The tech industry remains one of the most dynamic and lucrative sectors for recruitment firms. Last year (2024) marked the ninth time in the past decade that technology has outpaced the broader market, with 2022 being the only exception. Despite economic fluctuations, the demand for skilled professionals continues to grow. Here’s why tech recruitment remains a strong investment.
Market Size
According to Statista, the US tech market is projected to reach a size of approximately $550.3 billion in 2025. The sector has consistently expanded, driven by innovation, digital transformation, and increased reliance on technology across industries. Companies worldwide are investing heavily in IT infrastructure, cloud computing, AI, and cybersecurity, creating an ever-growing need for tech talent.
The Bureau of Labor Statistics reported that, computer and IT occupations are expected to grow much faster than average from 2023 to 2033, with a projected 356,700 job openings annually.
US-Based Tech Giants Fuelling Demand
The United States remains home to some of the largest technology companies in the world, including Apple, Microsoft, Google, Amazon, Meta (formerly Facebook), and Tesla.
These firms, alongside emerging startups and mid-sized tech companies, continue to drive significant demand for software engineers, data scientists, cloud architects, and cybersecurity professionals. With digital expansion at the core of these businesses, recruitment firms have a steady pipeline of hiring opportunities.
Wages and Margin Opportunities
The US tech sector offers significantly higher wages compared to many other regions, including the UK. For instance, the average software engineer salary in the US exceeds $120,000, while in the UK, it’s around £57,000 ($71,000). This wage disparity means recruitment firms can earn higher placement fees and margins, making tech recruitment a highly profitable niche.
Staffing firm Robert Half reported that 95% of tech leaders who responded to its survey currently face challenges finding skilled workers. Therefore, as companies struggle with skill shortages, they are willing to invest in competitive compensation packages, further increasing potential recruiter earnings.
Key sub-sectors driving talent demand
Several key technology sub-sectors continue to expand rapidly, ensuring a sustained demand for skilled professionals:
- Artificial Intelligence (AI): AI applications, from machine learning to automation, are revolutionizing industries, requiring a growing pool of AI specialists, data scientists, and engineers. Just in 2024, 60% of U.S. tech managers were hiring for AI engineer positions, a significant jump from 35% the year before. The emphasis on AI extends beyond specialized roles and will impact the skill sets sought after in software engineers across the board. In global comparison, the largest market size will be in the United States (US$66.21bn in 2025). Moreover, a recent report from LinkedIn named AI engineer one of the fastest-growing jobs in America for 2025.
- Cybersecurity: As cyber threats become more sophisticated, companies are prioritizing security investments, creating demand for cybersecurity analysts, ethical hackers, and risk management professionals.
- E-commerce: Online retail and digital payments have surged, requiring tech talent to build, secure, and optimize platforms for seamless consumer experiences.
- Cloud computing: Post-pandemic, cloud computing has transformed how businesses operate by providing scalable, on-demand computing resources and storage over the internet. The cloud computing market size is expected to reach $1.61 trillion by 2030.
With continuous advancements in AI, cybersecurity, and e-commerce, alongside higher salaries and substantial market growth, the tech industry presents ongoing lucrative opportunities for recruiters.
If you’re ready to recruit in tech in the US, get in touch with our team, we can help.