On the lookout for the next big tech and eSports hub? Look no further than Arizona—a state that’s turning heads in these industries. With an unexpected rise within the technology scene and a burgeoning eSports community, Arizona is earning its stripes as a hotspot for innovation.

From cost-effective operations to a strategic geographic position, let’s delve into seven ways this gem is carving out its reputation as a thriving launchpad for tech enthusiasts and gamers alike.

7 Reasons Why Arizona is the New Silicon Valley

Arizona is rapidly emerging as a vibrant tech oasis, drawing comparisons to Silicon Valley. Let’s explore 7 reasons why this sun-kissed state is the next big nexus for technology and eSports.

1. Phoenix-Based Tech Companies Have Cheaper Operational Costs

It’s much cheaper to run a tech company in Arizona than it is in California. Especially in Phoenix, Arizona, which is affectionately known as the “Silicon Desert” by tech experts. Operational costs are 36% less than in California, meaning your money can go further.

Here, you’ll also discover more affordable office spaces, lower living costs for employees, and utility rates that make long-term budgeting friendlier to startups and established companies alike. This economic edge allows businesses in Phoenix not just to survive but thrive.

2. The AIA Approved eSports as an Athletic Activity in 2019

Back in 2019, the Arizona Interscholastic Association acknowledged eSports as an official athletic activity. This pioneering stance paves the way for high schools across the state to develop competitive gaming teams and incorporate them into their athletics programs.

Such recognition helps normalize and promote eSports among young enthusiasts, providing them with structured opportunities to pursue their passion while gaining valuable experience in teamwork, strategy, and digital proficiency that can translate into future career opportunities.

3. Loot Boxes Aren’t Banned or Regulated in Arizona

Loot boxes are a bit controversial, but there’s no denying that eSport titles make a killing off of them. Third-party sites have even made it possible to get your CS:GO cases in bulk for either personal use or to sell for cash, making loot boxes lucrative for companies and customers.

Arizona, and the US as a whole, will likely keep loot boxes in their games for a while. Setting up in Arizona means your company gets an extra source of revenue that persists long after the initial game is sold. This is a great thing, as making a game can be incredibly expensive.

4. The State Has an Incredibly Low Natural Disaster Risk

Arizona stands out as a bastion of stability when it comes to natural disaster risk—a fact not lost on tech companies and eSports ventures looking for a secure base. With minimal threats from hurricanes, earthquakes, or heavy flooding, the state offers unparalleled peace of mind.

This tranquility allows data centers, gaming events, and tech startups to focus on growth without the looming fear of weather-induced disruptions. Additionally, reduced insurance costs related to natural disasters further underscore Arizona’s appeal as an ideal location for tech businesses.

5. You’ll Find a Competitive Colocation and Cloud Market

In Arizona, tech businesses have the unique advantage of a thriving and competitive market for colocation and cloud services. With numerous state-of-the-art data centers spread throughout the region, companies can easily find robust hosting solutions that fit their needs.

This competition drives higher standards of service while keeping costs manageable—a crucial balancing act for startups and established enterprises alike. As more firms migrate to the cloud, having access to reliable and scalable infrastructure within Arizona’s borders is instrumental.

6. High Amount of Investments in STEM Education

Arizona is investing in the future by funding STEM education across the board. Recognizing that robust tech and eSports industries are built on a foundation of knowledgeable professionals, the state’s commitment is shaping a homegrown workforce ready to tackle tomorrow’s challenges.

Schools and universities are bustling with new programs geared toward science, technology, engineering, and math (STEM), ensuring an upcoming talent pool that is diverse, skilled, and innovative. These investments fortify Arizona’s standing as a fertile ground for tech endeavors.

7. Arizona is Situated Between Major Markets (LA and Texas)

Nestled between the bustling economies of Los Angeles and Texas, Arizona boasts a strategic position that’s perfect for tech companies. This advantage facilitates ease of access to major marketplaces, enabling businesses to expand their reach without excessive logistical hurdles.

It’s a sweet spot for connectivity—whether you’re shipping physical products or streaming digital content—and it supports the growth of vibrant communities around tech and eSports. Being a midpoint to such regions helps foster partnerships, broadening opportunities in these industries.

In Conclusion…

As you’ve seen, Arizona is more than just a picturesque backdrop. It’s a blossoming ground for tech and eSports prosperity. Don’t let this opportunity pass you by!

Whether you’re an entrepreneur looking to jumpstart your business or a gamer seeking the next competitive arena, Arizona welcomes you with open arms and ample possibilities. So why wait? Make your move to Arizona now, and be part of the movement that’s reshaping the future of technology.