vermont Actively Fosters Tech Sector Growth
Beyond its natural advantages, Vermont deploys targeted strategies stimulating local technology business development:
Financial Incentives – Generous R&D tax credits reaching 30% along with equipment purchase subsidies, training grants and preferential permitting for high-tech manufacturers lower barriers for startups while encouraging operations expansion from established tech employers.
Infrastructure Investment – Vermont prioritizes improving broadband and power reliability in commercial districts, ensuring employers have the utilities capacity necessary for sophisticated design, testing labs and stable 24/7 technology infrastructure.
Business Development Funds – Programs like the $800,000 Elevate Vermont Entrepreneur initiative provide critical early-stage capital for startups alongside mentoring to transform concepts into companies creating jobs.
Clusters and Incubators – Facilities like the Vermont Center for Emerging Technologies (VCET) offer specialized real estate solutions tailoring lab space, prototyping equipment and flexible leases to young tech and biotech firms. expert advisors provide guidance with accounting, marketing and sourcing talent.
Higher Education Partnerships – Internship programs and collaborative R&D projects between tech companies and the University of Vermont (UVM) translate academic knowledge into commercial technologies while upskilling the local talent pipeline. UVM‘s Electrical and Biomedical Engineering departments maintain tight relationships with employers shaping curriculums.
This robust support ecosystem empowers Vermont technologists and companies targeting growth.
Breakout Vermont Tech Startup Case Study: GW Plastics
Founded in 1955 by the Gadue family, GW Plastics began as a small plastic injection molding facility in rural Vermont. Today, it leverages state-of-the-art automation and 700+ dedicated local employees to manufacture sophisticated medical devices and drug delivery systems for pharmaceutical leaders like Abbott, BD, and Johnson & Johnson.
GW Plastics credits key partnerships with UVM for honing world-class molding design and polymer engineering talent that unlocked expansion into highly-regulated healthcare markets. The company actively shares best practices and coaches other local manufacturers on navigating FDA compliance to access new opportunities.
Positioned at the intersection of biotech and precision manufacturing, GW Plastics exemplifies Vermont‘s targeted emerging technology clusters. In 2021, GW became 100% employee-owned to protect local jobs and independence. "We love being part of the Vermont community fabric supporting technologies that save lives," says CEO Brendan O‘Sullivan. "Our technical staff and operators make this possible."
GW Plastics projects continued growth as global demand for complex medical components grows exponentially. This homegrown business demonstrates how scalable tech manufacturing thrives in Vermont.
The Future Looks Bright for Tech in Vermont
While still in early stages, Vermont is assembling key ingredients for dynamic expansion of technology and innovation sectors powering prosperity:
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World-class homegrown talent forged from its higher education network
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Policymakers prioritizing incentives attracting startups and capital
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Dense support ecosystems where ideas become products
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Business agility and resilience born from a connected community fabric
With leading companies spanning software, electronics, robotics, aviation, nanomaterials and biotech, exciting opportunities exist across technology disciplines to build the next high-growth business within Vermont‘s borders.
Young STEM professionals seeking rewarding careers filled with challenge, purpose and work-life balance would struggle finding a better place to plant roots than the Green Mountain State. With technology business activity that increased 60% since 2005, Vermont offers the ideal launchpad for aspiring innovators.
The state‘s heavy investments in developing skilled technologists, fostering startups and facilitating expansion of established companies point to Vermont embracing its future as a regional tech hub. Driven by ambitious talent and high-paying jobs, brighter days surely lie ahead.
So next time you think of Vermont, move beyond merely vibrant fall foliage and small-town charm. Recognize an emerging powerhouse steadily attracting the best technology talent and businesses thanks to an unparalleled environment enabling innovation. The future burns bright for the Green Mountain State.
