What are the top states for medical device manufacturing?

Overview of the U.S. Medical Device Industry

The United States is the largest medical device market in the world, with a market size of around $156 billion in 2017, according to SelectUSA. The industry is highly competitive and innovative, with over 5,800 companies in the U.S. ranging from small startups to large multinational corporations. Medical devices encompass a wide range of products, including:

Surgical instruments and supplies
Cardiovascular devices (pacemakers, stents, etc.)
Orthopedic devices (joint replacements, spinal implants, etc.)
Diagnostic equipment (X-ray, MRI, CT scanners, etc.)
Dental equipment and supplies
Ophthalmic devices (contact lenses, intraocular lenses, etc.)

The medical device industry is heavily regulated by the U.S. Food and Drug Administration (FDA) to ensure the safety and effectiveness of products. Companies must comply with strict quality control standards, clinical trial requirements, and post-market surveillance.

Request PCB Manufacturing & Assembly Quote Now

Top States for Medical device manufacturing

While medical device companies are located throughout the United States, certain states have emerged as leaders in the industry due to their concentration of companies, skilled workforce, research capabilities, and supportive business environment. Here are some of the top states for medical device manufacturing:

1. California

California is home to the largest number of medical device companies in the U.S., with over 1,700 firms employing more than 75,000 people. The state’s medical device industry is concentrated in regions such as Silicon Valley, Los Angeles, Orange County, and San Diego. California’s strengths in medical device manufacturing include:

Large pool of skilled workers in engineering, research, and production
Proximity to leading research universities and hospitals
Access to venture capital funding
Strong life sciences ecosystem with biotech and pharmaceutical companies

Some of the notable medical device companies based in California include:

Medtronic (diabetes management, minimally invasive therapies)
Abbott Laboratories (cardiovascular, neuromodulation)
Masimo Corporation (patient monitoring, pulse oximetry)
Resmed (sleep apnea devices)
Dexcom (continuous glucose monitoring)

2. Minnesota

Minnesota, particularly the Minneapolis-St. Paul region, is known as the “Medical Alley” due to its high concentration of medical device companies. The state is home to over 700 medical device firms employing more than 30,000 people. Minnesota’s advantages for medical device manufacturing include:

Highly educated workforce with expertise in engineering and manufacturing
Strong partnerships between industry, academia, and government
Favorable tax and regulatory environment for business
Presence of major healthcare systems and research institutions

Some of the leading medical device companies based in Minnesota are:

Medtronic (headquarters)
Boston Scientific (cardiovascular, endoscopy, urology)
St. Jude Medical (cardiovascular, neuromodulation)
3M Health Care (dental, orthodontic, wound care products)

3. Massachusetts

Massachusetts is a hub for medical device innovation, with over 450 companies employing more than 25,000 people. The state’s medical device industry benefits from its:

World-renowned research universities (MIT, Harvard, etc.)
Highly skilled workforce in science, engineering, and manufacturing
Strong venture capital and funding environment
Proximity to leading hospitals and research centers

Notable medical device companies based in Massachusetts include:

Boston Scientific (headquarters)
Philips Healthcare (patient monitoring, imaging systems)
Hologic (women’s health, skeletal health)
Smith & Nephew (orthopedics, wound management)

4. Indiana

Indiana has a thriving medical device industry, with over 300 companies employing more than 20,000 people. The state’s advantages for medical device manufacturing include:

Central location and strong transportation infrastructure
Skilled workforce with expertise in manufacturing and logistics
Competitive tax and regulatory environment
Partnerships between industry, universities, and economic development organizations

Some of the major medical device companies based in Indiana are:

Cook Medical (minimally invasive devices, cell therapy)
Zimmer Biomet (orthopedic devices)
Roche Diagnostics (diabetes care, laboratory equipment)
Hill-Rom (hospital beds, patient handling equipment)

5. Florida

Florida has a growing medical device industry, with over 600 companies employing more than 20,000 people. The state’s strengths in medical device manufacturing include:

Large and diverse workforce
Favorable business climate with no personal income tax
Proximity to Latin American markets
Presence of major research universities and hospitals

Notable medical device companies based in Florida include:

Johnson & Johnson Vision Care (contact lenses)
Exactech (orthopedic implants)
Arthrex (orthopedic surgical devices)
KCI, an Acelity Company (wound care, regenerative medicine)

Economic Impact of Medical Device Manufacturing

The medical device industry is a significant contributor to the U.S. economy, generating high-paying jobs, driving innovation, and improving patient outcomes. According to AdvaMed, the U.S. medical device industry:

Employs over 500,000 workers directly and supports more than 2 million jobs indirectly
Pays average annual wages of $69,000, compared to $48,000 for all U.S. workers
Exports over $45 billion worth of products annually, with a positive trade balance of $5.5 billion
Invests over $10 billion in research and development each year

The economic impact of the medical device industry varies by state, depending on factors such as the number and size of companies, supply chain linkages, and multiplier effects. Here are some examples of the economic impact in top medical device states:

State	Employment	Economic Output	Average Wage
California	75,000	$30.5 billion	$97,000
Minnesota	30,000	$14.2 billion	$78,000
Massachusetts	25,000	$12.6 billion	$91,000
Indiana	20,000	$10.5 billion	$64,000
Florida	20,000	$8.3 billion	$62,000

Sources: BioFlorida, BioCrossroads Indiana, LAEDC, MassMEDIC, Medical Alley Association

Factors Influencing Location Decisions

Medical device companies consider various factors when deciding where to locate their manufacturing facilities. Some of the key factors include:

Workforce Availability and Skills

Medical device manufacturing requires a highly skilled and specialized workforce, including engineers, scientists, technicians, and production workers. Companies often locate in regions with a strong pipeline of talent from universities, community colleges, and technical schools. States with a track record of medical device manufacturing also have an experienced workforce that can be readily hired.

Proximity to Research and Innovation

Many medical device companies collaborate closely with research universities, hospitals, and clinics to develop and test new products. Locating near these institutions allows for easier technology transfer, clinical trials, and feedback from healthcare providers. States with strong life sciences research capabilities and funding are attractive to medical device companies.

Business Climate and Incentives

Medical device companies, like other businesses, are influenced by factors such as tax rates, regulations, permitting processes, and incentives. States with favorable business climates, such as low corporate tax rates, streamlined regulations, and targeted incentives for the medical device industry, can attract more companies. Economic development organizations also play a role in recruiting and retaining medical device companies through various support services.

Supply Chain and Logistics

Medical device manufacturing involves complex supply chains, from raw materials to components to finished products. Companies often locate in regions with a strong presence of suppliers and service providers, such as contract manufacturers, sterilization facilities, and packaging firms. Access to transportation infrastructure, such as airports and highways, is also important for shipping products to customers.

Challenges and Opportunities

The medical device industry faces several challenges and opportunities in the coming years. Some of the key issues include:

Regulatory Compliance

The FDA’s regulatory requirements for medical devices are among the strictest in the world, and companies must invest significant resources in compliance. The FDA’s approval process can be lengthy and costly, especially for higher-risk devices. However, states with a strong presence of regulatory affairs professionals and experienced FDA consultants can help companies navigate the regulatory landscape.

Cost Pressures

The medical device industry faces increasing pressure to reduce costs, as healthcare providers and payers seek to contain expenses. Companies must find ways to improve efficiency, streamline operations, and lower production costs without compromising quality or safety. States with a lower cost of living and doing business can help companies remain competitive.

Technological Advancements

The medical device industry is constantly evolving, with new technologies such as artificial intelligence, robotics, and 3D printing transforming the way products are designed and manufactured. Companies must stay at the forefront of these advancements to remain competitive. States with strong research capabilities and innovation ecosystems can help companies develop and commercialize cutting-edge technologies.

Cybersecurity and Data Privacy

As medical devices become more connected and data-driven, cybersecurity and data privacy become critical issues. Companies must ensure that their products are secure from hacking and data breaches, which can compromise patient safety and confidentiality. States with expertise in cybersecurity and data protection can help companies address these challenges.

Frequently Asked Questions (FAQ)

What types of jobs are available in medical device manufacturing?
Medical device manufacturing offers a wide range of job opportunities, including:
Engineers (biomedical, mechanical, electrical, etc.)
Scientists (physics, chemistry, materials science, etc.)
Technicians (manufacturing, quality control, maintenance, etc.)
Production workers (assembly, packaging, sterilization, etc.)
Regulatory affairs specialists
Sales and marketing professionals
What education and skills are needed for a career in medical device manufacturing?
The education and skills required vary depending on the specific job, but generally include:
Bachelor’s or advanced degree in engineering, science, or related field (for technical and managerial roles)
Associate’s degree or certificate in manufacturing, quality control, or related field (for technician and production roles)
Skills in problem-solving, critical thinking, communication, and teamwork
Knowledge of regulations, standards, and best practices in medical device manufacturing
Proficiency in relevant software and equipment
Are there opportunities for advancement in medical device manufacturing?
Yes, medical device manufacturing offers opportunities for career growth and advancement, such as:
Moving from technician to engineer or scientist roles with additional education and experience
Advancing from individual contributor to team leader or manager roles
Specializing in areas such as regulatory affairs, quality assurance, or research and development
Starting or joining a medical device startup with entrepreneurial skills and vision
What is the outlook for medical device manufacturing jobs?
The outlook for medical device manufacturing jobs is positive, driven by factors such as:
Aging population and increasing prevalence of chronic diseases
Technological advancements and innovation in medical devices
Growing demand for minimally invasive and personalized therapies
Expansion of global healthcare access and spending

According to the U.S. Bureau of Labor Statistics, employment in medical equipment and supplies manufacturing is projected to grow 5% from 2019 to 2029, faster than the average for all occupations.

How can I find medical device manufacturing jobs in top states?
To find medical device manufacturing jobs in top states, you can:
Search job boards and company websites for open positions
Attend job fairs and networking events in the medical device industry
Join professional organizations such as AdvaMed, MDMA, or state-specific associations
Pursue internships or co-op programs with medical device companies during your education
Work with recruiting agencies that specialize in the medical device industry
Reach out to alumni or professionals in your network who work in medical device manufacturing

By targeting your job search to top states for medical device manufacturing, you can increase your chances of finding rewarding career opportunities in this dynamic and impactful industry.