Philips moving research hub to Cambridge for $25M collaboration with MIT
Royal Philips has signed a five-year deal with the Massachusetts Institute of Technology, a deal it is undertaking along with moving its North American research center from New York to Cambridge.
Philips (NYSE: PHG) will invest $25 million over five years in the research initiative, its largest to date in North America. Philips said it plans to hire dozens of people as well as relocate its existing research headquarters in Westchester, New York to the site. Researchers from other existing locations in Massachusetts may also come to the new location.
The company said it decided to move research to Cambridge before the deal closed with MIT, and said it was attracted to MIT because of the expertise contained within the organization.
“We visited various institutions not only in Cambridge but other cities before we made our choice,” said Henk van Houten, the global head of Philips Research. “We were surprised by the breadth and richness of the competency of MIT (and also) the vision of the staff and being extremely networked, they don’t only look around what’s happening in Boston … they have a global vision.”
MIT also has a desire to put their innovations into practice, van Houten said, an aspiration that resonated with the company.