Dive Brief:
- Amazon is adding 800 tech jobs in software and hardware engineering, research science, and cloud computing to its Austin, TX tech hub, according to a company announcement Thursday.
- The Austin team's primary responsibilities include Amazon Web Services, Amazon Business, devices, video game design and advertising. The new hires are slated for a 145,000-square-foot space in office, retail and residential center, The Domain.
- Hiring specifics were not disclosed, but the company expects hiring to take place over the next several years.
Dive Insight:
The job announcement comes a month after New York pulled out of its HQ2 deal with Amazon, but the expansion is unrelated to the 25,000 headcount originally promised in New York.
Austin ultimately missed out on HQ2, despite a bid from Mayor Steve Adler, who said "Austin is seeking new ways to help preserve the spirit and soul of a magical community," in a letter to Amazon in 2017.
Austin made a good case for Amazon, as it's the third-ranking city for technology professionals to work and live. IT job growth is expected to expand by 15% over the next five years. The only other city with higher projected growth is San Francisco.
The city also boasts close proximity to graduating IT college students from the University of Texas and a lower cost of living than other technology metropolitan areas.
Austin is one of Amazon's 17 North American tech hubs, "a network of development centers" alongside its Seattle and Arlington, Virginia headquarters, according to the announcement.
Austin is home to the headquarters of Amazon-owned Whole Foods and close to its San Marcos, Texas fulfillment centers. It's also home to Dell, IBM, Samsung's largest U.S. facility and Apple's second largest facility. In December, Apple announced plans to invest in a $1 billion Austin campus.
Texas ranked just behind California for net tech employment in 2018 and third countrywide for net tech employment jobs added and for innovation, according to a recent CompTIA report. The state's tech sector contributes nearly $142 billion to its state economy.
Since 2011, Amazon has invested more than $7 billion in the Longhorn State, and the addition will bring the company's Texas workforce to around 22,000 jobs.
