Develop Your Business in

Greater Phoenix

A top national hub for the semiconductor industry.

Greater Phoenix is a top market in the nation to locate, relocate or expand your semiconductor company operations. In fact, the region’s semiconductor sector is one of the largest in the nation.

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Overview

Talent
Pipeline

Industry
Ecosystem

Labor
Analysis

Operating
Cost Analysis

Statutory
Incentives

Value Proposition

Large Existing Cluster

Greater Phoenix is home to some of the industry’s largest and most influential players in the semiconductor industry. Headquarters in the region include: ON Semiconductor, Microchip Technology, Amkor Technology, ASM America and others. Almost all firms have significant research and development operations in the region.

Smart Tax Policy

Greater Phoenix offers lower personal income tax in every income bracket, including approximately $2,000 less tax burden per capita in Arizona vs. California. Relocating your semiconductor business to Arizona offers substantially lower corporate income tax rates.

Robust Semiconductor Workforce

Greater Phoenix offers more than 90,000 jobs in occupations relevant to semiconductors. Labor costs are tens of thousands dollars less per employee per year.

Competitive Operating Costs

Compared to San Jose, Greater Phoenix’s operating costs are 36% lower and real estate costs here are approximately half as expensive. Arizona is also a right-to-work state.

Exceptional Talent Pipeline

Arizona universities produce more than 4,000 graduates in semiconductor-related degrees each year. Over 25,000 students are enrolled in engineering schools across Arizona. There are nearly 30,000 total graduates from Arizona’s largest universities each year.

Arizona Universities and Technical Schools – Setting Up the Semiconductor Workforce for Success

Arizona has three four-year public universities: Arizona State University in Tempe, Glendale, Phoenix, and Mesa; Northern Arizona University in Flagstaff; and the University of Arizona in Tucson. Arizona State University, Northern Arizona University, and the University of Arizona each have a full range of electrical engineering, computer engineering, engineering technology/technician, computer science, and informatics programs. Between these three universities, various junior colleges, and a number of coding schools and boot camps available in the region, Arizona’s institutions of higher education are preparing the workforce of tomorrow.

Nationally Recognized Programs in the Semiconductor Industry

Operations in Greater Phoenix that Fall Under the Semiconductor Cluster

Whatever the operation type, Greater Phoenix has demonstrated that it has the ecosystem to support microelectronics firms, both big and small. Below is only a small list of companies that have operations in Greater Phoenix specific to semiconductor operations. Whether big or small, these companies have helped build the industry in the region, supporting growth specific to the semiconductor industry year after year.

The table below shows the total number of jobs in relevant occupations in Greater Phoenix and
San Jose.

Occupation	Phoenix	San Jose
General and Operations Manager	38,500	16,887
Computer and Information	5,919	13,628
Industrial Production Managers	2,386	2,038
Architectural and Engineering Managers	2,548	5,711
Software Developers, Applications	12,453	49,411
Software Developers, Systems Software	7,565	27,641
Computer Hardware Engineers	1,166	8,317
Electrical Engineers	3,157	5,297
Industrial Engineers	2,907	4,952
Materials Engineers	900	557
Electrical and Electronics Drafters	553	811
Electrical and Electronics Engineering Technicians	2,382	5,466
Industrials Engineering Technicians	2,089	506
Total	82,525	141,222

Not only does Greater Phoenix have a thriving semiconductor ecosystem, it also offers operating costs that are 36% lower than San Jose. Simply put, semiconductor businesses get more value in Greater Phoenix.

Assumptions

• $5,000,000 personal property investment

• 40,000 square foot Suburban Class A, lease

• Utilities (per month): Included in lease

• 100 jobs (Bureau of Labor Statistics equivalent occupations)

Occupations	Employment
Software Developers, Systems Software	25
Software Developers, Applications	25
Computer Hardware Engineers	10
Electronics Engineers, Except Computer	10
Electrical Enginieers	10
Office Clerks, General	6
Industrial Engineers	5
Computer Systems Analysts	5
First Line Supervisors of Office & Administrative Workers	1
Network & Computer Systems Administrations	1
Computer &Information Systems Managers	1
General & Operations Managers	1

With low cost, quality infrastructure and housing, and abundant leisure activities, Greater Phoenix is a place where the talent that makes companies great can afford to thrive. Greater Phoenix also provides access to spectacular outdoor recreation – everything from hiking, biking, or walking the hundreds of parks and miles of trails, to water sports, can be found within a three-hour drive of the region. The tables below highlight how significant the cost difference is between Greater Phoenix and San Jose.