In this article, we will reveal the most technologically advanced city in the US. If you wish to look at our detailed rankings, you can go to the 20 Most Technologically Advanced Cities in the US.
The United States is a leader in technological advancement, with trends such as Augmented Reality (AR), Artificial Intelligence (AI), and Blockchain gaining popularity. The tech industry is a cornerstone of the U.S. economy. It is valued at approximately $1.6 trillion and contributes over 10% to the country’s GDP as of 2024.
The tech industry is the second-largest industry in the U.S., with 56% of its market comprised of hardware, software, and services. As of 2019, the U.S. was home to 557,000 tech firms and 13,400 startups, which has driven the net tech employment rate to 7.9% of the total American workforce. The industry is projected to grow by 5% in 2024.
The growth of the tech industry is leading to many benefits for the workforce. In 2023, the median annual salary for a tech employee was $104,000, significantly higher than the median of $48,060 for other jobs. The demand for computer and information technology jobs is expected to rise significantly over the next decade.
From 2022 to 2032, an estimated 377,500 positions in this field will become available each year. The roles experiencing the fastest growth include information security analysts, with a projected 32% increase, software developers, quality assurance analysts, and testers, anticipated to grow by 25%, and computer and information research scientists, expected to see a 23% rise.
The U.S. Bureau of Labor Statistics (BLS) forecasts a 3% increase in employment across all occupations in the U.S. from 2022 to 2032. However, the computer and information technology sector is predicted to grow at a much faster rate of 14%. Within this sector, information security analysts are projected to have 16,800 job openings annually over the next decade, while software developers and related roles are expected to record 153,900 annual job openings.
According to PwC’s 2023 global workforce survey, tech employees also report greater job satisfaction compared to workers in other fields. While 56% of the overall respondents expressed satisfaction with their jobs, the figure rose to 64% among those working in the tech industry.
The United States is home to some of the major tech giants such as Amazon, Apple, Google, and Meta, with a combined worth of over $4 trillion. In the first quarter of 2024, Apple Inc. (NASDAQ:AAPL) reported an earnings per share (EPS) of $1.53, higher than the estimates of $1.51. Apple Inc. (NASDAQ:AAPL) has managed to beat the EPS estimates in the consecutive last 4 quarters.
Here’s what RiverPark Advisors said about Apple Inc. (NASDAQ:AAPL) in its Q1 2024 investor letter:
“Apple Inc. (NASDAQ:AAPL): Apple shares were a top detractor in the quarter. The company’s stock was pressured by negative news items including a government antitrust case, an Apple Watch patent dispute, and slowing China iPhone sales. Ultimately the company’s fiscal 1Q24 earnings report delivered a slightly better than expected quarter, but with guidance that disappointed investors. 1Q24 revenue and gross margin were better than feared, buoyed by stronger than expected worldwide iPhone sales which grew 6% despite a slight decline in China iPhone sales. Services revenue in the quarter was as expected and signaled the third quarter in a row of accelerating growth. Gross margins were also stronger than expected at 45.9%, the highest level in more than a decade. Guidance of $90 billion of revenue for 2Q24 was light however, due to weaker than expected iPhone sales in the current period and year-over-year declines in other hardware products facing difficult year-over year comps.
Although near-term trends are a bit muted, Apple is carrying lean inventory into an iPhone refresh cycle later this year. With an installed base of 2.2 billion active devices and significant growth of the company’s recurring revenue Services segment, we believe that Apple remains one of the most innovative, best positioned, and most profitable companies in the mobile technology industry.”
Copyright: melpomen / 123RF Stock Photo
Our Methodology
To shortlist the 20 most technologically advanced cities in the US, we began by identifying cities with a population greater than 500,000. Then, we evaluated cities based on various metrics such as their technology infrastructure, including broadband access and smart city initiatives. Cities were assessed for the presence of innovation hubs, research institutions, and incubators/accelerators to gauge the innovation ecosystem. Furthermore, we also looked at the presence of tech companies, IT job openings, and tech events and conferences across cities.
For the purpose of ranking, we opted for a consensus-based approach. We assigned a score to each city based on the number of times it appeared across our credible sources, including CBRE, Business Insider, Digi International, and WeAreDevelopers. In the case of cities having the same score, tiebreaking was done on the basis of which city was outranking the other in our sources. The most technologically advanced cities in the US have been ranked in ascending order of their scores.
The Most Technologically Advanced City in the US
San Francisco, CA
Score: 4
San Francisco, CA hosts influential companies such as Salesforce and Udemy, which have made significant global impacts. Silicon Valley, located approximately 40 miles south of the San Francisco Bay Area, is renowned as the epicenter of tech innovation, housing 38 Fortune 500 companies including Apple, Google, and Intel as of 2020.
For the 10th consecutive year, the San Francisco Bay Area maintains its leading position in CBRE’s 2022 Scoring Tech Talent report as the top market for tech talent. The tech labor market in the San Francisco Bay Area is the largest, with 378,870 workers, reflecting a 13% rise since 2016. This region leads in tech talent employment as its tech industry employs two-thirds of the workforce, beating the 41% national average by a significant margin.
Discover which city secured the second spot. You can visit 20 Most Technologically Advanced Cities in the US here.
At Insider Monkey, we delve into a variety of topics, ranging from the most technologically advanced cities in the US to business aspects; however, our expertise lies in identifying the top-performing stocks. Currently, Artificial Intelligence (AI) technology stands out as one of the most promising fields. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. 20 Most Technologically Advanced Cities in the US here is originally published on Insider Monkey.
