Nevada's Labor Force Participation Reaches 63.2%, Highest Since Pandemic... Labor Force Grows by 42,000 as State Emerges as Global Tech & AI Hub

2,000+ Tech Companies Relocate from California in 5 Years | Vantage $3B AI Campus Opens April 2026 | K-Nevada Bridge 2026 Program Launches

Area Development 2025 Report: Las Vegas Ranks #1 'Mega Location' Nationwide, Carson City #1 in 'Economic Strength', Reno Top-Tier in 'Medium Markets' | Vantage $3B AI Data Center Opens April 2026 | K-Nevada Bridge 2026 Program Launches with Korea Night at Reno Startup Week

리노(Reno), ‘제2의 실리콘밸리’로 도약...네바다 경제 활동 참가율 급상승

네바다, 미국 테크·AI 허브의 새 심장으로 부상부제경제활동참가율 63.2% 팬데믹 후 최고 | 5년간 CA發 테크기업 2,000개+ 이전 | 밴티지 30억 달러 AI 캠퍼스 2026년 오픈핵심 포인트. Area Development 2025 평가: 라스베이거스 ‘메가 로케이션’ 1위, 카슨시티 ‘경제 강도’ 1위, 리노 ‘중형 시장’ 상위권. K-Nevada Bridge 2026 프로그램 본격 가동, Reno Startup Week 내 Korea Night 개최 확정

K-EnterTech HubJung Han

Nevada's labor market is experiencing a structural transformation, emerging as the epicenter of a 'Tech Boom.' According to the December 2025 employment report released by Nevada's Department of Employment, Training and Rehabilitation (DETR) on January 23, 2026, the labor force participation rate reached 63.2%—the highest since the COVID-19 pandemic. The labor force grew to 1,700,180 workers, an increase of 42,231 from the previous year. This figure exceeds the national average participation rate of 62.4% by 0.8 percentage points, indicating strong confidence in Nevada's labor market.

Particularly noteworthy is the 'Skill Premium' phenomenon observed in construction and financial industries. Despite declining employment in both sectors, wages surged 9.8% and 10.2% respectively. This demonstrates that demand for skilled workers significantly exceeds supply, signaling a transition toward high-value jobs. DETR Senior Economist David Schmidt highlighted this phenomenon in the report, noting the structural changes in Nevada's labor market.

The '2025 Leading Metro Locations' report jointly published by Area Development and Chmura Economics & Analytics clearly demonstrates Nevada cities' competitiveness. The Las Vegas-Henderson-North Las Vegas metropolitan area ranked #1 nationally in the 'Mega Locations' category, while Carson City ranked #1 among 30 small markets nationwide and #1 in the Mountain West region for 'Economic Strength.' Reno also received high marks in the 'Medium Markets' category for affordable housing costs and labor force participation.

Thomas Burns, Executive Director at Nevada Governor's Office of Economic Development(GOED), commented on these achievements in an interview with KOLO TV: "

It is so important that we keep this momentum going into 2026. Economic development is a contact sport. We need to be engaged in the marketplace and stay focused on what is going on."

1. Nevada December Employment Trends: Key Indicators Analysis

The December 2025 employment report released by Nevada DETR on January 23, 2026 clearly shows the current state and direction of Nevada's labor market. The unemployment rate remained stable at 5.2%, unchanged from the previous month, but down 0.6 percentage points from December 2024 (5.8%). The number of unemployed fell to 88,569, a decrease of 87 from the previous month and 7,181 from the previous year.

1-1. Key Economic Indicators Summary

Source: Nevada DETR, 'December 2025 Statewide Press Release & Report,' January 23, 2026

"Despite declining employment in construction and finance, both sectors showed strong wage gains of 9.8% and 10.2% respectively. Nevada's unemployment rate remained stable at 5.2%, while the labor force participation rate rose to 63.2%, the highest level since March 2020."

— David Schmidt, Nevada Senior Economist (DETR December Report)

1-2. Employment by Metropolitan Area (MSA)

Nevada's three major metropolitan areas show distinct employment patterns. The Las Vegas-Henderson-Paradise metro area added 2,000 jobs from the previous month, driven by recovery in tourism and entertainment. Meanwhile, the Reno-Sparks metro area lost 700 jobs, though this is analyzed as a temporary phenomenon during the structural transition from traditional to advanced tech industries.

Source: DETR CES (Current Employment Statistics), December 2025

Despite the temporary employment decline in the Reno-Sparks metro area, Reno has rapidly emerged as a 'Second Silicon Valley' with over 2,000 tech companies relocating from California in the past five years. Key factors attracting tech companies include 0% state income tax, low corporate taxes, and living costs 30% lower than California. Global tech giants including Tesla, Google, Panasonic, and Switch have established major facilities at the Tahoe-Reno Industrial Center (TRIC).

2. Comparison with Other States & National Competitiveness

According to U.S. Bureau of Labor Statistics (BLS) data, Nevada recorded the third-highest unemployment rate nationwide (5.2%) as of November 2025, tied with Oregon. Only California (5.5%) and New Jersey (5.4%) had higher unemployment rates. However, Nevada's 63.2% labor force participation rate exceeds the national average of 62.4%, indicating strong confidence in the labor market.

2-1. National Unemployment Rankings (November 2025)

Source: U.S. Bureau of Labor Statistics (BLS), State Employment and Unemployment Summary, November 2025

2-2. Area Development 2025 Leading Metro Locations Report

The '2025 Leading Metro Locations' report jointly published by Area Development and Chmura Economics & Analytics confirms the national competitiveness of Nevada's cities. The report analyzes 949 U.S. metropolitan and micropolitan areas across 24 economic and workforce indicators. Evaluation criteria are divided into two main categories: 'Prime Workforce' and 'Economic Strength.'

Source: Area Development Magazine & Chmura Economics & Analytics, '2025 Leading Metro Locations,' December 2025

"I think this is a result of Governor Joe Lombardo's systematic business environment in Nevada. What struck me particularly about the report was that both a small community in the North (Carson City) and a large community in the South (Las Vegas)—while very different from each other—both shined and thrived."

"It is so important that we keep our eye on the ball. Economic development is a contact sport. We need to be engaged in the marketplace and stay focused on what is going on."

— Tom Burns, Nevada GOED Executive Director (KOLO TV, January 6, 2026)

3. Reno: Rapid Rise as Global Tech & AI Hub

Nevada's Reno is no longer confined to its image as a casino town known as 'The Biggest Little City in the World.' The U.S. Economic Development Administration (EDA) Tech Hub designation, massive investments from global tech companies, and over 2,000 tech companies that relocated from California are transforming Reno into a 'Second Silicon Valley.'

3-1. Federal Tech Hub Designation & Investment

In October 2023, the Biden-Harris Administration designated the Reno-Carson City region's 'Nevada Lithium Batteries and Other EV Material Loop ("The Loop")' as one of 31 national Tech Hubs. Selected from 489 applications, this project was allocated approximately $21 million in implementation funding in July 2024.

The University of Nevada, Reno (UNR) serves as the lead institution, collaborating with over 50 public and private partners to build an ecosystem spanning the entire lithium extraction-processing-manufacturing-recycling cycle.

Source: U.S. Economic Development Administration (EDA), Tech Hubs Program; UNR Nevada Today, July 2, 2024

"This funding is crucial to Nevada's lithium battery and EV technology development, and essential to America's energy future. We look forward to the innovation and progress that UNR's Tech Hub will achieve with this funding."

— Joe Lombardo, Nevada Governor (EDA Announcement, July 2, 2024)

3-2. Reno Tech Ecosystem Overview

Over 2,000 tech companies have relocated from California to Reno in the past five years. Key attractors include 0% state income tax, low corporate taxes, living costs 30% lower than California, and proximity to Silicon Valley and Lake Tahoe. Average tech salaries reach $104,000, with cybersecurity jobs projected to grow 35.9% by 2028.

Source: Nevada GOED, EDAWN, KoreaTechDesk, Nucamp Industry Reports

3-3. Emergence as Data Center Hub: AI-Era Core Infrastructure

The Tahoe Reno Industrial Center (TRIC), spanning an area larger than Detroit, hosts major global data center companies and is emerging as critical infrastructure in the AI competition era. MIT Technology Review has called Reno 'one of the world's largest data center markets.'

Source: Vantage Data Centers Press Release (July 15, 2025); MIT Technology Review; Data Center Frontier; Nevada Appeal

"As the race for global AI dominance continues, Vantage is leading in providing digital infrastructure to support innovation and applications for the world's largest technology companies. Nevada provided a strategic opportunity to accelerate time-to-market for our customers while supporting the local economy with long-term jobs and tax revenue."

— Dana Adams, Vantage Data Centers North America President (July 15, 2025)

"The race to Super Intelligence has changed the game. It's all about scale and power now. The ability to bring services online in Reno by April 2026 was the decisive factor for our tenants."

— Seth Pederson, Vantage Data Centers SVP of Sales (Nevada Appeal, August 2025)

4. Unemployment Insurance Claims Trends

In December 2025, Nevada's initial unemployment insurance (UI) claims reached 13,852, a 13.3% increase from November (12,221). The average weekly benefit was $507.73, up 3.3% from the previous year ($491.64). Total compensation paid was $60,749,591, a 37.2% increase from the previous month.

Source: DETR ETA 5159, December 2025 Unemployment Insurance Activity

5. K-Nevada Bridge 2026: Korea-Nevada Startup Collaboration Program

★ NEW 2026 PROGRAM: Korea Night 2026 & Reno-Vegas Startup/VC Week

Building on the success of the 'K-Nevada Gateway' program in 2025, the expanded 'K-Nevada Bridge 2026: Korea Night & Reno-Vegas Startup/VC Week' program launches in 2026.

This program is organized by K-EnterTech Hub in partnership with major Korean accelerators and global law firms including Mediontech, Pacemakers, Genaxis, and Law Firm Mission. The goal is to establish a bridgehead for innovative Korean startups to enter the Reno/Las Vegas and Western U.S. markets.

The program will operate a dedicated Korean startup pitching session during Reno Startup Week 2026 and provide substantive 1:1 meeting opportunities with local VCs and institutions. The program is developed in partnership with key local government and economic/research institutions including Nevada GOED, EDAWN (Western Nevada Startup Hub), UNR (Ozmen Center and Reynolds School), DRI, and NCAR.

5-1. Program Overview

5-2. Organizers & Partners

■ Organizers

■ Local Partners

5-3. Program Objectives

5-4. Detailed Schedule (Draft)

※ Subject to adjustment upon confirmation of Reno Startup Week 2026 and Las Vegas key event schedules

Day 0 — Depart Korea | Day 1 — Reno Orientation

Depart Incheon Airport → Arrive Reno → Hotel check-in, Orientation → Reno City Tour, Innovation District, EDAWN/GOED Briefing → UNR Ozmen Center, NCAR, DRI visits → Sector roundtables (Health/Bio, Energy/CleanTech, AI/EnterTech) → Networking dinner & pitch coaching

Day 2 — Reno Startup Week: K-Startup Showcase & Korea Night ★HIGHLIGHT★

Morning: K-Startup Showcase @ Reno Startup Week 2026 (6-8 teams pitch, 6min+4min Q&A each) → Judges: EDAWN, GOED, NCET, local VCs, UNR/DRI/NCAR → Afternoon: 1:1 meetings & in-depth consultations → Evening 17:00-19:30: Korea Night 2026 @ Reno Innovation Center - K-Nevada Bridge official introduction, Firechat, global networking

Day 3 — Reno Wrap-up | Days 4-5 — Las Vegas

Day 3: UNR Campus Tour, additional site visits, Wrap-up roundtable → Day 4: Reno→Las Vegas transfer, Korea-Vegas Investor Briefing (3min pitch+5min Q&A), Networking dinner → Day 5: Health/EnterTech conference, 1:1 meetings, individual networking

Day 6 — Return & Follow-up Support

Airport transfer and return to Korea → Follow-up meeting support, CES 2027 roadmap sharing session, Program results report and video content distribution

5-5. Expected Outcomes

6. CES 2026 Korean Startup Performance: Global Competitiveness Proven

At CES 2026 (January 6-9, 2026, Las Vegas), Korean startups achieved record-breaking results. According to CTA (Consumer Technology Association), Korean companies swept 15 of 31 Best of Innovation Awards (48%) and won 168 of 284 Innovation Awards (59%), marking three consecutive years as the top country for awards. 81% of these were SMEs and startups.

Source: Consumer Technology Association (CTA); KOTRA; KoreaTechDesk; Ministry of SMEs and Startups

6-1. Notable Award-Winning Korean EnterTech Startups

7. Conclusion: Opportunities in Structural Transition & 2026 Outlook

Nevada's labor market is currently experiencing a significant structural transition. Reaching a 63.2% labor force participation rate—the highest since the pandemic—and adding over 42,000 workers year-over-year demonstrates continued strong confidence in the labor market. The 9.8% and 10.2% wage increases in construction and finance despite declining employment reflect a 'Skill Premium' phenomenon where premiums for skilled workers are rising.

The temporary employment decline in the Reno area (-700 jobs) is a natural phenomenon during the structural transition from traditional to advanced technology industries. Since the Federal Tech Hub designation in October 2023, approximately $21 million in federal funding has been invested, with continued large-scale investments from global tech companies including Vantage ($3 billion), Google, and Switch. The Tahoe-Reno Industrial Center is rapidly emerging as a data center concentration area—core infrastructure for the AI era—which is expected to lead to high-value job creation.

Particularly in 2026, the K-Nevada Bridge 2026 program launches in full swing, and through Korea Night 2026 and K-Startup Pitching Sessions in conjunction with Reno Startup Week, Korean EnterTech companies' entry into Nevada is expected to accelerate further. Korean startups sweeping 59% of Innovation Awards at CES 2026 demonstrates the potential of Korea-Nevada collaboration. If Las Vegas's entertainment industry strengths combine with Reno's tech infrastructure, Nevada can emerge as a global EnterTech hub.

7-1. 2026 Growth Drivers & Expected Impact

"Economic development is a contact sport. We need to be engaged in the marketplace and stay focused on what is going on."

— Tom Burns, Nevada GOED Director (KOLO TV, January 6, 2026)

If Nevada maintains this momentum and accelerates its expansion of tech and EnterTech industries, the current structural transition period will soon become a springboard for new growth.

Sources & References

■ Nevada Employment & Economic Data

• Nevada DETR, 'December 2025 Statewide Press Release & Report,' January 23, 2026

• U.S. Bureau of Labor Statistics (BLS), 'State Employment and Unemployment Summary,' November/December 2025

• DETR CES (Current Employment Statistics), December 2025

• DETR ETA 5159, 'December 2025 Unemployment Insurance Activity'

■ Nevada Economic Development & Tech Hub

• KOLO TV, 'Nevada named one of the top states for business strength in U.S.,' January 6, 2026 (includes Tom Burns interview)

• Area Development Magazine & Chmura Economics & Analytics, '2025 Leading Metro Locations,' December 2025

• U.S. Economic Development Administration (EDA), 'Tech Hubs Program - Nevada Tech Hub,' July 2, 2024

• UNR Nevada Today, 'Nevada Tech Hub awarded $21 million,' July 2, 2024

• Nevada Governor's Office of Economic Development (GOED)

• Economic Development Authority of Western Nevada (EDAWN)

■ Data Center Investments

• Vantage Data Centers Press Release, 'Vantage Invests $3 Billion to Deliver AI Campus in Nevada,' July 15, 2025

• Nevada Appeal, '$3 billion data center project at TRIC pushing forward,' August 5, 2025 (Seth Pederson interview)

• Data Center Frontier, 'NV1 and the Nevada Hyperscale Boom,' 2025

• MIT Technology Review, 'The sprawling data center boom in Northern Nevada,' August 2025

■ CES 2026 & Korean Startups

• Consumer Technology Association (CTA), CES 2026 Innovation Awards

• KoreaTechDesk, 'Korean Startups Dominate CES 2026 Best of Innovation Awards,' December 2025

• Ministry of SMEs and Startups, CES 2026 Press Release

• KOTRA, CES 2026 Korea Pavilion Report

• VentureSquare, 'CES 2026: Korean Companies Win 60% of Innovation Awards,' January 2026

■ K-Nevada Bridge 2026 Program

• K-Nevada Bridge 2026 Program Proposal (provided by K-EnterTech Hub)

• KoreaTechDesk, 'K-Nevada Gateway 2025 Links Korean Startups to Reno Tech Hub,' August 10, 2025

■ Reno Tech Ecosystem

• Nucamp, 'Top 10 Tech Companies to Work for in Reno in 2025,' February 2025

• Business Credit LV, 'Explosive Nevada Tech Growth: 7 Reasons Silicon Valley Giants Are Flocking,' March 2025

• The Nevada Independent, 'Federal funds flow to Northern Nevada for lithium workforce development,' July 2024

Based on original reporting by Brenna O'Boyle | January 23, 2026

K-EnterTech Hub Analysis Report | www.k-entertechhub.com