Phoenix AZ – February 19, 2026 | By STAFF HERE PHOENIX WRITER
WHAT’S HAPPENING
What is driving Arizona’s economic growth and job creation?
The Metro Phoenix technology sector, particularly advanced manufacturing and semiconductors, is the primary catalyst for Arizona’s projected job growth of 454,167 by 2034.
How much has the semiconductor industry invested in Arizona since 2020?
Since 2020, the semiconductor industry has announced over $210 billion in investments in Arizona, leading to more than 25,000 projected new jobs.
When is the SEMICON West conference relocating to Phoenix?
The SEMICON West conference is scheduled to relocate its event to Phoenix, Arizona, starting in 2026.
What is the projected annual growth rate for Arizona’s economy through 2034?
Arizona’s economy is projected to experience a sustainable expansion with an annual growth rate of 1.2% through 2034, outpacing the national average.
Arizona’s economy is projected to add over 450,000 jobs by 2034, significantly outpacing national rates, with the Metro Phoenix tech sector as a key driver. The state’s growth is led by advanced manufacturing and semiconductors, attracting substantial investment and reinforcing its economic future. All 15 Arizona counties are expected to gain jobs.
Metro Phoenix Tech Sector Sustains Arizona’s Economic Growth and Job Creation
The Metro Phoenix technology sector continues to be a primary catalyst for Arizona’s robust economic momentum, driving substantial job growth across the state. Arizona’s economy is projected to add 454,167 jobs by 2034, significantly outpacing the national growth rate. This expansion is particularly pronounced in advanced manufacturing, with a focus on the burgeoning semiconductor industry, and is actively attracting new supply chain companies, thus reinforcing the state’s economic future.
How is Arizona’s Economy Evolving?
Arizona’s economic trajectory is characterized by a transition from a post-recession surge, which saw a 2.5% annual growth rate, to a period of sustainable expansion projected at 1.2% through 2034. This sustained growth is expected to see all 15 of Arizona’s counties gain jobs, with Maricopa County leading in numerical job gains. Beyond the tech sector, other significant contributors to job creation include Health Care and Social Assistance, Construction, Manufacturing, Leisure and Hospitality, and Trade, Transportation, and Utilities.
Advanced Manufacturing and Semiconductor Industry Leading the Way
Metro Phoenix has solidified its position as a global hub for semiconductor innovation and manufacturing. Since 2020, Arizona has attracted more than 60 expansions within the semiconductor industry, representing over $210 billion in announced investments and generating more than 25,000 projected new jobs. Major international companies, including TSMC, Intel, and Amkor, are making substantial investments and expanding their operations within the region. Notably, TSMC’s commitment in Phoenix includes multiple fabrication facilities. This concentration of activity has led to a considerable influx of semiconductor-related companies, which are completing the industry’s supply chain in the area. Further underscoring the region’s prominence, the SEMICON West conference is relocating to Phoenix starting in 2026.
Meeting Future Workforce Demands in Technology
Arizona anticipates a demand for over 180,000 skilled workers by 2034, particularly in high-skill, high-growth, and high-wage sectors. Key occupations with high demand include industrial engineers, industrial machinery mechanics, mechanical engineers, and software developers. Efforts are underway by the state and educational institutions to develop the talent pipeline and address the evolving workforce needs within the technology and advanced manufacturing sectors.
Historical Roots and Strategic Development of Arizona’s Tech Sector
The technology industry has been a fundamental economic driver for Arizona since the 1940s. Early pioneering companies like Motorola, originally Galvin Electronics, established a significant presence, laying the groundwork for the state’s tech future. Intel also established roots, further cementing the region’s technological foundation. The Metro Phoenix region demonstrated resilience and strategic vision in reframing its economy following the Great Recession, positioning itself for future growth.
Leadership in Economic Development
Christine Mackay, President and CEO of the Greater Phoenix Economic Council (GPEC), has emphasized the enduring importance of the tech industry in Arizona’s economic landscape and the current momentum driving its growth. GPEC has been instrumental in attracting new companies and facilitating substantial investments, contributing to considerable job creation and capital investment across the region.
Key Features of Arizona’s Tech-Driven Economic Growth
| Feature | Details |
|---|---|
| Projected Job Growth (Arizona) | 454,167 jobs by 2034 |
| Annual Growth Rate (Arizona) | 1.2% through 2034, outpacing national growth |
| Leading Economic Sectors | Technology, Advanced Manufacturing, Semiconductors, Health Care, Construction |
| Semiconductor Industry Investment (since 2020) | Over $210 billion |
| Semiconductor Industry Jobs Created (since 2020) | More than 25,000 projected new jobs |
| Anticipated Skilled Workforce Demand (by 2034) | Over 180,000 workers in high-skill, high-growth sectors |
| Historical Tech Presence | Since the 1940s, with companies like Motorola and Intel |