The U.S. Department of Commerce today designated Birmingham as one of 31 federal Tech Hubs, paving the way for funding which could pump about $75 million into the area to fund biotechnology research and create jobs.

The Commerce Department’s Economic Development Administration made the announcement today. Birmingham distinguished itself among almost 200 applicants nationwide.

Birmingham now moves onto a second round, where ultimately, five to 10 Hubs will be chosen to receive significant funding.

Southern Research is the lead agency in the application, working with UAB, the City of Birmingham, and more than 20 other educational, research and economic development institutions.

“Just to make it to this stage is a huge honor,” Southern Research CEO Josh Carpenter said. “It’s a recognition of the great work that is already being done in Birmingham and the strength of our public-private partners that are working together to expand our biotech footprint and maximize our economic impact for the state as a whole.”

The hub designation aims at making Birmingham a global leader in drug, vaccine, and diagnostics development by applying artificial intelligence-driven biotechnology. This will increase racially-diverse representation in clinical genomic data and clinical trials, and hopefully, accelerate drug discovery and development, organizers say.

The hub is described as seeking “to shorten the drug development pipeline and deliver affordable drugs, vaccines, and diagnostics that treat a diverse global patient population.”

Birmingham Mayor Randall Woodfin said the Tech Hub designation is “a recognition of what Birmingham has become and what it has the chance to become in the years and decades ahead.”

“We live in a great city, and we are fortunate to have great leaders who have the foresight to see opportunities and the determination to make the most of them,” Woodfin said.

The Tech Hubs program is part of the CHIPS and Science Act of 2022, which authorized $10 billion over five years to create jobs and strengthen U.S. economic and national security.

Regions were selected based on their current assets, as well as their potential to become globally competitive innovation centers over the next 10 years.

Partnering in the application are AIDT, Acclinate, Alabama State University, Avanti Polar Lipids, Bio Alabama, Birmingham Promise, Blue Cross Blue Shield of Alabama, Central Six Alabama Works!, the City of Birmingham, Corporate Realty, Economic Development Partnership of Alabama, Evonik, In8bio, Innovate Alabama, Innovation Depot, Lawson State Community College, Miles College, Patient Square Capital, Regional Planning Commission of Greater Birmingham, Southern Research, TechBirmingham, Tuskegee University and UAB.