Recently returning from San Francisco, a dinner discussion sparked my thoughts on the US regional economic outlook for next year. While everyone is talking about Florida, New York, and California, I see potential in another state — Texas.

Why do I say that? Let’s look at the data.

Among the major developed states, Texas exhibits a unique combination: second in the nation for GDP growth rate, second in Fortune 1000 company headquarters, but most importantly — it has the lowest median home price among these four states. In other words, it has a more favorable cost structure and greater growth potential. But that’s just the surface.

The real opportunity lies beneath.

In the past two years, everyone has been focused on AI chips and application layers, but few have noticed a key bottleneck forming: data center capacity. Training and running large-scale language models require enormous electricity input, and most regions simply cannot meet this demand. Texas is different.

The state has a set of energy systems that are hard to replicate elsewhere — a diverse mix of oil, solar, natural gas, and nuclear power. Plus, cheap available land and relatively relaxed regulations allow for rapid deployment of new infrastructure. While California is still stuck in approval processes and the Northeast coast is repairing aging power grids, Texas is already laying the groundwork for the next decade’s computational needs.

The deeper reaction chain here is more profound.

What does large-scale data center and energy infrastructure construction require? A massive workforce. We’re talking about thousands of construction jobs, operations and maintenance positions, and related services — and these jobs generally pay above average.

This chain forms: high-paying job opportunities → increased disposable income → expanded local consumption and economic activity → more businesses and talent gathering → more employment opportunities. Texas will not only benefit from the AI wave but is also building a self-reinforcing economic expansion mechanism.

What it means for you.

Whether you’re working on enterprise products, consumer goods, or financial services, Texas’s customer base is expanding rapidly — not just in quantity but also in quality. A large influx of high-income tech and energy professionals is reshaping the state’s economic structure.

If your 2026 business plan doesn’t yet include Texas, now is the time to add it. Instead of passively waiting to see if competitors will go there, take the initiative. The value of a location has never been about geography — it’s about opportunity.