Technology and software employees are once again in high demand despite the industry witnessing droves of layoffs and job cuts at the start of the year. In a recent turn of events, some big-tech companies, and startups are looking to fill open positions, calling on previous employees to return or apply for new vacancies.
Tech layoffs made headlines this year, as technology and software companies severely reduced their headcount in an attempt to stabilize their bottom line and shake up their balance sheets.
Already this year, around 1,589 companies have laid off more than 359,000 employees, with job cuts peaking in January.
With thousands of employees being booted, and demand for advanced digital tools, against the backdrop of artificial intelligence (AI) rapidly evolving, some companies are now ready to hire again.
Historically, the San Francisco Bay Area and Silicon Valley were considered the go-to place for novice tech employees looking to break into the industry. However, as the marketplace has undergone dynamic changes, and many companies are looking to relocate to other parts of the country, mostly for tax purposes, many have taken those open positions with them.
Best U.S. Cities For Tech Jobs
Several sources provide a deep dive into the tech industry, and more importantly, the cities across the country where most of these jobs are located. Finding the right tech job is mostly about looking in the right place.
While you might recognize some familiar names on this list, here’s a look at some alternative options where you could find many suitable tech jobs.
Austin, Texas
Welcome to Silicon Hills - the Silicon Valley of Texas.
While Austin is famous for its music, culture, and food, in recent years, it’s become a go-to place for tech companies and employees, as the city offers a relatively affordable cost of living, an attractive business environment, and perhaps the best - no state income tax.
The city has the sixth-highest concentration of tech jobs in the country, with companies such as IBM, Amazon, Tesla, and Dell all having a presence here. The Austin Chambers reported that last year, the city’s tech industry grew by 9.8%, while jobs in the metropolitan area increased by 8.5%.
A recent study showed that Austin has experienced a significant increase in new tech jobs, drawing in young workers from across the country. Between 2016 and 2021, Austin experienced a 52% increase in tech workers in their 30s.
According to the same study, salaries for tech workers have jumped by 18% during the last five years, with the average employee now earning around $104,000 annually.
The highest-paying roles are currently concentrated in computer and Information Technology (IT), with these employees earning an average of $164,770 annually.
Seattle, Washington
The Emerald City has continuously been a go-to place for thousands of tech workers, as Seattle boasts several big-tech headquarters, and most recent data revealed that the city sees nearly one in ten residents working in tech.
In total, more than 160,660 city residents, or 83.78 per 1,000 work in the technology and software industry, making it one of the areas with the highest concentration of tech workers in the Pacific Northwest.
Despite the thousands of layoffs the industry experienced earlier in the year, Seattle continued to see growing tech job vacancies and estimates predict that Washington State will see a nearly 4% increase in tech job openings this year - the largest projected increase in the U.S.
Figures from a Tech Salary Trends report showed that the average salary in Seattle rose by 7.6% between 2021 and 2022 to $129,456. Seattle ranked third in terms of having the highest-paid tech workers, with Boston and Silicon Valley in second and first place, respectively.
Huntsville, Alabama
For quite some time, Huntsville, Alabama, has steadily become one of the biggest, and perhaps most attractive tech hubs in the South.
While the local industry not only offers high-paying jobs, some of the best in the country, affordable housing and better cost of living are also drawing in younger tech workers.
Tech is one of the biggest employers, with tech jobs accounting for 17.6% of overall employment in the city, higher than the national average of 9.5%. While not necessarily big in terms of other places such as New York and Silicon Valley, Huntsville has a fast-growing ecosystem of tech startups, and software companies now planting their roots here.
The average annual salary ranges anywhere from $104,150 to $194,484, with tech jobs paying 2.9 times higher than the average salary across nearly every job category in the city.
While the area is still up-and-coming and provides ample room for techies to grow their careers, the city has a slightly above-average quality of living and a relatively younger workforce. Although it might not be as exciting as other bigger, and more well-known places, Huntsville is a good place to launch a tech career.
San Jose, California
San Jose is considered to be the epicenter of tech jobs in the U.S., and at the heart of the city, lies Silicon Valley.
There is seldom a shortage of tech jobs in San Jose, and although the area was at the center of earlier tech layoffs this year, things are starting to shape up, with some of the biggest names in the industry looking to hire again.
Historically, the area was considered to be for veteran and professional tech workers who already have years of experience in their fields. However, new developments and advancements in the field of technology, and more so, artificial intelligence, are helping to create a wealth of opportunities for younger, and less-experienced techies.
Who will you be working for? Well, only some of the biggest, and most prominent names in the tech industry, of course. Companies including Apple, Adobe, eBay, Google, Paypal, Cisco Systems, Meta Platforms, Tesla, Zoom, and HP, among others are located around the city.
Nearby Stanford University has helped supply San Jose with cohorts of fresh tech graduates each year, however, there is enough room for experienced professionals to leverage available opportunities.
Due to the nature of the highly competitive market, tech workers typically receive some of the biggest salaries here, compared to other parts of the country. Recent statistics show that salaries can range from $30,000 to $151,500, with the average salary ranging around $92,500.
This might seem small compared to other cities on our list, however, there have been reports of some tech workers making more than $200,000.
Boulder, Colorado
The small and tight-knit community of Boulder, Colorado has become a popular destination for tech workers and venture capital investors alike in recent years, with some big-tech companies setting down roots in the city.
What draws tech workers here is not necessarily the opportunities offered by big companies like Google, IBM, Twitter, or Sphero, but more than this, the area provides residents access to a wide range of outdoor and nature activities. Endless hiking trails, lakes, rivers, and creeks are only some of the most attractive outdoor attractions Boulder has to offer.
Venture capital investment is one of the more lucrative spin-off industries, with some tech consultants earning on average $118,150 a year, which equates to roughly $9,845 per month.
Big salaries, endless outdoor attractions, high quality of living, and continuous growth makes Boulder one of the most popular places for tech workers looking to launch their career. While the cost of living tends to be slightly above the national average, nearly 67% more, every dollar spent here will be worth it.
Raleigh, North Carolina
For techies living on the East Coast, Raleigh has steadily been making a name for itself in the tech industry over recent years. What makes Raleigh a top place to work and live is the affordable cost of living compared to other bigger cities such as San Jose or nearby Washington D.C.
On average, the city boasts roughly 58.47 tech jobs per 1,000 people and sees more than 37,000 residents currently working in the tech and software field. Commerce is perhaps the third most lucrative and active industry, which is often considered a branch of the wider tech industry.
One would think that a mid-sized city such as Raleigh would offer employees less money. Well, that’s not necessarily the case. According to Indeed.com statistics, the average residential salary is roughly $133,478 as of 2023.
IBM currently ranks as the highest-paying employer, with the annual tech worker making nearly $104,222 per year. Salaries typically range anywhere from $53,000 to more than $140,000, depending on the position and experience.
What’s more, Raleigh sees roughly six percent of the city’s population working in tech, and with nearby Durham being only a stone’s throw away, tech workers have endless options to choose from when searching for new jobs.
Washington D.C.
D.C. isn’t only decorated with the headquarters of the federal government, instead the city features several high-tech companies, including IBM, Deltek, Intuit, Appian, and Salesforce. Sitting among these names are also several dozen federal government tech and software agencies and organizations, some of which play a vital role in the country’s national defense and cybersecurity.
Aside from the government pumping billions into the fast-track development of technology and artificial tools, reports from 2021 showed that 10 tech companies raised more than $2.4 billion in venture capital.
The city features a colorful range of tech jobs, with the more lucrative positions being available in the private sector. While a federal government job might pay slightly less, tech workers tend to scoop these up relatively quickly due to the high level of job security that comes with it.
Cybersecurity, healthtech or medtech, and software are some of the most active sectors in the D.C. tech industry. Paychecks are relatively big, compared to other parts of the country, with the average tech employee making a median of $117,730 per year.
A report from 2021 showed that D.C. ranked third in the country in terms of average tech professional pay.
New York City, New York
You can’t make a list of the best cities for tech professionals without mentioning New York City at least once. The Big Apple has been a long-standing favorite for many tech employees looking to escape the West Coast.
While the city boasts ample opportunities around every corner, that big corporate paycheck won’t get you much here.
New York City broke the record for having the highest average monthly rent this past summer in the country, with some residents paying more than $4,000 on average for their apartment.
In terms of costs of living compared to San Francisco, New York City outranks the Bay Area in nearly every category. Rent isn’t only 13.0% higher here compared to San Francisco, eating out in a restaurant tends to be 6.6% higher, while overall consumer prices including rent are 7.3% more expensive in the city.
Despite the eye-watering rents, crowded public spaces, and shortage of greenery, New York City remains one of the best places for tech workers looking for a good-paying job at one of the country’s most reputable tech companies.
In terms of salary, experienced developers and engineers can make anything up to $151,339 per year, while UX designers can make up to $122,427 per year. Not bad considering you’ll spend most of that on rent and public transport.
Boston, Massachusetts
Don’t let Boston’s historic remnants fool you, while the city may play as the backdrop to one of the oldest towns in the country, it boasts a thriving tech and software industry, with biotech, fintech, and edtech being among the fastest-growing sectors.
Some of the best high-tech employers in the city include NVIDIA, which is currently spearheading the AI industry, Boston Dynamics, Skillsoft, and Toast.
For any techies new to the market, be warned that the job market here can be somewhat competitive with the Massachusetts Institute of Technology (MIT) being one of the biggest suppliers of freshly graduated professionals to local tech companies.
Based on current data, paychecks tend to be in line with that of the industry average, and of other tech-forward cities. However, experience will help in the long run, and will count in your favor if you’re looking to stand out from the crowd.
Developers and software engineers make on average $137,063 per year, while product designers pay about $139,424 annually. Those working in data and analytics can look to make more than $114,000 per year, while other entry-level tech jobs typically pay between $65,000 and $92,000 per year.
Boston is not only historic, but for younger tech workers, it can easily be a vibrant, and exciting place to live, especially with so many young residents moving here for the exceptional quality of life.
Colorado Springs, Colorado
While smaller, one shouldn’t overlook Colorado Springs as a suitable option to start or build a tech career. The city sees about 53.56 tech positions for every 1,000 people, and there are currently more than 15,000 residents employed in the local tech industry.
Who’s hiring here? Some names include Tek Experts, BlueStacks, and Ivanti, among others. The industry here is heavily concentrated on IT, software, and product development. While there aren’t many big-tech names that have offices in Colorado Springs, smaller, and less competitive companies give newcomers the perfect opportunity to launch their tech careers.
A key selling point for many tech workers here is not only the more relaxed working environment but the seemingly affordable cost of living. Despite inflation taking a toll on many people these last few months, Colorado Springs tends to be only 5% more expensive than the national average.
When you begin to compare the cost of things such as housing, transportation, and utilities to other major tech cities, you begin to realize that Colorado Springs seems a lot more affordable than one would think.
With the Rocky Mountains as the backdrop to the city, and with the nearby Pike National Forest, outdoor recreational activities are a big part of your lifestyle here. A thriving community of young people has moved to Colorado Springs during the pandemic, as the city played host to being one of the most attractive Zoom Towns during an era of remote work.
Where Do You Go Next?
Well, that all depends on what you’re looking for in terms of a city, and how much you’re looking to make. While some cities offer big and hefty paychecks, the cost of living tends to eat up a lot of your disposable income.
On the other hand, a smaller and less popular destination would help you kickstart your tech career, while you’re also saving more money, and building up experience.
The tech industry is constantly changing, and new trends are unfolding every day. Staying ahead of the curve will help you secure a well-paying stable job that provides you not only with job security but more importantly, a city that you can call home and makes you feel welcome.