Camden becomes a player in a surprising industry
Camden, January 21, 2008 In the past six years, some 700 jobs, most technical in nature,
have been added in a city with virtually no middle class. During
that time, the upstart firms in one Camden business incubator have
landed more than $100 million in military contracts.
"It creates job slots that people can get if they can get a
quality education," said U.S. Rep. Rob Andrews, a Democrat whose
district includes Camden, a city of 80,000 across the Delaware
River from Philadelphia.
Much of the defense industry research and product development is
taking place at the Applied Communications and Information
Networking Program, or ACIN, which is home to a business incubator
and research done by faculty and graduate students at
Philadelphia-based Drexel. Federal grants, including one awarded
last year for $4 million, subsidize the operations and marketing
costs of the operation where about 250 people work.
Projects include preparing a system to analyze information about
ships spotted by cameras off the coast of the United States,
teaching robots to work together and systems to deliver data
through cell phones.
For decades, Camden has been suffering. It's always included on
lists of the nation's poorest and most crime-ridden places.
A century ago, the city was booming and technology was a big
part of the reason.
In 1901, the Victor Talking Machine Co. set up here. It built an
early record players, including the Victrola, and recorded musical
stars of the time.
Since then, a related company - by now distantly related - has
remained on the city's waterfront. Through mergers and spinoffs,
the business was part of RCA, then General Electric, Martin
Marietta and Lockheed Martin. By the early 1990s, what remained in
the city was a division of L-3, a defense contractor specializing
in intelligence-gathering tools. It now has about 1,200 employees
in Camden.
In the late 1990s, Andrews joined the House Armed Services
Committee and became interested in why the military lagged years
behind in technology.
That's when he became a proponent of trying to get private
businesses to create military uses out of commercial technology.
ACIN was designed largely to do that. It opened in a warehouse
rented from L-3 with no fanfare in 2001.
Now, it's housed on one floor of the two-year-old Waterfront
Technology Center. Sometimes robots on wheels zip around the
otherwise-vanilla maze of cubicles and offices.
Half of another floor of the building is occupied by Gestalt, a
company that, with 280 employees worldwide, outgrew ACIN. The firm,
which does military consulting and develops battlefield computer
simulations, was bought last year by the big consulting firm
Accenture, but has said it will stay in Camden.
Most incubators charge upstart companies based on how much
office space they get. But at ACIN, companies pay $350 per employee
each month. That covers office space, phone lines, Internet
connections, copies, coffee - and, more important, advice from the
center's leaders.
Lou Bucelli, the entrepreneur in residence, has experience
getting companies off the ground. And its general manager, Ed
Celiano, has experience contracting with the military.
Brad Blumberg, CEO of a company called Smarter Agent, said the
low overhead cost is why he decided to move into ACIN more than
five years ago as one of its first occupants.
The company makes a program for cell phones that use global
positioning system technology and information from a variety of
sources, including public records to real estate listings. At the
push of a button on a standard cell phone, people can get
information about nearby apartments for rent. The company is adding
a version for home sales, too.
But there's also a government application.
Blumberg said he'd like to sell versions to public agencies like
homeland security organizations and fire departments. Firefighters
could use it to find out instantly if a burning building has any
registered hazardous materials. And relief workers dispatched
during a disaster could find information about a devastated home,
he said.
Blumberg said he is not especially loyal to Camden. If his
company, which he expects to have 20 employees by springtime,
outgrows ACIN, he will go where the economic deal is best.
But on at least a small scale, his company has boosted the local
economy.
The CEO and his employees have spent so much time at one
restaurant that its menu has a salad called "the Smarter Agent."