the new tech cities

Houston falls behind other Texas cities in new ranking of best U.S. tech hubs

Was Houston snubbed on a new list of the best tech cities?

In a recent report analyzing metrics for best cities for tech hubs, Houston failed to crack the top 20 — unlike a few other Texas cities.

The new report, "The Top Tech Cities in the US: Ranking 100 Cities in 2024," by online security experts Cloudwards, examined 100 tech-reliant cities in the nation across 17 key indicators, including salaries for information technology professionals, a city's cost of living, internet quality, job opportunities and tech-related companies, and more.

Houston is the No. 22 best tech city in the nation, just barely missing the upper third of Texas cities; the Dallas suburb of Plano outshone them all at No. 4, and its neighbor Frisco came in at No. 10. San Antonio ranked a few spots ahead of Houston, at No. 18, possibly taking some inspiration from tech-hub Austin, which made No. 7.

Here's how Houston stacked up in the major categories in the study:

No. 13 – Livability
No. 16 – Career and Education
No. 40 – Tech Community
No. 44 – Innovation and Entrepreneurship
No. 53 – Internet Coverage and Quality

Looking at these metrics, it's apparent why Houston ranked so low. Although the city is prepared to get to work — with great career and education opportunities and a high livability rating — it's not necessarily using that leg up to its advantage. Internet coverage lags behind a large portion of other cities, and opportunities for collaboration and entrepreneurship are not providing great incentive to kick that into a higher gear.

Austin's spot in No. 7 behind Plano's No. 4 might be surprising, but, according to the report, the Texas capital's higher cost of living is to blame.

"Texas’ capital, Austin is a good place for startups since it’s easy to find top talent, initial capital and inexpensive office space," wrote the report's author. "However, due to the rapid rise in population (3 percent between 2021 and 2022), the cost of living has increased and access to good real estate has become more costly. Even so, the city’s distinct culture, access to educational opportunities and work-life balance continue to make Austin a popular choice for many IT professionals."

With many employers still embracing remote work, having a good wifi connection can make or break a person's ability to work from home. It seems that helped Plano, as 96 percent of households in the Dallas suburb have internet access, which was the single best connection rate of any city in the study.

Frisco also topped out in one category in particular, earning the title as "the most livable city in the U.S." according to Cloudwards.

Average salaries for IT professionals in Frisco come out to about $95,516 annually, which is only a $217 difference from Plano at $95,733. Given Houston's middling rank on the list above, no data was shared.

Nationally, the cities that round out the top five most tech-savvy cities in the U.S. are:

No. 1 – New York City, New York
No. 2 – Washington, D.C.
No. 3 – San Francisco, California
No. 4 – Plano, Texas
No. 5 – Jersey City, New Jersey

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GDP Growth

CEO magazine names Texas 'best state for business' for the 22nd year

Aerial view of skyline downtown Houston and highway traffic at buffalo bayou park, Houston, Texas, USA

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The Texas business sector recently received a double dose of good news.

For the 22nd consecutive year, Chief Executive magazine named Texas the best state for business. In tandem with that achievement, preliminary new estimates from the U.S. Bureau of Economic Analysis show the size of Texas’ economy jumped to $2.9 trillion in 2025, up by a nation-leading growth rate of 2.5 percent compared with the previous year.

Speaking about the Chief Executive honor, Gov. Greg Abbott says Texas benefits from pro-growth policies, a strong workforce, strategic investments in education, training for high-demand skills and the presence of critical infrastructure.

“Texas is where businesses innovate and where opportunity abounds. … We will continue to move at the speed of business as we build a more prosperous Texas for generations to come,” the governor says.

An annual Chief Executive survey of CEOs, presidents and business owners determines which state is the best for business. Texas has landed at No. 1 every year since Chief Executive launched the ranking.

“Truly, this is an incredible run that Texas has going,” says Christopher Chalk, publisher of Chief Executive. “CEOs are a tough group to please, and yet year after year Texas continues to earn the top spot—no small feat.”

It’s also no small feat for a state to notch annual gains in its gross domestic product (GDP), a measurement of economic power based on the value of goods and services produced each year.

With an estimated GDP of $2.9 trillion last year, Texas maintains its position as the eighth-largest global economy compared with the nations of the world, based on preliminary estimates from the International Monetary Fund.

In reference to Texas’ GDP growth, Abbott says the Lone Star State is “the premier destination for job creators from across the country and world. We will keep attracting world-class investment, create jobs, and expand opportunity for Texans for generations to come.”

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This article first appeared on our sister site, InnovationMap.

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