Arizona has more than 8,000 technology companies operating in the state, with a growing tech workforce of more than 168,200 jobs, a new Arizona Technology Council report found. The tech community has seen a 1.38 percent employment growth, which ranks the state second in the Southwest and ahead of California, according to the report.
Chandler-based Microchip Technology Inc. completed its largest acquisition Tuesday.
The semiconductor manufacturer ended up buying Microsemi Corp. for $10.3 billion. It was originally reported as a $10.15 billion transaction.
Microchip was ranked as the 27th largest global semiconductor supplier in 2017, and Microsemi was ranked 39th.
The combined sales of $5.6 billion for the two companies would have ranked Microchip as No. 20 last year, Matas said.
“This means the Valley will be headquarters to or have a significant manufacturing presence from three of the world’s top 20 semiconductor companies: Intel, Microchip, and ON Semiconductor,” Matas said in March.
Business, civic, and education leaders alike are collaborating to help turn Phoenix into a leading market not just for large corporations, but also tech companies. Driving across the region you can see signs for other major tech companies from Silicon Valley, including Weebly, Uber, Shutterfly, Prosper Marketplace, BoomTown, Gainsight, and DoubleDutch. These companies, and others like them, saw reprieve from the exorbitant costs of doing business in the Bay Area and the spiking labor competition, but were also drawn in by the value of running their expansion offices in Greater Phoenix.
“It all started with light rail,” said Christine Mackay, Phoenix’s Director of Community and Economic Development. “Every ounce of it doesn’t happen if light rail doesn’t happen. Every ounce of it doesn’t happen if our universities don’t move into downtown. They are really the catalyst that started all this.”
Many of the downtown buildings are occupied by millennials, who are attracted to the housing, nightlife and soon-to-be grocery store that didn’t exist downtown in 2012.
At that time, there were just about 1,800 tech jobs downtown. Now there are more than 7,000.
The new 10-year lease for the soon-to-be 180,000-square-foot facility in Gilbert will help the company retain nearly 1,400 jobs in the town, said Calvin Crowder, GoDaddy’s vice president of global real estate.
“There’s a wonderful sense of community in Gilbert,” Crowder said. “We’ve found a wealth of talented, customer-focused employees here and it’s worthwhile to invest in them and upgrade the facility.”
GoDaddy’s 24-hour customer service center in the town makes it GoDaddy’s largest operational center in Arizona, according to the company.
In June, Money magazine rated Phoenix the third-hottest city for technology jobs. The publication’s report cited a 188 percent growth in technology jobs, a median monthly housing rental cost of $1,345 and median home prices at $216,000. Additionally, CompTIA’s 2017 Cyberstates report found there are more than 139,400 technology jobs in Arizona with an average wage of $97,400.
Many renters have an expectation of connectivity and will demand technology solutions to be part of every aspect of their housing, and they certainly don’t want outdated solutions. So, how do architects anticipate the future and sell solutions to developers with the end goal in mind—to make money?
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