Austin and Round Rock Area of Economic Development

Major companies and skilled talent continue to flock to Texas’ capital city and surrounding metro area from across the nation and around the world.

The Austin–Round Rock metro has long been recognized as one of the most dynamic regions in the country, a place where cutting-edge industries, a skilled workforce, and a rich cultural identity come together. Known as the “Silicon Hills,” Austin has become a global center for technology and innovation, with leading names in software, semiconductors, and advanced manufacturing driving record-setting growth. Round Rock complements this strength with its own business-friendly environment, home to Dell Technologies’ global HQ and a strong base of advanced manufacturers.

Austin is one of the most vibrant cultural destinations in the U.S., consistently ranked among the best places to live for its music, arts, food, and outdoor lifestyle. This unique blend of creative energy and business opportunity has helped Austin–Round Rock attract entrepreneurs, corporate headquarters, and a steady flow of new residents who want to be part of its booming economy. With prime access along the I-35 corridor, international connectivity through Austin-Bergstrom International Airport, and a deep talent pipeline from The University of Texas at Austin and other institutions, the region offers companies not just a place to grow, but a place to lead.

Year after year, Austin–Round Rock earns top national rankings for its business climate and livability:

• #1 City in the U.S. for Entrepreneurs (Austin)
• #1 City in the U.S. for Economic Growth (Austin)
• #2 U.S. Metro Area for Economic Strength (Austin–Round Rock)
• #2 Best Place to Buy a House in the U.S. (Austin)
• #5 Best U.S. City for Small Businesses (Austin)
• #7 Top Tech City in the U.S. (Austin)

Businesses choose the Austin–Round Rock metro for its combination of workforce, infrastructure, and industry strength. A few highlights include:

• The Greater Austin metro GDP has surpassed $245 billion, with real GDP growth of 39% from 2020 to 2025, one of the fastest rates in the U.S. and well above the national average.
• A workforce of more than 1.5 million, with over 30,000 annual graduates from local colleges and universities.
• Austin-Bergstrom International Airport offering 350+ daily flights, including direct international service.
• Strategic connectivity via I-35, SH-45, and SH-130, linking to all major Texas markets within hours.
• A thriving and resilient industry base spanning semiconductors, EV and mobility, life sciences, aerospace, and software.
• Access to Texas’ favorable business climate, with no personal or corporate income tax, 21 consecutive years as the nation’s #1 state for business, and incentives such as the Texas Enterprise Fund, R&D tax credits, and sales tax exemptions that support growth and expansion

Want to expand your regional search? See how business opportunities in Central Texas are fueling growth beyond Austin-Round Rock.

Key Industries in Austin-Round Rock

Semiconductors & Advanced Manufacturing

Austin–Round Rock is a leader in semiconductor innovation, anchored by Samsung Austin Semiconductor and a robust network of suppliers. With the $17 billion expansion of Samsung’s Taylor, TX, facility and training pathways like the Austin Community College/Texas A&M Engineering Academy, the region is primed for CHIPS Act–driven growth and a skilled trades pipeline.

EV & Mobility

Tesla’s Giga Texas plant has reshaped the automotive landscape, spurring new opportunities across EV production, batteries, and logistics. Suppliers and component manufacturers continue to expand, supported by strong workforce training and access to the region’s highway and toll-road network.

Life Sciences & Biotech

With the Dell Medical School at The University of Texas at Austin and a growing cluster of biotech and medtech companies, the area is building one of the nation’s strongest life sciences ecosystems. Research, clinical trials, and startup support all contribute to its growing reputation in healthcare innovation.

Aerospace, Space & Defense

Austin–Round Rock has evolved into a genuine aerospace and defense powerhouse, anchored by the presence of major firms and state-level investment.

• The metro supports more than 13,000 industry jobs in aerospace, alongside over 143,000 workers in STEM occupations, reflecting significant depth in technical talent and R&D capacity.
• From global firms like BAE Systems, Northrop Grumman, and BAE, to innovative players like York Space Systems, Slingshot Aerospace, CesiumAstro, Applied Aeronautics, and Firefly Aerospace, the area spans the full spectrum from avionics to in-space launch vehicles and satellite systems.
• The Texas Space Commission, together with the Texas Aerospace Research & Space Economy Consortium (TARSEC), channels crucial investments, including recent $20.7 million grant allocations (half going to Austin-based CesiumAstro for a satellite factory and HQ), directly into area companies and research initiatives.
• UK-based Pulsar Fusion chose Austin to establish a clean-room R&D facility for its nuclear space propulsion program, citing “the strength of the local space community, the surrounding innovation ecosystem, and, of course, the people.”

Software, Cloud & Corporate Headquarters

Austin is globally recognized as a leading tech hub, with a unique mix of enterprise anchors and a thriving startup ecosystem. Global giants including Apple, Dell Technologies, IBM, Amazon, and Google have thousands of employees in the region, while venture-backed startups scale quickly thanks to strong access to capital and talent.

The region is home to more than 7,610 tech employers and a tech workforce of over 138,710. This mix of enterprise and entrepreneurial activity makes the Greater Austin metro a magnet for software engineers, cloud specialists, and corporate services.

Clean Technology & Data Infrastructure

With access to renewable energy, competitive power rates, and a strong digital backbone, the Austin–Round Rock metro has emerged as a center for clean technology and data-driven enterprises.

• The Austin region now hosts 47 operational data centers, run by 21 different providers, and construction activity is surging. Between 2023 and 2035, the region’s data center market value is projected to more than double from about $2 billion to $5 billion.
• Nearly 38% of the Austin data-center market’s contracted load is backed by renewable-linked power purchase agreements (PPAs), with that figure expected to exceed 55% by 2030, a strong indicator of sustainability-driven infrastructure planning.
• Austin’s clean-tech ecosystem includes pioneers like Aalo Atomics, which is developing compact modular nuclear units (“Aalo Pods”) designed to sit adjacent to data centers, offering a resilient, low-carbon energy source manufactured locally in a new Austin facility.

Infrastructure & Market Access

Austin–Round Rock’s infrastructure supports both regional mobility and global trade:

• Air: Austin-Bergstrom International Airport offers more than 350 daily flights with nonstop service to major U.S. cities and international destinations.
• Roads: I-35, SH-45, and SH-130 connect businesses to Dallas–Fort Worth, Houston, and San Antonio within hours.
• Digital & Utilities: A robust fiber network and reliable power infrastructure support advanced manufacturing, data centers, and corporate operations.
• Freight Reach: Six Gulf ports within 250 miles provide access to international markets for manufacturers and exporters.

Austin and Round Rock Business Climate & Incentives

Austin–Round Rock provides companies with a dependable, growth-friendly regulatory environment and the benefit of no personal or corporate income tax. Companies that choose to relocate or launch in the region also gain from broader Texas business advantages, including proven pro-business policies and a full suite of statewide and local incentives.

Statewide Incentives

• Texas Enterprise Fund (TEF): A powerful recruitment tool, TEF supports new business setup or major expansion with competitive grants. Since 2003, it’s leveraged over $6.3 billion in capital investment and helped generate more than 63,000 jobs across the state.
• R&D Tax Credit: As of January 2026, Texas will offer an enhanced, permanent R&D franchise tax credit—raising the base rate from 5 % to 8.722%, and offering up to 10.903% for research conducted through in-state institutions.
• Manufacturing Sales & Use Tax Exemption: Businesses that manufacture, fabricate, or process tangible personal property for sale are exempt from sales tax on inputs and essential components of the production process.

Local & Regional Incentives

• Foreign Trade Zone (FTZ) #183: Established in 1991 and now streamlined for quick application within the entire Austin–Round Rock metro—encompassing Bastrop, Caldwell, Hays, Travis, and Williamson counties—FTZ 183 enables duty deferral, duty elimination on re-exports, and inverted tariff benefits that sharpen global competitiveness.
• Local Chapter 380/381 Performance Agreements: These allow cities and counties to provide grants or loans of public funds or services to support development. These agreements are frequently used to promote commercial or industrial projects and boost local economic activity.
• Triple Freeport Exemption: Eliminates inventory holding taxes on goods that briefly remain in the county before being exported—particularly beneficial for manufacturers and distribution centers.
• Expedited Permitting in Round Rock: The city offers streamlined approval for eligible projects, reducing time-to-market and operational ramp-up.
• Performance-Based Local Incentives: From fee waivers to targeted infrastructure support, these local incentives help projects align with community goals and grow efficiently.

Recent Corporate Relocations & Expansions

Recent corporate investments reinforce Austin–Round Rock’s momentum:

• SpaceX – Starlink Facility Expansion
  In 2025, SpaceX a $280M expansion of its Bastrop (Austin metro) semiconductor R&D and advanced packaging site for its Starlink satellite system—supported by a $17.3M state grant—expected to create more than 400 jobs.
• Apple – Austin Campus Expansion
  Apple is currently expanding its operations in the region, adding new R&D labs, hardware, and AI infrastructure. The company’s continued buildout, which adds up to a $1 billion total investment, supports thousands of jobs in design, engineering, and related functions.
• Samsung – $17B Semiconductor Plant Expansion
  Samsung projects a 2026 completion date for its massive $17 billion semiconductor factory expansion in Taylor, Texas. This project stands as one of the largest capital investments in Central Texas, with thousands of jobs projected through the development of advanced chip manufacturing.
• Flex – Solar Microinverter Manufacturing
  In 2024, Flex opened a new 150,000-SF solar microinverter manufacturing facility in Round Rock. The project is expected to support up to 1,200 jobs and help strengthen the region’s role in clean-tech production.
• BillionToOne – New Biotech Facility
  BillionToOne, a precision diagnostics company, broke ground in 2024 on a new Austin facility that is expected to bring approximately 1,000 new jobs in life sciences and biotech innovation.
• Tesla – Gigafactory Texas
  Tesla officially opened Gigafactory Texas (also known as Giga Texas) in April 2022, and it has since become a major regional engine, now employing approximately 22,777 people.

Quality of Life in Austin and Round Rock, TX

The Austin–Round Rock metro is regularly recognized as one of the nation’s most desirable places to live, combining a strong job market with a lifestyle that attracts top talent.

Austin’s reputation as the “Live Music Capital of the World” is matched by a nationally recognized food and arts scene, while proximity to the Texas Hill Country provides easy access to hiking, lakes, and outdoor recreation. Families benefit from strong schools and healthcare systems, and the region’s steady population growth reflects its enduring draw for people relocating from across the U.S.

This combination of cultural vitality, natural beauty, and economic dynamism makes Austin–Round Rock not only a place where companies thrive but also where employees want to build their lives.

Grow Your Business in Austin–Round Rock

With exceptional industry depth, a highly skilled workforce, and an infrastructure that includes one of the fastest-growing data center markets in the country, Austin–Round Rock has established itself as one of the nation’s premier destinations for business growth. The region’s surge of corporate relocations and expansions, combined with Texas’ overall economic growth, makes now the right time to take advantage of the business opportunities in Austin. Contact our team today to learn more about how your company can thrive in the Austin–Round Rock region.