< Previous54 TEXAS ECONOMIC DEVELOPMENT GUIDE also bring 200 new jobs to the community,” Easy Foods shared in a social media post. “This new plant will further our mission to deliver high-quality products to our customers.” Many local economies are driven by Texas’ food and livestock processing clusters. Texas leads the nation in its number of farms and ranches, part of being home to more cattle than any U.S. state. With native livestock species like the Longhorn and Beefmaster, Texas supports an inventory of 12.2 million head as of 2024. Operations ranging from meat and poultry production to processing meat byproduct can all be found within the state. The highest industry concentration for cattle is found in the High Plains, Northwest Texas and Central Texas regions while poultry processing thrives in Upper East Texas and Southeast Texas. Both food and livestock processing industries are projected to see a 43% increase in GDP contributions by 2032. Future cluster growth is supported by a network of Texas agricultural producers, companies, suppliers, higher education institutions and state leadership keen to explore new innovations that deliver high-quality food products on a global scale. Wine tasting at Pedernales Cellars in San Antonio. Photo courtesy of Visit San Antonio The San Antonio Stock Show & Rodeo always has a lively food section. Photo courtesy of Visit San AntonioTEXAS ECONOMIC DEVELOPMENT GUIDE 55 T ravel to and within Texas is on the rise. In 2024, the state drew in $97.5 billion in traveler spending, resulting in a $199.5 billion total economic impact to the Texas economy. This is a 3.5% increase from 2023 and another record-breaking year for the state’s travel and tourism industry. There’s plenty of diverse ground to cover in Texas, drawing millions to the state each year. It is here that visitors from around the world come to explore generations of art, music, food, sports and culture that can only be experienced across over 261,000 square miles of the Lone Star State. Unique travel tastes result in a variety of ways to become engaged in Texas life. Whether it be the pull of the rustic charm of a small town or the innovative architecture sculpting new urban landscapes, Texas tells a picturesque story that can’t be replicated anywhere else. A Friendly Experience State leadership pioneered a fresh approach to showcasing everything the state has to offer, beginning in the heart of its communities. The sounds of Texas are quite memorable as its influences have been shaped by an assortment of genres engrained in the culture of America’s Southwest. Texas may be the home of country music, but the state sure knows a thing or two about quality blues, rock and roll, hip-hop, Tejano and more. Almost 10 years ago, the Texas Music Office introduced the nation’s first Music Friendly Community Program, now called the Music Friendly Texas Certified Community Program, to nurture and grow the state’s music industry. It has ushered in a wave of development leading to new and revamped music venues, outdoor spaces and industry-focused workshops, while drawing in businesses and creating new jobs. Since then, the program has taken flight, now supporting a The possibilities are endless across the spectrum of Texas tourism. by ALEXIS ELMORE Dealer’s Choice HOSPITALITY & TOURISM Texas has 367 miles of beach along the Gulf Coast. Photo courtesy of Travel Texas56 TEXAS ECONOMIC DEVELOPMENT GUIDE roster of 80 certified communities. This groundwork makes it easy for visitors to explore communities that have a rich music history while immersing themselves in an array of local events, concerts and festivals that celebrate local and up-and-coming artists. These communities can be found around the state, from the live music capital of Austin to quaint cities like Mexia, making for an ideal way to craft a road trip or a day of entertainment. The interest and success of the Music Friendly Texas Certified Communities mirrors that of the Film Friendly Texas Certified Community Program, which was created in 2007 and now supports a network of 200 Texas communities. As a filming location, Texas has been the backdrop of Hollywood blockbusters for generations. Movie buffs who take on any of the Texas Film Trails developed by the Texas Film Commission can expect to enter directly into this network of Film Friendly Texas Certified Communities. Iconic filming locations from “Dazed and Confused,” “Friday Night Lights,” “Friday the 13th” and “True Grit” to hit TV series like “Love & Death,” “Fixer Upper” and “Revolution” draw in fans from around the world who want to be a part of a production’s legacy. Administered by the Texas Economic Development & Tourism Office, these programs, also joined by the new Digital Media Texas Friendly Community program, work to drive economic growth, create Unique art installations, murals and scuptures, like the Dallas Eyeboretum, can be found throughout the state. Photo courtesy of Travel TexasTEXAS ECONOMIC DEVELOPMENT GUIDE 57 local jobs and position the state as a top destination for hospitality, tourism and culture. “A key component to Texas’ success in attracting new business investment and a skilled and growing workforce across industries is ensuring our communities have the tools needed to grow local businesses, spur job creation and support an enviable quality of life for residents and visitors alike,” says Travel Texas Director Tim Fennell. The City of Waco became the first Tourism Friendly Texas Certified Community followed quickly by Abilene, Tyler, Mineral Wells, Galveston, and in total 40 communities that completed the certification in the program’s inaugural year in 2024. Fennell says many of these communities 58 TEXAS ECONOMIC DEVELOPMENT GUIDE are Film Friendly Texas and Music Friendly Texas communities, looking to highlight their visitor- ready experiences, local businesses, historic landmarks and attractions. “Through this initiative, we hope to help communities strengthen relationships with existing tourism partners, educate local leaders on the industry’s economic impact and encourage utilization of state resources to enhance visitor experiences,” says Fennell. “The program provides not only resources but also the guidance needed to develop tourism as a sustainable driver of jobs and economic opportunity.” Texas’ impact on our nation’s culture has naturally made the state a hub for film, music, hospitality, and tourism. The cluster, comprised of multiple industry sectors, supports over 879,000 jobs and counting, contributing $78 billion to the state’s GDP as of 2021. Across the industry cluster, employment is projected to grow by 20% by 2032, making these programs a key strategy to ensuring every Texas community is prepared to provide an unparalleled adventure to millions more who flock to the state. “There is a strong commitment from our communities to welcome visitors with typically Texan hospitality and create enriching experiences for all who visit,” says Fennell. “Whether through live music or iconic filming locations that bring stories to life or memorable local experiences, the collective effort of all of our Friendly Texas Certified Community programs ensures travelers leave with a deeper appreciation for the character, culture and beauty each Texas community has to offer.” Plenty to Explore Outside of entertainment (TOP LEFT) Texas is home to a diverse range of museums, including Space Center Houston and the Dr Pepper Museum, along with unique historic sites such as the Alamo. (BOTTOM LEFT) Tourism Friendly Texas Certified Communities aim to provide unique experiences that highlight local entertainment and attractions. (RIGHT) Big Bend National Park is one of 16 U.S. National Parks and over 80 state parks in Texas. Photos courtesy of Travel TexasTEXAS ECONOMIC DEVELOPMENT GUIDE 59 offerings there are plenty of ways to move around Texas. Regardless of region, the state offers a plethora of outdoor recreational activities. Texas is home to 87 state parks, natural areas and historical sites that range from high-desert mountains to breathtaking limestone waterfalls. These sites provide over 640,000 acres of land fit for a variety of outdoor and water-based activities. If hiking, kayaking, biking or fishing aren’t in line with your relaxation needs, head to any number of Texas beaches lining the Gulf Coast. An interactive way for visitors to gain insight into Texas history is through any of the state’s museums or historical landmarks. At the Alamo, Space Center Houston, the Dr Pepper Museum, the Frontiers of Flight Museum, the Sixth Floor Museum and more, visitors can access artifacts that can’t be found anywhere else in the world. Don’t forget to take a day to discover attractions local to the area. Each community has its own history to tell, translating into art, food, museums, community events and experiences that leave visitors with their own Texas story to share. “Texas hospitality is more than a warm welcome,” says Fennell. “It’s the spirit of adventure, culture and connection that makes every visit unforgettable, inviting visitors to experience the people, places and stories that make Texas one of a kind.” F rom the historic development of the integrated circuit in 1958 to its seizure of leadership in AI infrastructure, Texas has consistently demonstrated an ability to adapt and thrive in the rapidly evolving landscape of technology. One of the next major chapters in the Texas tech story is being written today in Abilene, the emerging anchor of a $500 billion initiative announced at the White House just days into the Trump Administration. Unveiling “Stargate,” President Trump called it “the largest AI infrastructure project in history.” Spearheaded by OpenAI, Oracle and SoftBank, Stargate seeks to establish a network of state-of- the-art data centers capable of supporting the next generation of AI systems. Larry Ellison, executive chairman of Oracle, revealed Abilene as the project’s initial site location. Abilene, officials say, was chosen due to its unique combination of resources and incentives. The city’s access to Texas’ deregulated energy market provides competitive electricity pricing essential for hosting power-hungry, large- scale data centers. In addition, Abilene offers ample land and favorable tax incentives that reduce operational costs. “Stargate Site 1” is being built at Abilene’s Lancium Clean Campus, under development since 2021 as a partnership between Taylor County, the City of Abilene and Lancium, a Houston-based energy technology and infrastructure company. “We chose Abilene for our second Clean Campus because of its ideal location, proximity to abundant wind and solar generation, high-quality workforce, and the opportunities to grow in the future,” said Michael McNamara, Lancium’s co-founder and CEO. The Lancium Clean Campus spans over 1,100 acres and has secured 1.2 GW of power, with 200 MW deployed as of January 2025, allowing it to support Texas may be the future of AI. 60 TEXAS ECONOMIC DEVELOPMENT GUIDE INFORMATION TECHNOLOGY AND AI Leading the Next Revolution by GARY DAUGHTERS Photo by BlackJack3D: Getty Images62 TEXAS ECONOMIC DEVELOPMENT GUIDE computing applications essential for AI development. The campus is equipped with Lancium’s proprietary Smart Response technology, which adjusts power consumption to enhance grid reliability while leveraging low- cost renewable energy sources like wind and solar. The site includes up to 10 buildings currently under construction, each measuring approximately 500,000 sq. ft., with plans to expand to 20 buildings in the future. By hosting one of the world’s most sophisticated AI infrastructures, Abilene has thus positioned itself to become a hub of AI research, development and entrepreneurship. While Austin remains the crown jewel of Texas technology, Abilene’s rise reflects a strategic shift in that big infrastructure goes where the energy and space are. Right now, that means West Texas. “Abilene has demonstrated how collaboration and strategic planning can position a community to take on significant projects,” says Misty Mayo, president and CEO of the Development Corporation of Abilene. “Project Stargate builds upon these efforts and opens new opportunities for growth. This isn’t just about data centers; it’s about building a future where Abilene powers the AI revolution.” The New Wave of AI Computing Power Google is among other giants of the tech world that are doubling down in Texas. In August of 2024, the company announced a $1 billion expansion of its Dallas-area data centers in Midlothian and Red Oak, thus reinforcing Texas as a vibrant hub for cloud computing and AI infrastructure. The announcement signified a rapid expansion of the company’s Dallas Cloud Region, launched in June of 2022 and broadened the following year. “We’re thrilled to strengthen our commitment to Texas,” said Yolande Piazza, vice president of financial services at Google Cloud. “Expanding our cloud and data center infrastructure in Midlothian and Red Oak reflects our confidence in the state’s ability to lead in the digital economy. Together with Texas’ talent and vibrant customer base, we’ll meet growing demand for Google Cloud and AI to help shape the future of technology.” In tandem with the data center expansion, Google announced long- term power purchase agreements with Houston-based Engie and three other providers for 375 MW of solar energy capacity to help power its Texas operations. The company says contracts with an array of energy partners have helped to bring online more than “ We’re thrilled to strengthen our commitment to Texas. ” — Yolande Piazza, VP of Financial Services, Google CloudTEXAS ECONOMIC DEVELOPMENT GUIDE 63 2,800 MW of new wind and solar projects throughout Texas. In addition to its Dallas Cloud Region, Google has offices in Austin, Dallas and Houston. In 2024, the company announced plans for a new Austin tech hub, expected to create 1,000 jobs in engineering, data science and project management. The company says its investments in Texas now total more than $2.7 billion. Blazing a New Trail Just as Texas Instruments forged the early development of the microchip, research with potentially revolutionary impacts continues apace in Texas. In October 2024, the MATRIX AI Consortium at The University of Texas at San Antonio (UTSA) announced receipt of a $4 million grant from the National Science Foundation to fund a project to advance research into neuromorphic computing, an approach to AI that opens myriad new possibilities by mimicking the structure and function of the human brain. As the first national lab of its kind, the consortium’s Neuromorphic Commons (THOR) project will provide remote access to large-scale neuromorphic platforms. By opening the door to researchers from around the U.S., THOR aims to accelerate advances in AI and neuroscience by democratizing access to brain- inspired computing systems. It also positions UTSA as a leader in neuromorphic computing. “We plan to design a national hub for open access to large-scale neuromorphic platforms through close-knit industry partnerships,” said Dhireesha Kudithipudi, the project’s principal investigator. “The field is at a pivotal moment, and ensuring access to a broader group of researchers is critical at this stage. This initiative reflects a community-driven approach, shaping a framework designed by and for the community.” In the fall semester of 2025, UTSA will launch the College of AI, Cyber and Computing, billed as the first stand-alone college in the U.S. dedicated to these crucial, converging fields. The new college is set to consolidate UTSA’s tech programs into four specialized departments for computer engineering and artificial intelligence, computer science, information systems & cybersecurity and statistics and data science. “This college,” says UTSA President Taylor Eighmy, “is at the epicenter of digital convergence, driving workforce development and transdisciplinary innovation.” Next >