Locals probably don’t need to be told that Austin has become the new U.S. tech hub. Nearly every week this year, news has broken about new tech companies moving to Austin, from the Tesla Gigafactory to Amazon distribution hubs in Pflugerville and Round Rock.
A recent LinkedIn report dubbed the “Silicon Hills” of Austin, Texas the top market of its size for emerging jobs, and tech has played a big role in that expansion. According to LinkedIn’s 2020 U.S. Location Trends report, “a lower cost of living and an expanded availability of remote work have created opportunities in a number of smaller U.S. economies,” with Austin ranking as the top city of its size for tech jobs. None of this should come as a surprise to those knowledge workers who already call the area home.
Over the last five years, high-tech industries in Austin have grown by 25%. In fact, around 16% of all jobs in Austin are now in the tech sector. One need only look at a map of the area to see the density of tech companies that make the “Silicon Hills” their home. These well-known companies include eBay, PayPal, Microsoft, Facebook, Cirrus Logic, National Instruments, Hewlett Packard, Emerson, Dell, Samsung, ChemWest, InnoTech, Data Foundry, Orion Novotus, and more.
How did Austin become a hub for high-tech jobs?
A number of factors combined to make the Texas Hill Country around Austin an attractive site for tech firms. The state enjoys a business-friendly atmosphere and low taxes, and the cost of a new home in Austin, Texas is a fraction of what you’d expect to pay on the coast. The natural surroundings of the region are just breathtaking, and the great weather and copious natural resources allow for a robust outdoor lifestyle.
The Silicon Hills got their start when Dell came to the region in the 1980s. Since then, more and more startups, entrepreneurs, and established tech giants have come to call the area home. Area companies range from social media to enterprise software, video games to semiconductors, and biotechnology to cloud computing. By 2019, four of the five largest tech companies in the world had major operations in Austin.
Why Tech Companies Are Moving to Austin?
Why are tech companies moving to Austin? Residents of the city probably don’t even have to ask this question. They already know all about our city’s laid-back lifestyle, vibrant arts and music scene, numerous opportunities for outdoor activities, and gorgeous sunsets. Whether you’re living in a downtown loft or a master-planned community in the suburbs, the cost of living is cheaper than on the coast, while the quality of life is every bit as high.
Companies know it, too. Organizations that have made the move from California or New York report cost savings of up to 20% to 35% by relocating to a city like Austin, thanks to our attractive cost of living and business-friendly tax laws. Plus, the fact that Austin is already a growing tech hub means that there’s a ready pool of top-notch technical talent available from the moment these companies arrive.
According to the Austin Chamber of Commerce, 58 major companies relocated to the Austin area in 2019 alone – not including tech giants such as Apple, Amazon, and Google, who opened new offices in the region. Relocating to Austin means cost savings for those companies, and it also brings job opportunities to the area. In fact, the Chamber of Commerce reports that those relocations added more than 4,600 new jobs to the local economy, while local startups raised more than $1.8 billion in venture capital in 2019.
What Tech Companies Are Moving to Austin?
There’s an influx of tech companies moving to Texas. The list really does go on and on. We mentioned that the Silicon Hills got their start when Dell opened up offices here. Since then, companies like eBay, Cisco, Apple, Amazon, Facebook, Google, Microsoft, Indeed, PayPal, Intel, Texas Instruments, Oracle, Samsung, and many others have made their homes in Austin and the surrounding towns.
And they aren’t the only ones. Tesla announced that it will build a new Gigafactory in Austin in the near future. The company’s only current factory – located in Fremont, California – employs some 10,000 people, and we’re expecting big things from the new Austin factory, which promises to add 5,000 jobs right away.
Other tech companies in Austin area include BAE systems, which added some 700 new defense and aerospace jobs, two new Amazon distribution centers, which brought more than 1,600 new jobs, cloud collaboration solution Airtable, Flex Health, and the online customer survey solution QuestionPro.
Tech companies aren’t the only ones who are flocking to Austin, either. Nearly 100 other companies in various sectors have announced that they are moving to the area or expanding their local operations in the coming year. Tens of thousands of well-paying new jobs are on their way to Austin, with more being announced every day.
Where should I live in Austin, Texas if I’m moving to the area?
All those jobs are going to require smart, motivated, skilled workers to fill them. And those workers need places to live. Fortunately, if you’re moving to Austin, Texas for one of our many tech jobs, you have a lot to look forward to. Our region has one of the best music scenes in the world, plenty of museums and art galleries, great weather, incredible dining opportunities for foodies, and a laid-back lifestyle that can’t be beaten.
Whether you’re moving to North Austin, Georgetown, or a master-planned community like Santa Rita Ranch in Liberty Hill near Georgetown, Round Rock, and Austin, you’ll find that new homes in Austin, Texas are affordable— a lot more affordable than in the pricey Silicon Valley region! What do we mean? Well, at Santa Rita Ranch, you can find new homes from a dozen world-class builders with prices starting in the $200,00s!
If you’re considering a relocation or just want to learn more about what Austin, Texas has to offer, check out one of our online tours, visit the city for a weekend and come see us, or fill out the short form above to subscribe to our Ranch newsletter. We’ll help you keep up to date with all the latest and most exciting news here in the Texas Hill Country!