A new study analyzing top U.S. locales for the tech industry has ranked Houston the No. 9 best tech hub in the South.
The report by commercial real estate platform CommercialCafe examined the top 20 Southern metros across nine metrics, such as the growth rates of tech establishments and employment, median tech earnings, a quality of life index, and more.
Like other Texas metros, the study attributes Houston's tech powerhouse status to its growing presence of major tech companies. However, Houston leads the nation with the highest number of patents granted between 2020 and 2024.
"The second-largest metro by population in the South, Houston led the region with an impressive 8,691 tech patent grants in the last five years," the report said. "Once synonymous with oil, Houston is increasingly making its mark as a cleantech hub — and patents reflect this shift."
Houston also experienced an impressive 14 percent growth in tech establishments, with nearly 500 new tech companies moving to the metro. An impressive 32 percent job growth rate also accompanied this change, with over 30,500 tech jobs added between 2019 and 2023.
Here's how Houston stacked up across the remaining five rankings:
- No. 11 – Tech establishment density
- No. 15 – Median tech earnings
- No. 19 – Median tech earnings growth
- No. 20 – Tech job density
- No. 20 – Quality of life index
In a separate 2024 report, Houston was the No. 22 best tech city nationwide, showing that the city is certainly making efforts to improve its friendliness toward the tech industry in 2025.
Other top Texas tech hubs in the South
The only other Texas metros to earn spots in the report were Austin (No. 1) and Dallas-Fort Worth (No. 4). Most notably, CommercialCafe says Austin saw a 25 percent increase in tech company density from 2019 to 2023, which is the third-highest growth rate out of all 20 metros.
"Moreover, the metro’s tech scene thrives on a diverse range of segments, including AI and green energy (bolstered by the University of Texas), as well as globally recognized events like [South by Southwest]," the report says. "Thus, with tech companies accounting for more than half of all office leasing activity in 2024, Austin remains a magnet for innovation, talent and investment."
Dallas, on the other hand, has a far greater diversity when it comes to its tech sector and its thriving economic opportunities.
"Not to be outdone, Dallas-Fort Worth moved up from sixth to fourth in this year’s rankings, driven by a 25.9 percent growth in tech company presence — the second-highest increase among the top 20 metros," the report said. "For instance, companies like iRely (which relocated to Irving, Texas) and Diversified (now in Plano, Texas) have joined homegrown successes, such as StackPath and Bestow."
The top 10 best tech metros in the South are:
- No. 1 – Washington, D.C.
- No. 2 – Austin, Texas
- No. 3 – Raleigh, North Carolina
- No. 4 – Dallas-Fort Worth, Texas
- No. 5 – Huntsville, Alabama
- No. 6 – Baltimore, Maryland
- No. 7 – Durham, North Carolina
- No. 8 – Atlanta, Georgia
- No. 9 – Houston, Texas
- No. 10 – Charlotte, North Carolina
