Huntsville has been ranked #1 on CBRE’s list of up-and-coming tech-talent markets in its annual Scoring Tech Talent report, which evaluates 75 U.S. and Canadian cities on their ability to attract and grow tech talent.

Huntsville’s had a 17.9% growth in tech employment over the past five years and a 19.6% increase in tech wages.

With a total tech workforce of 25,910, Huntsville leads the report’s “next 25” emerging markets, outpacing cities like Omaha, NE, and Albany, NY. Huntsville also boasts one of the highest average tech wages in the group at $114,085, ranking fourth behind Stamford, CT, Trenton, NJ, and Colorado Springs, CO.

This wage growth includes software developer salaries, which have risen by 9.7% since 2018, now averaging $113,774.

The Scoring Tech Talent report highlights key factors driving Huntsville’s success, including its thriving engineering and aerospace industries, fueled by Redstone Arsenal and NASA’s Marshall Space Flight Center. As a major hub for defense and aerospace, the city has become a magnet for highly skilled tech professionals, positioning itself as a leader in innovation and technology development.

Huntsville’s educational infrastructure has also played a critical role in its tech boom.

The city generated 988 tech talent degree graduates in 2022, feeding a steady pipeline of new talent into the local workforce. Institutions like the University of Alabama in Huntsville (UAH) and Alabama A&M University are key contributors to the region’s tech ecosystem, offering advanced degrees in STEM fields that align with the needs of Huntsville’s growing industries.

The report also reflects national trends in the tech labor market.

While tech job growth slowed nationally in 2023 compared to the previous year, with a 3.6% increase versus 7.3% in 2022, non-tech industries are increasingly hiring tech professionals. Companies in sectors such as professional services, transportation, and warehousing have outpaced traditional tech companies in tech hiring, opening new opportunities for tech talent across diverse industries.

“Increased demand for specialized skill sets in artificial intelligence (AI) has fueled tech talent job growth across all sectors. We anticipate more tech hiring to take place this year and into 2025 as companies further develop and adopt this technology,” said Colin Yasukochi, executive director of CBRE’s Tech Insights Center.

Huntsville’s tech sector is expected to continue its upward trajectory, bolstered by both public and private investments in technology and innovation. With its growing reputation as a tech-talent hotspot, the city is increasingly being recognized as a destination for tech professionals seeking high-quality jobs, affordable living, and a strong community.

To download the full report, click here.