DMC officially joins collaborative effort to grow state as a global medical technology hub

Randy Petersen, Post-Bulletin, Rochester, Minn.
·3 min read

Feb. 1—ROCHESTER — Destination Medical Center is officially signing onto a statewide effort to grow Minnesota's global market share in the medical technology industry.

"This is an unprecedented opportunity for Rochester and for Minnesota," said Jim Campbell, a member of the state's DMC Corp. board. "To be able to tap into federal dollars to advance our standing on the world stage is a winning proposition."

The board officially affirmed Thursday, Feb. 1, DMC will become a partner in the Minnesota MedTech 3.0 consortium of private and public partners, including Mayo Clinic and other health care providers, medical equipment manufacturers and state departments.

All partners are expected to contribute to a federal grant application, seeking $40 million to $70 million from the U.S. Economic Development Administration to build med-tech opportunities in the state through the incorporation of cutting-edge technologies, such as artificial intelligence, machine learning and data science.

The growth is expected to attract new businesses from the region and around the world to invest in Minnesota as a market for medical technology.

Peter Frosch, chief executive officer of Greater MSP, said the effort that started last year seeks to build on the metro area's status as one of 31 federally recognized Regional Tech Hubs.

While the federal designation appoints Minneapolis and St. Paul as the headquarters for the hub with a focus on medical technology, Frosch said follow-up discussions pointed to the potential for broader partnerships.

"This is really a statewide plan with global ambition," he told the DMCC board.

The effort is targeting applying for a new federal grant by the end of the month, but Frosch said the collaborative work will continue even if the funding isn't awarded.

"Everyone around the table recognized the strategy we created together is worth billions of dollars, we said $50 million will not make or break this idea," he said. "We are going to do this no matter what."

DMCC board member R.T. Rybak said the collaborative effort is notable since it includes companies and other groups that are frequently viewed as competitors. He said that combined effort will be crucial in building a state-based global market.

"This to me is really about what is the connective tissue that helps us compete with the rest of the world, instead of the old antiquated ways of competing with each other," he said.

The former Minneapolis mayor said it's important to recognize the potential for collaboration between efforts in Rochester, Minneapolis and St. Paul.

"Minneapolis and St. Paul have always had trouble competing globally because we spend more time fighting each other than together," he said.

He agreed with Frosch that the effort has merit, even if the resulting application for federal funds is unsuccessful

"If we want to create a destination, if we want to create a hub, nobody can compete with what's in Minneapolis-St. Paul and what is in Rochester and what is in between," he said.

Rochester Mayor Norton, who sits on the state DMCC board, agreed the effort has the potential to benefit all the communities involved and beyond.

"I too was kind of energized by the idea of not just pairs of groups but multiple entities that are working together for a cause that is good for the entire state," she said.