TLDR: Experts from the University of St. Thomas, led by Dr. Manjeet Rege, assert that Minnesota possesses the necessary talent and infrastructure to become a leader in artificial intelligence. The state’s potential is supported by its robust tech sector, designation as a ‘Tech Hub,’ and significant job exposure to AI. To fully realize this, the experts emphasize the critical need for substantial investment in adult reskilling programs and a comprehensive integration of AI and computational thinking into K-12 education, addressing the state’s current low ranking in foundational computer science access.
The article, penned by Dr. Manjeet Rege, Director of the Center for Applied Artificial Intelligence and Professor and Chair of the Department of Software Engineering and Data Science at the University of St. Thomas, outlines Minnesota’s significant potential to become a national leader in artificial intelligence. Rege, who recently addressed the Minnesota Senate Labor Committee on the state’s AI future, advocates for Minnesota to position itself as an ‘AI-first’ state.
Rege emphasizes that generative AI is rapidly transforming various industries, from healthcare to logistics. Citing the McKinsey Global Institute, he notes that ‘over 60% of today’s work activities could be automated to some degree with technologies we already have.’ This shift disproportionately affects vulnerable populations, including those in lower-wage jobs, individuals with less education, and women, who are overrepresented in office support and customer service roles, as documented by the Kenan Institute.
Despite the potential for job displacement, AI also presents substantial opportunities for economic mobility. An Amazon Web Services Skills study revealed that ‘94% of employers expect to use AI by 2028, yet 73% can’t find qualified people.’ The same study indicated that ‘AI skills could boost salaries by 19%-28%.’ Rege asserts that Minnesota must respond with ‘foresight and compassion’ to these changes, advocating for ‘serious investment in reskilling programs, particularly for people in threatened occupations.’ He also calls for incentives for employers to upskill their workforce and the creation of transition pathways into growing fields like healthcare, STEM, and AI-adjacent areas such as human resources, insurance, and data services. Additionally, he stresses the need for ‘safety nets such as portable benefits, quick training grants and job-matching services.’
Minnesota already exhibits strong foundations for AI leadership. The state is home to Mayo Clinic, recognized as the largest AI patent filer in its industry. It boasts a robust tech ecosystem with established companies like 3M, Medtronic, and SPS Commerce actively investing in AI, alongside innovative startups such as Xylo AI, Flywheel, and Nested Knowledge. Furthermore, in 2023, the U.S. Department of Commerce designated the greater Minneapolis-St. Paul region as a ‘Tech Hub.’
Data from the Minnesota Department of Employment and Economic Development (DEED) analysts further supports Minnesota’s competitive advantage in AI innovation and economic growth. Their findings indicate that ‘56% of indexed occupations in Minnesota have a higher exposure to AI, which would equate to more than 1.6 million jobs across the entire state economy (if all occupations are considered).’
The DEED analysts, along with Rege, underscore the critical role of education—from retraining initiatives to investments in K-12 and higher education—in preparing Minnesota’s workforce for the evolving landscape. The University of St. Thomas is actively contributing to this effort by offering graduate-level AI programs for professional reskilling. Notably, the School of Engineering is collaborating with Boston Scientific to provide dedicated AI graduate program cohorts aimed at reskilling their employees. Other programs, including a new master’s degree in AI Leadership from the College of Arts and Sciences, are also in place.
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However, Rege highlights a significant challenge: Minnesota’s K-12 computer science education. He states, ‘if Minnesota wants to truly lead in AI, we’ve got to start young. That means weaving AI and computational thinking throughout our K-12 education.’ A ‘sobering fact’ from Code.org’s 2024 report on computer science education reveals that ‘Minnesota ranks a dismal 48th out of 50 states in access to foundational computer science in K-12 public schools.’ Rege warns that this deficiency is ‘alarming’ and that ‘If we remain behind, our children will pay the price.’
