What You Need to Know About Texas’ Growing Tech Industry
In the popular imagination, Texas conjures images of a bygone era – ranchers, sheriffs, sprawling deserts and roadside taverns. But the Lonestar state is appreciably more complex and diverse than those stereotypes. Its cities bristle with energy. Its citizens hail from several backgrounds. And its innovators are at the forefront of American thought.
Case in point: Texas’ thriving tech sector, which has grown to rival its coastal counterparts in size, influence and sheer disruptive imagination. In this article, let’s travel south to explore what you need to know about Texas’ growing obsession with all things technology.
Everything’s Bigger in Texas
To start, let’s evaluate the numbers. Texas is no slouch in terms of size and population. It is the second largest state by area (after Alaska), meaning there is ample real estate for tech companies to set up shop. It is also the second largest state by population (after California), which means the state has a diverse pool of talent from which to draw.
Rounding out its litany of second-place finishes, “Texas is the second most popular state in the United States for relocation, with more than 500,000 people moving to the Lone Star State every year,” according to tech innovator Regan McGee.
Together, these figures paint a compelling portrait of a state that’s flush with real estate, human capital and potential.
The Silicon Valley Migration
According to the LA Times, California has “suffered a net out-migration of people to Texas” in recent years. Giant tech innovators like Tesla, Oracle, and HP Enterprise all left the Golden State in search of cheaper real estate, uncovered talent, and – crucially – Texas’ state incentives.
The article likens the migration to Hollywood’s loss of industry import in the last few decades, as production companies moved to more inexpensive, highly incentivized locations like Canada and Georgia. Texas is creating favorable conditions for growth, which several tech companies looking to expand profits can’t ignore.
The Real Estate Technology Boom
You can’t mention Texas’ tech boom without also nodding to its real estate boom. And there’s no better person to explain things than Nobul’s Regan McGee, who recently established his consumer-centric real estate digital marketplace in Texas.
“With home sales on the rise, days on market continuing to fall, and more than 30 million people living in Texas alone, we couldn’t be prouder to provide our technology to the thriving Texas real estate market,” McGee told a local Houston news site. As proptech (short for property technology) ascends in popularity, its innovators naturally gravitate to areas rich in real estate potential. Texas ticks those boxes handily.
To summarize, Texas’ tech industry is flourishing under several favorable conditions. Texas is one of the largest states in terms of area, population, and relocation, making it rich in talent and real estate. The state’s competitive incentives and relatively low cost of living attract several big companies and small tech startups. And its booming real estate industry enables innovative tech companies to capitalize on a unique opportunity. Will Texas become the next Silicon Valley? Only time will tell.