Salt Lake City, known for its Mormon culture and amazing nature is now a growing centre of innovation and investment.
In fact, according to a report by CBRE, in 2023 Salt Lake City had a tech workforce of more than 59,600 people, with 70% of VC investment in the city going towards tech.
This has been driven by a number of factors, including government initiatives like the Startup State Initiative, designed to act as a startup incubator, and the reduction of state income tax, designed to bring entrepreneurs to the region.
The Rise Of The Silicon Slopes
The term ‘Silicon Slopes’ was first coined by Josh James (founder and CEO of Domo), who used it as a term to describe the city’s fast-growing tech community. Similar to how Silicon Valley references the Santa Clara Valley, the Silicon Slopes reference Utah’s mountains.
According to Empire Resume, some of the most well-known tech companies in the Silicon Slopes include household names like Adobe, eBay and IM Flash.
Who Are Some Of Salt Lake City’s Biggest Startups?
Podium
Founded in 2014, Podium has quickly become one of Salt Lake City’s most successful startups.
The company helps businesses improve their operations through messaging, reviews and payment tools. With its status as a unicorn, Podium is a great example of the region’s startup scene.
Qualtrics
Though they are based just south of Salt Lake City, Qualtrics is a big player in the area’s startup scene. Qualtrics helps companies gather and analyse feedback to drive improvements. The company was sold to SAP in 2018 for $8 billion and then went public, with a valuation of $21 billion. This has made it one of Utah’s biggest success stories.
Divvy
Divvy, now a part of Bill.com, is an expense management and budgeting software.
Founded in 2016, Divvy quickly attracted attention for allowing companies to track spending in real time. After being acquired for $2.5 billion in 2021, it’s certainly one of the region’s biggest success stories.
Pluralsight
Pluralsight is an edtech company that helps people and businesses learn tech skills.
The company’s platform offers courses on topics like coding, AI, software development and IT – making it a great platform for anyone looking to upskill. After being acquired by Vista Equity Partners for $3.5 billion, the company secured its place in the Salt Lake City history books.
The Growth Of Salt Lake City As A Tech Hub
Whilst Salt Lake City’s tech scene was growing before, the pandemic was a pivotal moment for its growth. This is because remote work meant more people had the chance to work from elsewhere.
Salt Lake City’s Department of Economic Development commented that the region experienced one of the highest rates of commercial office leasing during the pandemic – solidifying it as a growing tech economy.
However, this growth has also had an impact on the local population, with housing costs rising by up to 40% in recent years. This has raised some questions around how the city’s natives will be able to keep up with rising costs.
A Bright Future
Despite the rising cost of living, one thing is for certain: Salt Lake City’s future as a tech hub looks bright.
With the state ranked No. 1 in projected growth for tech employment by the Computing Technology Industry Association, the city is only getting more popular.
Additionally, a 2024 study by the University of Maryland found that Salt Lake City is 1st in growth for AI-related job postings – showing its innovation in up and coming technologies.
In any case, with its reputation as a growing tech hub, it’s no wonder so many entrepreneurs are moving there. Whether you’re a start up founder, investor or tech professional, all signs point to Salt Lake City as the place to be!
Sources: Perelson, fdiintelligence, mansionglobal
