The High Tech Agenda

State Business Competitiveness, Government News, & Public Policy Updates

CNBC released its 20th annual Top States for Business rankings on July 9, and the results tell a familiar story for Massachusetts: meaningful progress driven by exceptional innovation assets, alongside structural cost challenges that continue to weaken the Commonwealth’s competitiveness. 

Massachusetts climbed five positions to #15 overall, up from #20 in 2025. The Commonwealth remains a national leader in several areas central to long-term economic growth: 

These rankings reinforce Massachusetts’ global leadership in research, higher education, capital formation, advanced industries, and the development of highly skilled talent. The state’s universities, technology companies, research institutions, investors, and innovation-driven employers continue to provide a powerful, competitive foundation.

But Massachusetts’ overall improvement should not obscure the structural challenges beneath it. The Commonwealth remains #49 in Cost of Doing Business, making it the second-most expensive state in the country in which to operate. Massachusetts also ranks #39 in Cost of Living, while its Workforce position declined from #23 to #26.

Taken together, these results reinforce affordability as one of the defining threats to Massachusetts’ long-term competitiveness. High housing and living costs make it more difficult for employers to recruit and retain workers. Business costs influence where companies invest, expand, and create jobs. Since 2020, Massachusetts has lost approximately 182,000 residents to other states, many of which offer lower costs for families and employers.

As Council President Chris Anderson said in the Council’s July 9 statement on the rankings:

“Massachusetts succeeds because of our exceptional assets, not because we have created the most competitive business climate.”

The opportunity now is to translate Massachusetts’ innovation strengths into a more competitive economic environment: one that is more affordable for families, more attractive to employers and entrepreneurs, and better positioned to retain the talent that drives long-term growth.

The Council will continue advancing data-driven policies that improve affordability, encourage private-sector investment, strengthen workforce development, expand housing opportunities, modernize tax and regulatory policies, and reinforce Massachusetts’ long-term economic competitiveness.

The House recently passed an economic development bill that advances several Council priorities aimed at strengthening the Commonwealth’s innovation economy. Building on Governor Healey’s Mass Wins proposal, the bill authorizes:

The defense investment complements the Council’s ongoing work with the Healey-Driscoll Administration and industry partners to advance the SHIELD initiative, which is working to strengthen Massachusetts’ defense technology and national security innovation ecosystem.

The legislation also includes several proposals to address the state’s housing shortage, including a Council-supported provision allowing by-right multifamily housing development on property owned by religious institutions.

The Senate is expected to consider its own economic development bill in the coming weeks, and the Council will continue advocating for these priorities.

The Commonwealth recently took two important steps toward strengthening Massachusetts’ education pipeline and preparing students for success in college, careers, and civic life.

The Legislature passed, and Governor Healey signed into law Council-supported early literacy legislation that expands evidence-based reading instruction and will help more students build the foundational skills needed for lifelong success.

The Healey-Driscoll Administration also released recommendations for a new statewide graduation framework that includes state-designed, state-administered, and state-scored end-of-course assessments, along with recommended learning requirements for financial, artificial intelligence, and digital literacy.

Together, these initiatives advance the goals of the Council’s MassVision2050 Engaged Workforce initiative by helping ensure every student develops and graduates with the knowledge and skills needed to thrive in an increasingly competitive, innovation-driven economy.

The Legislature continues to consider legislation establishing a statewide consumer data privacy framework.

The Council supports reasonable protections for consumers while encouraging lawmakers to adopt a balanced approach that safeguards innovation and avoids unnecessary compliance burdens, particularly for smaller and growing businesses. The Council joined a coalition of business organizations urging the Legislature to enact a practical, balanced data privacy framework.

In June, the Massachusetts Supreme Judicial Court ruled that the proposed ballot question to gradually reduce the state income tax rate from 5% to 4% could not appear on the November ballot because of deficiencies in the Attorney General’s summary—not because of the substance of the proposal. While disappointing, the decision does not diminish the need to address the affordability and competitiveness challenges confronting Massachusetts.

Following the decision, the Council reaffirmed its commitment to advancing long-term economic reforms that make the Commonwealth a more attractive place to live, work, invest, and grow a business. Read the Council’s statement on the Court’s decision and President Chris Anderson’s Boston Business Journal op-ed, Massachusetts Must Stay Engaged on Economic Reform, which outlines why the Commonwealth cannot afford to lose momentum on strengthening its long-term competitiveness.

On June 30, the Taxpayers for an Affordable Massachusetts ballot committee submitted the final signatures required to place the proposed modernization of the Commonwealth’s Revenue Growth Limit before voters this November.

The Council supports this initiative because it promotes responsible fiscal stewardship while preserving the Commonwealth’s ability to invest in essential priorities. By modernizing the existing law, the proposal would strengthen the state’s taxpayer protection mechanism, helping ensure that government revenue growth remains aligned with economic growth and increasing the likelihood that taxpayers receive refunds when state revenues substantially exceed allowable limits.

The Revenue Growth Limit initiative represents one important component of the Council’s broader competitiveness agenda. Alongside efforts to strengthen workforce development, improve affordability, modernize tax and regulatory policies, accelerate innovation, and attract and retain talented workers and leading employers, it reflects the Council’s continued commitment to advancing practical, long-term solutions that position Massachusetts for sustained economic leadership.

MHTC News & Updates

The MassVision2050 Skills & Talent Intelligence Capability, now stewarded by Bentley University with continued support from MITRE and BCG, is hosting two sector-focused design workshops on Wednesday, July 22. 

The first development phase focuses on two industries central to Massachusetts’ innovation economy and national leadership: Semiconductors and Defense Technology & National Security.

Massachusetts is a national leader in both sectors, but the skills required to sustain that position are evolving rapidly. Competition for semiconductor talent is accelerating as peer states invest aggressively in their ecosystems, while defense systems become increasingly AI-enabled, software-defined, and autonomous.

The workshops will bring together industry leaders and project partners to help shape the platform’s priorities, functionality, and future capabilities, including the questions it should answer, the data employers need, and the workforce challenges that should inform its first build phase.

Members are encouraged to participate in one or both sessions; your perspective can directly influence the insights this new capability delivers. Please contact MassVision2050 Project Manager Garfield Miller at garfield@mhtc.org to register or learn more.

Space is limited. Members received the RSVP link directly and should contact Jenny Enfield if they cannot locate their registration information.

The Council is launching a new Member Resource Center — a secure, members-only section of the website providing exclusive access to content, insights, and resources not available on the public site. 

The Resource Center will serve as a central destination for:

At launch, members can expect a curated collection of current and recent materials, with additional content and features added as the platform evolves.

The Member Resource Center will launch soon. Members should watch for additional information, including instructions for logging in and accessing member-exclusive content.

Support the MassVision2050 Mission

Building the most competitive innovation economy in the nation requires more than good ideas—it requires sustained leadership, strategic collaboration, and long-term investment.

The Massachusetts High Technology Council’s MassVision2050 initiative brings together business, education, research, and government leaders to strengthen Massachusetts’ competitiveness, expand opportunity, and ensure the Commonwealth remains the world’s leading destination for innovation, investment, and talent.

Support from our members, partners, and philanthropic organizations makes this work possible. Through contributions to the MassVision Foundation, support for the Mass Opportunity Alliance, and sponsorship of MassVision2050 initiatives, organizations help advance independent research, actionable policy solutions, strategic communications, and collaborative initiatives that deliver lasting value for Massachusetts.

We are grateful for the leadership of those who invest in this work and welcome conversations with organizations interested in helping shape Massachusetts’ future.

To discuss sponsorship opportunities or determine the investment approach that best align with your goals, please contact Council President Chris Anderson at chris@mhtc.org.

Join us in advancing a stronger, more competitive Massachusetts.