I grew up in NJ and I prefer 110 with low humidity over 85 and high humidity. The summer heat is tough mid-day, but the mornings and nights are really nice. I lived in PHX the most recent winter and had no complaints, and fall and spring are beautiful.
I'm not convinced yet Phoenix is the best city for a startup, but it does depend on the type of business you're getting into. I think Phoenix is a great city if you want to grow your company and expand operations with a new office.
The demographic is unique in Phoenix, and it's still hard for me to understand why people think differently. I find it amazing how different the demographic is than Las Vegas, which is also a desert and only 4.5 hours away. I really like the suburbs of Las Vegas, but I would move to Phoenix again if I was involved in a meaningful project.