As a long-time Arizona resident plugged into the technology community, I‘ve had a front row seat to the rapid growth of the state‘s tech sector over the past decade. Once viewed as mostly a tourism and retirement destination, Arizona has blossomed into a magnet for technology investment and innovation across sectors like software, aerospace, biomedicine, and semiconductors.
This guide will explore the largest and most influential technology employers fueling Arizona‘s rise as an emerging rival to legacy tech hubs like Silicon Valley – as well as highlight homegrown champions. Let‘s dive in!
Why Arizona‘s Technology Industry is Booming
Before covering the major players, it‘s worth examining why Arizona has gained so much tech momentum. As I‘ve watched tech giants like Intel and Apple expand operations here and disruptive startups like TuSimple pioneer self-driving trucks tested across the state, four key advantages stand out:
1. Pro-Business Tax and Regulatory Climate – Arizona policies encourage company growth vs excessive bureaucracy. Corporate taxes are competitive and incentives like R&D credits available.
2. Abundant Real Estate and Infrastructure – Compared to overcrowded, expensive coastal cities with older infrastructure, Phoenix/Tucson offer affordable land suitable for large campuses along with modern telecom backbone.
3. Top-Tier University and Community College Systems – The one-two punch of Arizona State University (#1 in innovation) and community colleges like Mesa CC fuel tech talent pipelines.
4. Enviable Lifestyle Perks – From beautiful weather allowing year-round golf/outdoors to relatively affordable housing, Arizona offers amenities helping attract and retain workers.
With those tailwinds, technology sector growth has recently accelerated…
Snapshot of Key Tech Sectors Thriving in Arizona
While software companies may grab the most headlines, Arizona has quietly built impressive clusters of activity across cutting-edge technology industries:
Semiconductor Manufacturing – Intel‘s four large chip fabrication plants in Chandler anchor Arizona‘s leadership in chip R&D and advanced manufacturing. NXP, Microchip, and ON Semi also have major fabs.
Aerospace & Defense – Raytheon, Honeywell, Boeing and Lockheed Martin operate Arizona engineering/MRO facilities working on missiles, avionics systems and otherdefense projects. Wide open airspaces enable extensive testing.
Autonomous Transportation – Self-driving truck developers TuSimple and Waymo have chosen Arizona for pilot projects given ideal weather conditions and responsive regulations. Electric truck maker Nikola is also headquartered in Phoenix.
Sustainable Technology – Lucid Motors recently began producing its ultra-luxury Air EV sedan in Casa Grande drawing on Arizona‘s solar energy and battery storage supply chain. visionHitech, Olive Devices and other rising greentech startups also call Arizona home.
With innovations spanning semiconductors powering data centers to cloud computing and electric vehicles, Arizona punches far above its weight technologically!
Now let‘s explore the flagship technology employers with major footprints across the state…
10 Largest Arizona Tech Companies by Revenue
While no homegrown company cracks the top 100 public U.S. technology companies by sales yet, Arizona headquarters numerous billion dollar tech operations across hardware and software.
| Company | Location | 2021 Revenue | Description |
|---|---|---|---|
| Insight Enterprises | Tempe | $9.8 billion | Global provider of IT solutions |
| Microchip Technology | Chandler | $6.8 billion | Semiconductor manufacturer |
| Amkor Technology | Tempe | $6.4 billion | Semiconductor packaging & testing |
| GoDaddy | Tempe | $3.9 billion | Internet domain registration |
| Avnet | Phoenix | $19.5 billion | IT hardware distribution |
| Freeport-McMoRan | Phoenix | $22.4 billion | Multinational mining & oil |
| Vista Outdoor | Anoka | $2.9 billion | Sports/outdoor equipment manufacturing |
| Limelight Networks | Tempe | $224 million | Digital content delivery network |
| Axon | Scottsdale | $863 million | Conducted electrical weapons |
| PetSmart | Phoenix | $7.2 billion | Pet supplies retailer |
With two companies surpassing $9 billion in 2021 annual sales and globally recognized brands like GoDaddy and Avnet scaling fast, Arizona is clearly home to strong technology industry revenue drivers!
Now let‘s explore the state‘s largest employers fueling tremendous job growth…
Top 10 Largest Arizona Tech Companies by Employee Count
Arizona‘s technology sector directly employs over 255,000 professionals across over 7,500 companies as of 2021. Software developers, electrical engineers, operations technicians and support staff are among the most in-demand roles today.
The state‘s largest tech employers by headcount according to industry association CompTIA include:
| Company | Location | Employees | Description |
|---|---|---|---|
| Amkor Technology | Tempe | 30,400 | Semiconductor packaging & testing |
| Intel | Chandler | 12,000 | Semiconductor manufacturing |
| Microchip Technologies | Chandler | 4,069 | Semiconductor manufacturer |
| Benchmark Electronics | Tempe | 3,500 | Contract electronics manufacturer |
| Honeywell Aerospace | Phoenix | 2,800 | Aviation systems & solutions |
| ON Semiconductor | Phoenix | approx 2,500 | Semiconductor manufacturing |
| Avnet | Phoenix | 1,800 | IT hardware distribution |
| Insight Enterprises | Tempe | approx 1,200 | IT solutions |
| Axon | Scottsdale | approx 1,000 | Conducted electrical weapons |
| Infusionsoft | Chandler | over 700 | CRM & marketing software |
Both semiconductor manufacturing giants like Intel and innovative software developers such as Infusionsoft – now rebranded Keap – are hiring aggressively across Arizona!
Select Software/SaaS Companies Growing in State
While aerospace and semiconductors dominate total Arizona technology employment, enterprise software companies creating hi-tech jobs include:
VMware – expanding new software engineering hub in Phoenix
GoDaddy – Phoenix satellite supports global domains leader
Zenefits – fast-growing HRIS software startup with Tempe engineering outpost
WebPT – 800+ employee physical therapy SaaS leader
Mobile Mini – pioneered mobile storage containers & offices; 2,000+ AZ staff
Endpoint Clinical – clinical trial software exhibited breakout SaaS growth
Offering everything from digital content delivery to mining analytics software, Arizona startups prove you don‘t need to be located in Silicon Valley to build highly scalable and impactful cloud software companies!
Homegrown Arizona Tech Companies Gone Big
Beyond the steady influx of coastal tech giants siting major hubs here, Arizona also holds claim to launching some tremendously successful and influential technology companies over the past 25 years:
GoDaddy – This global domain registration and web hosting colossus dates back to 1997 when founder Bob Parsons launched Jomax Technologies out of a Scottsdale bedroom. After various iterations, GoDaddy rolled out its first domain services in 2000 and began a long run dominating that market. GoDaddy went on to raise hundreds of millions in private financing before finally going public in 2015 at a $4.5 billion valuation. Still headquartered in Arizona, GoDaddy today serves over 20 million customers worldwide!
Infusionsoft – Founded by brothers Scott and Eric Martineau in 2001, this Chandler-based startup focused on sales and marketing automation tailored for small businesses. Infusionsoft raised $125 million in VC funding to scale up before rebranding as Keap in 2019. Now with over 150,000 customers relying on its CRM, landing pages and email marketing platform, Infusionsoft/Keap seems well positioned to remain a foundational Arizona SaaS innovator.
Limelight Networks – Founded by a team of experienced technologists in 2001, Tempe-headquartered Limelight operates one of the world‘s largest private content delivery networks (CDNs) optimizing media delivery. Supporting massive customers like Amazon Prime Video and Epic Games, Limelight has played an integral role accelerating modern internet video streaming and gaming. Most recently, they are expanding edge cloud services for enterprises.
Axon – Launched in Scottsdale in 1993, Axon pioneered conducted electrical devices for law enforcement and personal defense used by tens of thousands of public safety agencies globally. Their body cameras and cloud-based evidence management software have been instrumental improving accountability. Now an S&P 500 corporation boasting $800+ million in revenue, Axon continues leading with innovative less lethal technology solutions from Arizona HQ.
With globally recognized champions across software, hardware and cloud infrastructure domains, Arizona certainly holds its own for producing iconic technology innovators!
Spotlight: Phoenix as Leading Regional Tech Hub
Most Arizona tech giants and emerging startups base major operations in Greater Phoenix, cementing its status as the tech center of the Southwest.
Mature Fortune 500 IT consultancies like Avnet, Insight and Ingram Micro run headquarters and shared services centers there. Meanwhile enterprise software/SaaS providers such as VMware, Zenefits and WebPT tap plentiful local engineering talent.
In aerospace, Honeywell and Boeing maintain major aviation systems engineering hubs nurturing bleeding edge technologies like human-machine interfaces and connected aircraft. Paypal also continues expanding its Phoenix footprint according to the Phoenix Business Journal.
Global semiconductor titan Intel is going all-in on Phoenix too – investing over $20 billion to build two new leading-edge chip factories in Chandler where they already operate R&D programs. Electric truck maker Nikola Motors also relocated from Utah to Arizona to refine their alternative fuel big rigs.
Supplementing corporate expansion, Arizona State University keeps churning out talented graduates versed in fields like data science, embedded systems design and business analytics at scale – over 22,000 degrees conferred just last year! This skilled pipeline shows no sign of slowing as the Silicon Desert attracts more employers.
With enviable infrastructure connectivity, a stellar university system and business friendly policies, Greater Phoenix clearly shines as Arizona‘s high-tech hub today. But expansion also extends statewide with satellites in Tucson/Flagstaff and growth opportunities across sectors…
Bright Arizona Tech Horizons Coast to Coast
Ask Arizona technology executives about growth plans and consistent themes emerge around talent, affordability and lifestyle advantages that set the state apart as an emerging tech hotspot.
As Insight Enterprise‘s Andy Haller explained to the Phoenix Business Journal, "Arizona’s pro-business mindset allows us to keep costs low so we can invest in our employees and growth."
That favorable tax and regulatory climate certainly enables reinvestment in R&D programs exploring breakthroughs like quantum computing, neuroscience devices, ultra high density data storage technologies and more.
Additionally, Phoenix, Tucson, Tempe and other metro regions offer tremendously livable environments for ambitious professionals without extreme housing costs. And the perpetual sunshine enables year-round access to outdoor recreation activities that improves quality of life.
In combination with expanding tech incubators like Arizona Techstars feeding startups tackling space communication systems, next-gen batteries, microfluidic sensors and saas platforms, Arizona seems destined to enhance its technology leadership position over the next decade. Just look at who‘s moved here lately!
So for global conglomerates like Taiwan Semiconductor Manufacturing Company now building a $12 billion chip factory just east in Phoenix or high growth phoenixes like TuSimple pioneering self-driving trucks across Arizona highways, the foundation for immense technology success looks firmly in place.
I‘ll leave you with one closing consideration – what does Arizona need to do to compete with Silicon Valley long-term? Feel free to email me at [email protected] with your thoughts!
