Shapiro Administration Highlights Budget Proposal to Support Pennsylvania’s Innovation Economy During Tour of X-Hab 3D in State College

State College, PA –  Today, Department of Community and Economic Development (DCED) Secretary Rick Siger highlighted the importance of supporting and reinvesting in Pennsylvania’s innovation ecosystem during a tour of X-Hab 3D, a local company that produces semi-autonomous 3D concrete printers for construction of residential and military projects.

Since taking office in 2023, Governor Josh Shapiro and his Administration have focused on sparking Pennsylvania’s innovation economy. In his 2026-27 proposed budget, Governor Shapiro is calling for increased funding for innovation in the areas of opportunity laid out in the Commonwealth’s Economic Development Strategy — including life sciences, robotics and technology, energy, manufacturing, and agriculture.

“Pennsylvania has the resources, talent, and technology to lead, but we need to offer more support to help businesses and innovators thrive,” said Secretary Siger. “Governor Shapiro’s 2026-27 budget makes bold investments — including nearly $100 million through Innovate in PA 2.0 — to ensure startups and manufacturers have the capital and workforce support they need to grow. If we want more success stories like X-Hab 3D, we must invest in innovation — and this budget does exactly that.”

Secretary Siger was joined by Penn State University President Neeli Bendapudi, X-Hab 3D CEO Bruce Kraselsky, Ben Franklin Technology Partners of Central and Northern PA President Steve Brawley and other leaders to tour X-Hab 3D and see first-hand the company’s innovative 3D concrete printers.

Located in the old Corning warehouse in State College, X-Hab 3D was founded in 2021 after collaborating on a federally funded feasibility study to evaluate whether 3D concrete printing could perform in the sub-arctic. The systems use a robotic arm to extrude concrete layer-by-layer to build structures directly on-site without traditional forms. X-Hab printers can help speed up build times, reduce costs and waste, and result in fewer site injuries. The company has delivered mobile 3D concrete printing systems to U.S. government, commercial, and university customers. DCED has provided $1 million in support to X-Hab 3D, with prior funding through the Ben Franklin Technology Development Authority (BFTDA).

“The sectors Pennsylvania is prioritizing — robotics, advanced manufacturing, energy, and advanced materials – are inherently capital-intensive,” said CEO of X-Hab 3D Bruce Kraselsky. “Early support from Ben Franklin Technology Partners and collaboration with Penn State helped us move from research to a commercially viable robotic construction system built here in State College. Initiatives like Innovate in PA 2.0 represent the next step – helping close the funding gap between proving a technology works and scaling it into a globally competitive business.”

“Research institutions are hubs of innovation and discovery, and it is a priority at Penn State to focus on translating that knowledge into real-world solutions,” said Neeli Bendapudi, President, Penn State University. “X-Hab 3D’s technology started in a Penn State research lab and developed into the current company with support from programs like Invent Penn State and Ben Franklin Technology Partners. We see what is possible as we work together to improve the lives in the communities we serve.”

“X-Hab 3D demonstrates the kind of innovation being built in Pennsylvania today. Ben Franklin Technology Partners of Central and Northern Pennsylvania has invested $1 million in the company and worked alongside their team to provide hands-on expertise across operations, manufacturing, and core business functions including sales, finance, HR, and fundraising,” said President and CEO of Ben Franklin Technology Partners Central and Northern Pennsylvania Steve Brawley. “Early-stage support like this is critical to helping emerging ventures grow and strengthen the Commonwealth’s economy. With continued investment in Pennsylvania’s innovation economy, we can help innovators like X-Hab 3D scale their technologies and create jobs.

Governor Shapiro’s 2026-27 budget proposal increases funding for innovation to continue economic growth around the Commonwealth.

• Innovate in PA 2.0: Back in 2013 under a Republican Governor, Pennsylvania launched the Innovation fund. Building off of that legacy, this budget creates the Innovate in PA 2.0 program to deploy nearly $100 million into the state’s innovation economy. Innovate in PA 2.0 would provide capital for promising startups — following in the footsteps of companies like Gecko Robotics in Pittsburgh or Gilson Snow in Selinsgrove — fund clinical trials for the life sciences, and develop a workforce and education pipeline to help these companies succeed.
• Ag Innovation Grant Program: Pennsylvania agriculture supports over 48,800 farms, nearly 600,000 jobs, and contributes $132.5 billion annually to our economy. Governor Shapiro understands that economic success is dependent on our rural communities and farmlands ― that’s why Pennsylvania has leaned into the innovation found on our farms and has put real capital behind our farmers. The 2026-27 budget includes a $9 million increase ― a total of $19 million — for the first-in-the-nation Agricultural Innovation program.

Governor Shapiro and his Administration recognize that Pennsylvania has always been a national leader in discovery and innovation — from Ben Franklin’s lightning rod to the polio vaccine. The Commonwealth has been a key supporter of that innovation, encouraging Pennsylvanians’ big ideas and funding many of our nation’s firsts, including the first public-private technology partnerships in 1983 and the first Agricultural Innovation Grant Program under Governor Shapiro in 2023.

For more information about the Department of Community and Economic Development, visit DCED website, and be sure to stay up-to-date with all of our agency news on Facebook, X, and LinkedIn.

MEDIA CONTACT:
Justin Backover: dcedpress@pa.gov or 717.418.4014

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