Alabama’s technology sector is rapidly advancing, with significant growth in software services and cybersecurity activity. The economic output of Alabama’s tech sector has surged by 50% since 2018 and is projected to reach 5.3% of the state’s total GDP by 2030, supported by increasing venture capital investments — $321 million in IT deals in 2023 alone.

$2B+

Data Center Investment

27k+

Computer System Design
and Related Jobs

50%

Tech GDP Growth since 2018

$321M

VC Investments, 2023

Start-up incubators and hubs

Key hubs like Huntsville, Birmingham and Mobile are fostering ventures focused on fields including IT cybersecurity, IoT and AI. Homegrown successes like Shipt and Fleetio highlight the potential of Alabama startups, supported by a statewide incubator network that drives innovation and market alignment.



These developments and more are setting the stage for a new wave of growth in Alabama’s emerging tech sector.

Information technology

IT sub-clusters aligned with local industries have formed around Alabama. Many cybersecurity, IoT and advanced manufacturing-focused IT companies have landed in Huntsville, where their services are used by aerospace and defense industry players.



In Birmingham, healthcare and business management-focused IT companies are growing and are used predominately by the University of Alabama at Birmingham and its growing medical enterprise. In addition, the Mobile area boasts emerging companies using AI and machine learning for data analytics.

Meta
Google
DC Blox
Shipt
Fleetio
Provalus
Aubix
Daxko
AtlasRFID
CGI
McLeod Software

Writing the tech standard.

Art Deco style building with  Innovation Depot signage.

Latest Technology News

Alabama technology

Enterprise

AUBURN, Alabama — Core Scientific Inc., a leader in providing digital infrastructure for high-performance computing, is expanding into Auburn. The company plans to invest $135 million to establish its operation in the existing AUBix data center on West Samford Avenue, with an expected total investment of $400 million. 

Why Alabama for Information Technology?

Why Alabama?

Alabama is a state of makers, builders, and doers. So, whatever you make or build, you can do it in Alabama. We’re a launching point for aerospace, aviation, and defense. A leader in automotive production. A home for startups, technology, and research breakthroughs. And drawing on our manufacturing roots, we’re helping to usher in the industrial evolution in America.


Alabama’s prime location in the South and on the Gulf Coast grants it nearly unlimited access to the national and international markets. Alabama sits within a one day drive to all of the South and its nearly 150M residents.

Alabama’s strong workforce is a major attraction for businesses worldwide, driven by our commitment to skill development. Industry leaders like Mercedes-Benz and Airbus have benefited from on-site training programs in partnership with state workforce agencies; and our state’s focus on education and industrial training through colleges further strengthens Alabama’s appeal to businesses.


Alabama’s business approach is very inviting, offering global companies incentives, tax benefits, a skilled workforce, and excellent real estate options. Low taxes, affordable utilities, and a reasonable cost of living boost profits, and the state ensure ideal site locations and attractive incentives for long-term success in Alabama.

Alabama’s Business Development Division actively seeks corporate investors, promotes global expansion for local companies, supports small businesses, and collaborates with various stakeholders for comprehensive investor support. The state also engages with communities to enhance competitiveness and contribute significantly to Alabama’s economic growth strategy, making the state attractive to investors, businesses, and job seekers.