Electric Vehicles Ecosystem

Autonomous and Electric Vehicles

Build the Future of Commute in Greater Phoenix

Autonomous and electric vehicles are changing the world we live in, and Greater Phoenix is a prime location for the development and testing of this transformative technology. The region is exceptionally positioned to absorb both new-to-market companies and the expansion of existing technologies due to supportive policies, reliable infrastructure, an established supply chain, competitive operating costs and the diverse talent pipeline and high quality of life. Greater Phoenix offers an industry ecosystem built for autonomous and electric vehicle development, testing and production.

AV/EV Industry Report

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Supportive Policies

Greater Phoenix offers supportive policies and a competitive tax environment for autonomous and electric vehicle innovators. Multiple executive orders have been signed to advance autonomous vehicle testing and reduce the barriers for innovators in Arizona.

Reliable Infrastructure

Greater Phoenix came of age in the era of the automobile, meaning that it has new, high-quality infrastructure, a gridded street system, wide roads and lower levels of traffic.

Established Supply Chain

Greater Phoenix offers a robust ecosystem with a significant presence from advanced technology companies. The region also has a longstanding automotive R&D infrastructure with many major automakers.

Competitive Operating Costs

Greater Phoenix offers lower annual operating costs than Dallas and San Jose with cheaper real estate and benefit costs compared to peer markets. Greater Phoenix also offers several quality incentives to further decrease operating costs.

Diverse Talent Pipeline

Greater Phoenix boasts competitive, non-distance program completions at colleges and universities in concentrations related to autonomous and electric vehicle research and development.

High Quality of Life

Greater Phoenix offers shorter commute times than peer markets, more than 300 days of sunshine annually, and fewer days with significant weather interruptions.

Supportive Policies

2015 AV Pilot/Testing Executive Order

In 2015, Arizona Governor Doug Ducey signed an executive order allowing for the testing and piloting of driverless vehicles on certain public roads. Arizona is committed to hosting the emergence of new technologies. This is just one reason companies like Waymo and Lucid have chosen to do business in Greater Phoenix.

Arizona 5G Wireless Communication Policy

In March 2017, Arizona passed legislation creating a statewide policy for the implementation of 5G technology. HB 2365, which was signed by Governor Ducey in April, limits regulations on the collocation of small wireless facilities used to improve the existing 4G LTE network and create the infrastructure needed to buildout 5G technology.

Greater Phoenix is a top tech city where companies, like Waymo, are testing driverless vehicles

2018 AV Research Partnership Program

In 2018, Arizona Governor Doug Ducey signed an executive order creating the Institute for Automated Mobility (IAM) in partnership with Intel, Arizona State University, Northern Arizona University, University of Arizona, and other public and private organizations that will collaborate on state-of-the-art research in Arizona. The goal of the institute is to advance all aspects of autonomous vehicles from science to safety to policy.


[predicted] lives saved from driverless vehicles between 2035-2045

Source: Intel


The "Passenger Economy" is projected to grow to $7 trillion by 2050

Source: Intel


autonomous vehicles will be sold by 2035

Taxes & Incentives

Arizona offers a highly competitive tax environment and incentive programs that can be utilized to mitigate operating costs. The state sales tax rate is only 8.6%, corporate income is taxed at 4.9% and unemployment insurance is only 2.0%. Incentive programs include a Quality Jobs Tax Credit, Qualified Facilities Refundable Tax Credit and Renewable Energy Tax Investment Credit. Applicable incentives will depend on actual project parameters and varying program qualifications and requirements as determined by the Arizona Commerce Authority for various autonomous and electric vehicle companies located in Greater Phoenix.

Download the full industry analysis for more incentives and program details.

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Reliable Infrastructure
Reliable Power

Greater Phoenix has the second-most reliable power grid in the nation and 73% fewer natural disasters than the adjacent state of California. Over the last 10-year period, Arizona recorded only 33 total hours of disturbances. Reduce risk and increase operating efficiency moving to Greater Phoenix.

Grid system

As a relatively young region, Greater Phoenix came of age in the era of the automobile, meaning the street system for vehicles as a grid plan with wide roads and lower levels of traffic, providing an optimal test environment for autonomous vehicles.

Favorable Climate

From flat desert land to mountains with snow — Arizona has excellent weather for manufacturing and testing autonomous and electric vehicles alike.

5G Connectivity

Phoenix was one of the first cities in the nation to deploy 5G, accelerating the capacity for AV testing and decreasing latency across technologies.

Light Rail & Commute Time

The region offers an expanding light rail and modern freeway system, ensuring there is a robust supply of talent no matter where a business is located. Average commute time in the region is only 27.9 minutes, significantly shorter than comparable peer markets.

Honeywell crew works airplane.
Airline Connectivity & Access

Enjoy prime connectivity in Greater Phoenix with proximity to Mexico and the cross-border supply chain, and air travel and commerce efficiency through multiple airports. Phoenix Sky Harbor alone offers over 1,200 daily domestic and international flights.

Download the full industry analysis for additional details on Greater Phoenix infrastructure.

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Established Supply Chain
Significant Advanced Technology Supply Chain

Greater Phoenix is home to nearly every piece of the autonomous & electric vehicle supply chain. The companies below represent a sample of the firms currently operating in the region.

Autonomous & Electric Vehicle R&D Innovators

Thanks to the infrastructure, regional growth and history of high-tech innovation, Greater Phoenix is an established hub for next generation vehicle development. That’s why innovators like Waymo, Nuro, ElectricaMecchanica, Lucid and many others are thriving in Greater Phoenix.

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Download the full industry analysis for a more comprehensive list of local suppliers and innovators in the region.

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Competitive Operating Costs

Greater Phoenix provides the right combination of affordability, size and scalability. Compared to other metros, Greater Phoenix is less expensive or competitive across all major expenses. Despite having one of the largest talent pools among peer markets, the region has one of the lowest employee payroll costs, while also boasting affordable real estate payments.

Operating Cost Analysis
Annual Operating Cost – R&D





Real Estate

Property Tax

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Diverse Talent Pipeline
New Talent Entering the Workforce

Greater Phoenix has competitive, non-distance program completions at colleges and universities in concentrations related to autonomous and electric vehicle research and development. The region produced over 4,500 graduates in related concentrations during the 2018 to 2019 school year.

Greater Phoenix region offers a skilled, diverse workforce that is continuously fueled by globally recognized universities and community colleges
Key Programs & Colleges

Local public and private universities, including ASU, UArizona and GCU, offer programs preparing students for autonomous and electric vehicle fields. There are also a variety of community college programs and technical schools that train students in engineering and computer science with focuses in automotive, electrical systems, mechanical engineering systems and robotics.

Source: Emsi 2020 Q2

Graduation Rates

Certificates Associates Bachelor Master Doctor






Greater Phoenix is home to the nation’s largest engineering school, Arizona State University (ASU).

Nearly 25,000 students are enrolled in various engineering programs at ASU with more than 4,500 of them graduating with a degree each year. Additionally, the region’s competitive advantage in software skills also makes Greater Phoenix the optimal region for UAV and autonomous vehicle operations.

Source: ASU Ira A. Fulton Schools of Engineering

Download the full industry analysis for a comprehensive look at Greater Phoenix’s talent pool and pipeline.

AV/EV Industry Analysis

High Quality of Life

Experience a vibrant lifestyle and diverse culture at an affordable cost of living.

Enjoy the outdoors with more than 300 days of sunshine, average temperatures of 75 degrees, convenient access to over 400 hiking trails and globally recognized sporting events. Take part in a vibrant arts and culture scene that includes prominent classical arts to public art to craft markets and a diverse range of music and cultural events. And, eat well with fresh farmers markets in every city, and globally recognized chefs and culinary experiences at your doorstep. Click the icons below to learn more about Greater Phoenix living.

Source: COLI 2020 Annual Average