Mar. 1—New investment totaling $80 million in Fresno-based Bitwise Industries has raised expectations some of the money will accelerate workforce training and other efforts in Kern County to create new businesses and place local residents in computer software-related jobs.

No specific spending plans have been finalized since the investments were announced Tuesday, but Bitwise representatives offered assurances all of the cities where the company operates, including Bakersfield, will benefit though new local hiring, deployment of additional resources and expanded relationships with stakeholders in the county.

"We will see some economic growth because of this funding in Kern County," Bitwise Bakersfield Vice President Natasha Felkins said. "This type of funding, while it validates our model at Bitwise Industries, it's also going to help with our partnering with different organizations."

The new money came from existing investors such as Kapor Capital and others including Citibank and a division of Goldman Sachs Asset Management, according to a news release that mentioned the investments will help Bitwise open in Chicago's South Side, the company's 10th location.

Relying largely on outside investors impressed with its success in establishing a thriving tech hub in Fresno, Bitwise has expanded across the country with a model focused on revitalizing depressed urban real estate while training disadvantaged communities in software and entrepreneurship training and supporting technology-related business startups. It cites more than 1 million square feet of renovations and more than 10,000 people trained, 80 percent of whom it says have gone on to tech employment.

"Goldman Sachs believes that Bitwise has shown a strong track record in training and up-skilling talent to successfully find placement in the highly competitive technology labor market," Hillel Moerman, a partner in Goldman Sachs Asset Management's Growth Equity business, said in the release. "Filling the talent gaps is not only pertinent for the sector, but also key to creating economic opportunity for those in underserved communities and we are excited to support Bitwise in its continued growth."

In Bakersfield, its first city of expansion, Bitwise has overhauled two underutilized buildings near 18th and H streets while forging economic development and job training contracts with city and county government. It has also purchased a locally based business services company and boasts a startup accelerator that supports budding entrepreneurs.

Kern's chief administrative officer, Ryan Alsop, noted in an email Wednesday that county government continues to contract with Bitwise for workforce training through its local Ignite Innovation Lab. The effort concentrates on fostering entrepreneurship, providing convenient access to capital for startups and developing a local tech ecosystem that has been a top objective of the B3K economic development collaboration.

The county's initial partnership with Bitwise was geared toward six-month, paid training stints intended to create new businesses and jobs while also imparting greater professionalism and new skills. Alsop pointed out the project's first entrepreneurship cohort graduated eight people, and that the second is ongoing with six participants.

A separate partnership with Bitwise put seven people through web development programming, with 15 more in training, Alsop added.

"We're committed to our partnership with Bitwise and believe in its potential," Alsop wrote. "That said, we'll pay close attention to outcomes once these initial cohorts are completed to ensure that our investment is solidly aligned with our region's economic diversification objectives."

The city of Bakersfield has participated in similar partnerships. A city spokesman said data on the projects' results was not readily available Wednesday.

Felkins said Bitwise is working both with local governments and Bakersfield College on "what the future of innovation in Bakersfield looks like." She predicted greater local employment and progress in training disadvantaged residents to use business software platforms Salesforce and DocuSign.

With the new money now available, she said, "We can provide more digital literacy resources and tools, which allows these organizations to better leverage technology, hire more people from our apprenticeship programs and support more engagement."