By John Blaze
In these challenging economic times, Maryland stands at a critical juncture. Business growth and competitiveness are critical to shoring up the state’s edge as a destination for economic success. With a thriving tech ecosystem, world-class research institutions, and a diverse, highly educated workforce, Maryland has the potential to become a leader in innovation. That is why it is so critical that we seize the moment and support policies and people that will foster our prosperity and ensure Maryland is an attractive destination for prospective businesses and entrepreneurs to call home.
However, potential alone isn’t enough. Now, more than ever, Maryland needs forward-thinking policies that enhance our competitiveness and put us in a strong position to thrive in today’s technological revolution. The recent loss of our triple-A bond rating should be a wake-up call for everyone involved in Maryland’s business and economic landscape. For the first time since 1973, Maryland failed to receive an AAA bond rating from Moody’s, a downgrade “driven by economic and financial underperformance compared to AAA-rated states.” Beyond the direct financial implications, this downgrade is a clear warning that the state is becoming less desirable to new businesses, forcing investors to look at neighboring competitors like Virginia and Delaware.
On top of the downgraded bond rating, which could soon drive business opportunities out of the state and into new markets, we have a “nation-leading” privacy law going into effect soon that will no doubt hamstring small businesses and worsen our competitiveness as a state. The Maryland Online Data Privacy Act (MODPA) of 2024, which jeopardizes small business success, forcing local business owners to navigate complex requirements in order to maintain access to key digital tools, will go into effect in October. We missed a key opportunity this past session to pass a small but important adjustment to the law that would have protected small businesses from burdensome regulations and increased compliance costs.
Persistent regulatory hurdles and outdated infrastructure compound these challenges, undermining confidence in Maryland’s business climate and economic viability. Left unaddressed, these setbacks risk eroding the state’s hard-earned reputation as a destination for commerce and long-term investment. If we want to remain a national leader in technology and economic development, we must recommit policies that build a stable and business-friendly environment, removing avoidable hurdles and signaling that Maryland is ready to lead again
Having been in the supply chain of the semiconductor industry, I know the need to safeguard personal data in an increasingly digital world is critical, but it must be done in a way that supports innovation and does not place unnecessary burdens on those working to build and sustain our economy. At a time when Maryland’s economic vitality is on the line, we cannot afford to impose added economic hardship on our small businesses or the communities they serve. Times are tough. If we become known as a state that supports stringent regulations that hamstring our financial and economic wellbeing, our state risks losing out on prospective business and entrepreneurs who have a lot to offer our state.
The loss of our triple-A rating and failure to pass sensible data privacy protections are just two examples from the growing list of hits Marylanders have taken in the past year. If we want to remain competitive with our neighboring states – as well as states across the nation – we have to do better. Keeping Maryland competitive in today’s digital economy means advancing policies that support innovation while strengthening consumers’ trust. Maryland has the potential to become a national leader in emerging industries, but we must take action to ensure we are providing a competitive landscape that appeals to businesses looking to set up shop. Together, we can position Maryland as a destination for AI companies, entrepreneurs, and investors looking for a strong foundation to build the future.
John Blaze, President of Eastern Scientific, a manufacturer’s representative/ distributor company serving semiconductor, solar, optical, and industrial vacuum industries including universities and R & D.