Louisiana Economic Development (LED) launched its new Louisiana Innovation (LA.IO) division on Feb. 6, and said the new organization aims to position the state as a leader in the development of more high-growth, technology-enabled startup companies.
The first LA.IO initiative is the creation of the Louisiana Growth Fund, with initial Federal funding of $50 million that innovators can utilize in establishing and scaling startups across Louisiana.
“Successfully positioning Louisiana to win demands that we not only attract new businesses, but grow new businesses from the ground up,” LED Secretary Susan B. Bourgeois said in a statement. “Louisiana Innovation is dedicated to working with startups as well as existing companies to grow Louisiana’s innovation economy … We are redefining the Louisiana opportunity by investing in the next industrial revolution.”
The LA.IO also plans to develop an artificial intelligence (AI) institute, dubbed the Louisiana Institute for Artificial Intelligence, that will serve as the state’s lead anchor for its statewide AI strategy.
According to LED, the state’s AI strategy is focused on applied research and development, commercialization, workforce development and policy. The institute’s first project will be to “upgrade 5,000 small businesses across Louisiana with AI tools that will enable them to scale their business and improve their competitiveness.”
Additionally, LA.IO also aims to further partnerships “that are already doing the hard work of supporting innovators.”
“Facilitating the right connections and offering coaching to innovators and startups are just as vital as the funding that’s being made available through Louisiana Innovation,” said LED Chief Innovation Officer Josh Fleig.
LED is currently participating in seven seed capital funds across Louisiana with plans to add more in 2025.
Currently, partners include Ochsner Louisiana’s Innovation Fund; Tulane University’s Innovation Institute; the New Orleans Startup Fund; Innovation Catalyst; Boot64 Ventures; The Idea Village, and Propeller.
“All of these partners have built respected, high-impact startup events in their regions. Now united under the Louisiana Innovation initiative, these partners will work together with dedicated staff, shared tools and real-time collaboration to create an innovation ecosystem that is greater than the sum of its parts,” Fleig said. “These and future partners from other regions are critical to LA.IO’s success, because they provide the expertise needed to coach entrepreneurs through complex challenges, from creating business models to preparing for investor pitches.”
