Large urban areas like San Francisco and New York City are no longer the only places where technology hubs can be found. According to BBG, a leading independent national commercial real-estate valuation, advisory, and assessment firm, more tech companies are deciding to locate their operations in smaller U.S. cities in the Midwest and the South.
Celebrated tech centers such as California’s Silicon Valley and New York City’s Silicon Alley are increasingly being passed over in favor of cities which are not usually associated with the technology sector. Such cities include Cleveland, New Orleans, Austin, Nashville, and Raleigh-Durham, North Carolina.
Take Nashville, for example. The renowned “Music City” has received 30 percent growth in tech companies between 2010 and 2015, making it the fourth-largest tech hub in the U.S. Charlotte, North Carolina, also deserves recognition. The city grew jobs by more than 60 percent between 2006 and 2016, and experienced 18 percent growth between 2014 and 2016, the fastest rate in the country.
According to a press release announcing BBG’s findings, tech companies are flocking to mid-sized and small cities because of the availability of a large pool of skilled workers, good quality of life, lower prices for office space and housing, and easy access to major highways and airports.
In commenting on the country’s tech spread, BBG CEO Chris Roach said, “America’s tech eco-system is rapidly expanding beyond large urban areas as a result of companies easily acquiring the resources they need in smaller metropolitan areas, enabling them to remain innovative in a competitive landscape. While the country’s large, established tech hubs will stay active, the small and mid-sized cities will be well-positioned to attract more tech business in the years ahead, resulting in strong economic activity overall in those areas.”
Danita White for TechFunnel.com