10 Most Innovative States In America

A few months after the United States earned its No. 4 rating on the 2016 Global Innovation Index, WalletHub published its analysis of state contributions. As it turns out, some pulled more weight than others did to secure the nation’s reputation for global leadership in technological innovation and research.

Considering 18 indicators of innovation friendliness, WalletHub found that the principal innovators earned an index score more than triple those of the most stagnant economies.

Best In Class

Here are the overall top 10:

10. New Hampshire: No. 19 in human capital and sixth in innovation environment. The state also ranked second in eighth-grade math and science performance. Of the seven public companies headquartered in New Hampshire, five specialize in engineering or technological development.

9. Connecticut: Eighth in human capital and 12th in innovation environment. The state is home to such industry leaders as General Electric Company (NYSE: GE), United Technologies Corporation (NYSE: UTX), Priceline Group Inc (NASDAQ: PCLN) and Xerox Corp (NYSE: XRX).

8. Utah: 14th in human capital and fourth in innovation environment. The scientifically-inclined state, which tied for first in venture-capital funding per capita, supports a wealth of research-based companies such as Huntsman Corporation (NYSE: HUN), Nu Skin Enterprises, Inc. (NYSE: NUS) and USANA Health Sciences, Inc. (NYSE: USNA).

7. Virginia: Fourth in human capital and 11th in innovation environment. With the pioneering ventures of General Dynamics Corporation (NYSE: GD) and dozens of infrastructure-focused companies, Virginia also ranked first in national share of technology companies and second in projected three-year STEM-job demand.

6. Washington: Fifth in human capital and eighth in innovation environment. Led by the likes of Microsoft Corporation (NASDAQ: MSFT), Amazon.com, Inc. (NASDAQ: AMZN) and T-Mobile US Inc (NASDAQ: TMUS), Washington boasted No. 3 rankings in population of STEM professionals, projected three-year STEM-job demand and science and engineering graduates above age 25.

5. Colorado: Seventh in human capital and fifth in innovation environment. Colorado, the headquarters of DISH Network Corp (NASDAQ: DISH) and Level 3 Communications, Inc. (NYSE: LVLT), also ranked first in eighth-grade math and science performance.

4. California: Sixth in human capital and third in innovation environment. Silicon Valley’s Apple Inc. (NASDAQ: AAPL), Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL), Facebook Inc (NASDAQ: FB) and scores of established corporations and startups helped secure the state’s first-place tie for venture-capital funding per capita.

3. Massachusetts: Third in human capital and second in innovation environment. The home to Thermo Fisher Scientific Inc. (NASDAQ: TMO), Raytheon Company (NASDAQ: RTN), Activision Blizzard, Inc. (NASDAQ: ATVI) and Skyworks Solutions Inc (NASDAQ: SWKS) also tied for first in venture-capital funding per capita, ranked second in R&D spending per capita and took third in average Internet speed.

2. Maryland: Second in human capital and first in innovation environment. With pioneers such as Lockheed Martin Corporation (NYSE: LMT) and educators like Discovery Communications Inc. (NASDAQ: DISCA), Maryland ranked second in national share of technology companies and science and engineering graduates above age 25, as well as third in STEM professionals and R&D spending per capita.

1. District of Columbia: While D.C. is not a state, it is included within WalletHub's ranking of states. Furthermore, it comes in first place overall. Additionally, it's first in human capital and seventh in innovation environment. Led by the likes of Danaher Corporation (NYSE: DHR), D.C. also has the fastest internet speed and highest R&D spending per capita, share of STEM professionals, projected three-year STEM-job demand and science and engineering graduates above age 25. It ranked second in venture-capital funding per capita and third in shares of technology companies.

Keeping Up With The STEMses

A few of the Top 10 have maintained their innovative reputations for years.

CNBC’s list of America’s Top States For Innovation in 2016 included Colorado, Maryland, Massachusetts, California and Washington, while Forbes’ 2015 list of fastest-growing states for tech jobs featured Utah, Maryland, California and Massachusetts.

The WalletHub Top 10 notably misses Minnesota, Michigan and New York, which made the cut for both Forbes and CNBC.

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