Jealous of the economic benefits enjoyed by Silicon Valley and, increasingly, New York, other U.S. cities are ramping up activity to court young, developing companies.
The latest? Philadelphia. The city's mayor, Michael Nutter, announced this morning that the Philadelphia Industrial Development Corporation will partner with First Round Capital to invest in and manage what will be called the "Startup PHL Seed Fund."
First Round recently relocated its suburban Philadelphia office to within city limits, in the University City district; it also has offices in San Francisco and New York.
The city wants to "increase the availability of investment capital for Philadelphia-based startups," it says, and will do so by investing $3 million -- the same amount will be matched by First Round -- to support early-stage startup technology companies.
"The Startup PHL Seed Fund is a very concrete example of how the City of Philadelphia is dedicating real attention and resources towards helping founders succeed in America's founding city," First Round founder Josh Kopelman said.