---
title: "Semiconductors in Greater Phoenix | GPEC"
url: https://stacklist.com/card/d612849f-2ed4-439f-a89a-59e281a514c8
source_url: "https://www.gpec.org/industries-operations/industries-in-greater-phoenix/semiconductors/"
stack: https://stacklist.com/stack/53c9ba9e-2bbf-4fd7-a882-ecee0e9fd7eb
summary: "Greater Phoenix is a top U.S. semiconductor hub with over 189,000 relevant jobs, hosting major companies like Intel, TSMC, onsemi, and Microchip Technology since Motorola's 1949 establishment. The region offers competitive advantages including robust workforce, reliable infrastructure, low operating costs, and exceptional talent pipeline with 1,800 annual semiconductor-related graduates."
tags: "semiconductors, greater-phoenix, manufacturing, workforce, technology-hub, semiconductor-industry"
key_entities: "Greater Phoenix (location), Motorola (organization), Intel (organization), TSMC (organization), onsemi (organization), NXP Semiconductors (organization), Microchip Technology (organization), Amkor Technology (organization), ASM America (organization), Arizona (location), semiconductor-manufacturing (concept)"
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# Semiconductors in Greater Phoenix | GPEC

Semiconductors Semiconductors Join Global Leaders in Greater Phoenix A Top U.S. Semiconductor Hub Greater Phoenix has been a leader in semiconductor development since 1949 when Motorola first opened a facility in the region. This legacy company set the stage for Greater Phoenix to house companies such as onsemi, NXP Semiconductors and Microchip Technology and secure investments of billions of dollars from giants such as Intel and TSMC. The region’s engineering workforce, education partnerships, business-friendly operating environment and deep manufacturing history have positioned it to emerge as a global semiconductor manufacturing hub. Semiconductor Industry Report Get our 27-page, in-depth report on the semiconductor ecosystem in Greater Phoenix. Robust Workforce Greater Phoenix is the fourth-largest U.S. metro area for semiconductors manufacturing employment and offers a workforce of more than 189,000 in occupations relevant to semiconductors. Large Existing Cluster Greater Phoenix is home to some of the largest and most influential players in the semiconductor industry. Companies with operations in the region include Intel and TSMC, while HQs in the region include onsemi, Microchip Technology, Amkor Technology, and ASM America. Reliable Infrastructure Greater Phoenix offers fast fiber connectivity and consistent and reliable power coverage. The region’s robust network of data centers is complemented by access to a leading domestic and international airport and a low risk of natural disasters. Competitive Operating Costs With low employee benefits costs, low property taxes, and business-friendly operating environments, Greater Phoenix semiconductor companies pay less while taking advantage of the area&#8217;s southwest location. Exceptional Talent Pipeline Arizona universities produce 1,800 graduates in semiconductor-related degrees each year and 41,000 total graduates. More than 38,000 students are enrolled in engineering programs across Arizona universities. Quality of Life Enjoy a lifestyle that celebrates living outside the box. Discover nearby hiking trails and bike paths, sporting events, award-winning culinary options, and a vibrant arts and culture scene. Robust Workforce Semiconductor Expertise With an increasingly strong semiconductor presence in Greater Phoenix, the region boasts a strong workforce with an exceptional talent pool. Greater Phoenix offers more than 189,000 jobs in occupations relevant to semiconductors. With a supportive tax environment and low operating costs compared to competitor markets, both new-to-market and existing semiconductor operations can find success in Greater Phoenix. Photo: Intel Semiconductor-Related Occupations by Metro Greater Phoenix offers an abundance of potential candidates with extensive knowledge in all areas of the semiconductor industry. The table below shows the total number of jobs in relevant occupations in the selected metro regions. See how Greater Phoenix stacks up to competitor regions. Occupation Phoenix Dallas/ Fort Worth Portland San Jose General and Operations Managers 70,211 135,941 28,255 19,262 Software Developers 29,353 60,632 17,536 89,683 Miscellaneous Assemblers and Fabricators 17,050 37,089 7,238 6,486 Computer and Information Systems Managers 11,110 25,075 5,372 20,098 Inspectors, Testers, Sorters, Samplers and Weighers 7,161 15,450 3,803 5,057 First-Line Supervisors of Production and Operating Workers 6,289 17,390 5,564 2,835 Industrial Engineers 5,458 8,070 3,545 3,595 Electrical, Electronic, and Electromechanical Assemblers, Except Coil Winders, Tapers and Finishers 4,408 6,823 3,490 8,374 Mechanical Engineers 3,774 5,072 2,585 3,874 Architectural and Engineering Managers 3,097 4,660 3,459 6,408 Electrical Engineers 3,097 4,660 3,459 6,408 Software Quality Assurance Analysts and Testers 2,880 9,343 1,656 7,835 Electronics Engineers, Except Computer 2,720 4,009 656 5,553 Industrial Production Managers 2,398 5,491 1,827 2,305 Semiconductor Processing Technicians 2,046 3,441 5,401 1,724 Computer Hardware Engineers 1,903 1,216 8,473 10,460 Industrial Engineering Technologists and Technicians 1,708 1,388 2,322 625 Materials Engineers 998 1,160 261 517 Electrical and Electronics Drafters 610 1,037 194 331 Total 176,322 349,281 105,425 201,217 Source: Lightcast 2025 Q1 Dataset 30499 Greater Phoenix is home to 30,499 semiconductor and other electronic component manufacturing jobs Source: Lightcast 2023 Q1 $135B+ Greater Phoenix saw over $135B in semiconductor investment from 1949-2024 4th Greater Phoenix is the fourth-largest metro area for semiconductors manufacturing employment Source: Lightcast 2023 Q1 Large Existing Cluster Greater Phoenix Semiconductor Ecosystem Whatever the operation type, Greater Phoenix has demonstrated that it has the ecosystem to support microelectronics firms big and small. Companies ranging from startups to well-established semiconductor operations have helped build the industry in the region, supporting growth specific to the semiconductor industry year after year. In addition to major semiconductor manufacturers, Greater Phoenix has a network of industry suppliers covering materials, chemicals and machinery necessary to keep operations going. Below are some of the suppliers operating in Greater Phoenix. Major Semiconductor Companies in Greater Phoenix Explore the interactive map below to see more big players in the Greater Phoenix market. Source: MAG Employer Database 2023 ASU chosen for NSTC The Arizona State University (ASU) Research Park will be home to NATCAST&#8217;s flagship chip packaging and prototype research and development facility. This facility under NATCAST, which operates the National Semiconductor Technology Center (NSTC), will be one of only three CHIPS for America research and development flagship facilities and allow better connection between research and commercialization. Reliable Infrastructure Powering Semiconductor Facilities Greater Phoenix has one of the most reliable power grids in the nation, giving consistent power support to the semiconductor industry throughout the region. With 71% fewer natural disasters than the adjacent state of California, semiconductor operations can rest easy knowing operations and productivity are rarely disrupted by outside factors. From 2014-23, Arizona recorded only 16 total hours of power outages. Semiconductor operations can reduce risk and increase operating efficiency by moving to Greater Phoenix. Photo: Intel Airline Connectivity &amp; Access Ideally situated in the southwest, Greater Phoenix not only meets airport logistic demands with cross-country flights and quick access to major metros in California and Texas, but serves as a direct carrier to and from companies in Mexico. A joint U.S.-Mexico customs facility under development at Mesa Gateway Airport will be the first of its kind in the country, easing the burden on companies that export goods. Regional Rail Access Greater Phoenix is served by two major railroads, Union Pacific and BNSF. With major rail lines throughout the entire Southwest reaching Greater Phoenix, semiconductor operations can rely on these railroad systems for both the import and export of goods and materials. Industrial Gas Manufacturers Greater Phoenix has a network of industrial gas manufacturers in the region available to meet the needs of manufacturing operations. Airgas, Matheson and Air Products &amp; Chemical are among companies that operate in the region. Download the full industry analysis for more on Greater Phoenix infrastructure. Semiconductor Report Competitive Operating Costs Companies in Greater Phoenix enjoy the benefits of low business costs, minimal regulation and an advantageous operating environment in a right-to-work state. From aggressive tax credits and incentive programs designed to increase access to capital, the Greater Phoenix region offers businesses a robust, pro-business climate. Annual Business Operating Cost Comparison The Annual Business Operating Cost Pro-forma below estimates the cost of running a typical semiconductor business in competitor markets across a handful of major expense categories. Component and custom analyses to match your company’s operations can be provided upon request . Contact us to request a custom analysis for your business . Metro Employee Payroll Fringe And Mandated Benefits Utilities Real Estate Payments Property Tax Total Operating Cost Index Phoenix $7,991,736 $1,375,209 $45,476 $936,000 $6,777 $10,355,197 100.0% Dallas-Fort Worth $8,681,385 $1,485,850 $52,113 $539,250 $344,217 11,102,815 107.2% Portland $8,432,547 $1,512,214 $43,210 $891,000 $162,150 $11,041,122 106.6% San Jose $10,405,601 $2,341,120 $107,512 $1,368,000 $181,650 $14,403,883 139.1% Assumptions: $15,000,000 personal property investment; 75,000 square foot Industrial Manufacturing, Lease; Utilities (per month): Electric: 75KW, 30,000KWh; Water/Wastewater: 3,000cf, 5/8 meter; Natural Gas: None; 100 jobs (Bureau of Labor Statistics equivalent occupations) HB2822: Tax Reduction to Benefit Data Centers HB2822 reduces businesses’ tax burden by setting the full cash value of business and agricultural property at a fixed 2.5% of the property’s acquisition cost, rather than a depreciation schedule. This lowers the assessed value of the property and greatly reduces tax payments. Over a 10-year period, the personal property tax on a $500 million property would be just $2.4 million, a fraction of the nearly $51-million tax on standard depreciation. Below is a table comparing deprecation value of the property before and after the passage of the bill. Get more information here . Schedule Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Previous (Pre-2022) 22.5% 35.7% 45.0% 51.1% 53.4% 47.0% 36.0% 24.0% 12.0% 2.5% Current (Since 2022) 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% Calculate Your Real Estate Savings Select your MSA, building type and square footage to see how much you would save on annual real estate costs in Greater Phoenix. Austin Dallas Denver Los Angeles Portland San Francisco Seattle Type Office Industrial Sq. Feet Total Annual Savings $ Calculations were performed using annual lease rates per square foot, effective property tax rates, and average costs of water, wastewater, electric and natural gas; utilities are included in office lease rates. Sources: GPEC Metrocomp Tool Exceptional Talent Pipeline State Support of Engineering Leads to Qualified Graduates Greater Phoenix’s semiconductor companies not only helped to shape the region’s economy but had a key role in advocating for improvement to Arizona’s educational system through investment, public support and partnerships with local universities and community colleges. In 2023, more than 1,800 students graduated with semiconductor-related degrees from Arizona State University (ASU), University of Arizona (U of A) and Northern Arizona University (NAU). University Alignment Arizona has three four-year public universities: ASU, with four campuses around Greater Phoenix; U of A, based in Tucson; and NAU, based in Flagstaff. Each school has a full range of electrical engineering, computer engineering, engineering technology/technician, computer science, and informatics programs. Between these three universities, various junior colleges, and a number of coding schools and boot camps available in the region, Arizona’s institutions of higher education are preparing the workforce of tomorrow. University Type City Engineering Enrollment Semiconductor Graduates Total Graduates Arizona State University 4-yr Public Tempe 31,752 1,526 21,683 University of Arizona 4-yr Public Tucson 3,411 150 12,079 Northern Arizona University 4-yr Public Flagstaff 3,018 140 7,797 Total: &#8211; &#8211; 38,181 1,816 41,559 Sources: Arizona State University, University of Arizona, Northern Arizona University, Arizona Board of Regents, Lightcast 2025 More Higher Education Opportunities Maricopa Community Colleges Consisting of 10 campuses across the region, Maricopa Community Colleges serves over 100,000 students each year. The district partners with major industry players to produce programs relevant to semiconductors and graduates prepared for the workforce. Grand Canyon University Grand Canyon University is a private Christian university located in Phoenix committed to training the next generation of working professionals. Relevant professional programs include computer science, electrical engineering, mechanical engineering and software engineering. Central Arizona College With five schools across Pinal County, Central Arizona College offers programs relevant to the semiconductor industry. CAC is part of the ReadyTechGo initiative that prepares students for careers in advanced manufacturing. Quality of Life Living in Greater Phoenix Experience a vibrant lifestyle and diverse culture at an affordable cost of living. Enjoy the outdoors with more than 300 days of sunshine, average temperatures of 75 degrees, convenient access to over 400 hiking trails and globally recognized sporting events. Take part in a vibrant arts and culture scene that includes prominent classical arts to public art to craft markets and a diverse range of music and cultural events. And, eat well with fresh farmers markets in every city, and globally recognized chefs and culinary experiences at your doorstep. Click the icons below to learn more about Greater Phoenix living. 4 Four cities and towns in Greater Phoenix rank as top-20 cities for families This Old House, 2025 3 Greater Phoenix has three of the best eight cities for golfers Lawn Starter, 2025 6 Six local communities rank as top-20 places for first-time homebuyers Wallethub, 2024 4 Four communities are among the top 20 places to find a job Wallethub, 2025 Living Here Sports &amp; Outdoors Craft Culinary Scene Music &amp; Arts Opportunity Family &amp; Education
