Seattle ranks No. 3 nationally in AI industry growth according to a new study that measures employment, salaries, job concentration and more in metropolitan areas across the U.S.
The new report from CoworkingCafe puts Seattle behind San Jose, Calif., (Silicon Valley) and New York City. San Francisco and Dallas round out the top five.
“Seattle strikes a balance between Silicon Valley’s intensity and New York’s breadth,” the report notes. With 12,726 AI job postings between November 2024 and November 2025, AI roles are nearly three times as common in the Seattle area as they are nationwide.
Average AI pay reaches $169,633 in the Seattle area, according to CoworkingCafe. However, “rising expenses have become a constraint and local living costs sit well above the national average,” with Seattle among the most expensive large metros.
By comparison, AI job pay in San Jose averages almost $216,000 — the highest of any metro studied — and in New York it’s $151,000.
Whether the momentum continues in Seattle remains to be seen, at least for some tech leaders, who have been warning that the passage of a new state “millionaires tax” could stall the region’s AI growth.
The study, which measured 300 cities, focused on AI-native technical roles, including software developers, data scientists, computer systems analysts, QA testers and related engineering positions.
The study also compared broadband readiness and co-working infrastructure, which CoworkingCafe considers a necessity for keeping connected and productive. Seattle is home to 145 co-working spaces.
Among smaller-market AI growth, Fayetteville, Ark., and Boulder, Colo. topped the rankings for mid-size and small-size metros, respectively.
Facts Only
Seattle ranks third nationally in AI industry growth
12,726 AI job postings between November 2024 and November 2025
Average AI pay: $169,633
Seattle has 145 co-working spaces
Local living costs are higher than the national average
San Jose offers the highest AI job pay ($almost $216,000)
New York City's AI job pay is $151,000
Executive Summary
The new report from CoworkingCafe ranks Seattle as the third-largest AI industry growth hub in the U.S., trailing behind San Jose, California (Silicon Valley) and New York City. The study focused on AI-native technical roles, including software developers, data scientists, and related engineering positions. With 12,726 AI job postings between November 2024 and November 2025, Seattle demonstrates a high concentration of AI roles compared to the national average.
Seattle's AI pay reaches an average of $169,633, although local living costs are higher than the national average. San Jose offers the highest AI job pay at almost $216,000, while New York City stands at $151,000. The study also highlights Seattle's co-working infrastructure and broadband readiness.
However, concerns have arisen about the impact of a new state "millionaires tax" on Seattle's AI growth. Some tech leaders have warned that this legislation could potentially slow down the region's AI development.
Full Take
Steelman: The report highlights Seattle's growth in the AI industry, with a high concentration of AI roles compared to the national average. Seattle's co-working infrastructure and broadband readiness are also praised. However, concerns about a potential slowdown in AI development due to a new state "millionaires tax" have been raised by tech leaders.
Patterns detected: None
Root cause: The growth of Seattle's AI industry can be attributed to the convergence of technological innovation, education, and investment opportunities in the region. The concerns about the impact of the "millionaires tax" on AI development reflect debates around balancing economic growth with social equity and redistribution of wealth.
Implications: If the "millionaires tax" does indeed slow down Seattle's AI growth, it could have far-reaching consequences for the city's economy and its global reputation as a hub for technology and innovation. On the other hand, implementing such a tax might help address income inequality and funding needs in other sectors.
Bridge questions: What are the long-term effects of the "millionaires tax" on Seattle's AI industry? How can policymakers strike a balance between promoting economic growth and addressing income inequality? What role do corporations and tech leaders play in shaping public policy decisions?