Tech elites leaving San Francisco threaten Silicon Valley's supremacy
businessinsider.com
businessinsider.com
I had some friends like this, they just never really liked the city. Now they're all leaving because their job is not making them stay. That's fine and I'm happy they have more choices now.
But there's a flip side to that. One of my least favorite part of San Francisco was actually that group of people! I loved SF and I was always bothered by the constant complaining by tech workers who were there semi-involuntarily. They weren't willing to give the city a chance and instead always wanted to change it to be more bland or more like somewhere else.
If a bunch of those people are now leaving and the rent is dropping a bit, all of a sudden I really want to come back. I also think the city will be easier to govern if more of the residents are there because it's where they actually want to live.
(Note: I was in SF for 6 years, left just before the pandemic for a temporary assignment in London)
A lot of those folks aren’t going to find happiness with their move but some will. The grass is always greener until you’re standing on it.
Same with Elon Musk and Tesla’s absurd stock price. And probably a lot of other people given the hot IPO market.
Point is it’s so disingenuous for these people to say it’s because of SF or California when it has everything to do with taxes and not much else.
To blast the Bay Area and state which made them rich and then flee before they owe a penny is gross.
And the other way to look at it is California is expensive because the opportunity to become rich is greater here than elsewhere.
I can't tell if you're upset by their disingenuousness, or by their refusal to give a cut to the state. If the former, I sympathize. But it mostly seems to be the latter. The obvious rejoinder to which: why should they feel so eager to fork over their money to an institution that did ~nothing to contribute to their success?
> California is expensive because the opportunity to become rich is greater here than elsewhere
Your statement only explains the e.g. high housing costs. The tax question is orthogonal.
It's not gross to minimize your obligations towards people who have done nothing for you. Seattle is the relevant counterfactual: flourishing tech scene without the punitive tax burden that we're supposed to believe enabled California's success.
It’s a lot of cogs. There is no comparison when it comes to startups created in, say, the last 10 years or so.
I've lived both places. Seattle is not a low-tax paradise, nor are tax dollars completely and utterly squandered in California.
It is gross how, the more money one makes, the more entitled one feels to not have to give a dime back. It's a game to them.
Excepting special situations for certain PR and USVI residents, Washington state is as close to a tax haven as a US citizen is going to find.
> nor are tax dollars completely and utterly squandered in California
This depends on what you think the dollars should be used for. Most taxpayers would like to see their taxes used for provision of public services, and not in service of a vast public employee enrichment scheme. From this POV, the money is in fact squandered.
> It is gross how, the more money one makes, the more entitled one feels to not have to give a dime back
It's less about greed and more about abuse of generosity. See prior point.
Also see Uber/AirBNB "disruption" of not paying benefits/hotel taxes. I would be more surprised if they didn't "optimize" like that.
My point is don’t fall for their public relations spin BS.
1. Federal:
a) Income tax of 10% on income over around $12k (single) or $24k (married) up to 37% on income over $518k (single) to $622k (married). Capital gains tax is at the same rate for assets held less than a year but up to only 20% for assets held more than one year.
b) FICA, a wage tax. You pay for 7.65% for social security and medicare/medicaid on all wages up to around $133k and 0% above that.
2) State. This varies widely. Some states have no income tax, some states have income tax rates of as high as 13.3% (California). Most are around 5%. Each state has different deductions and rules. Capital gains is usually included in this. Most states (but not all) also levy a sales tax of around 4% to 8% on retail transactions.
3) Local. Most local taxes are in the form of property tax on real estate. The rates vary from around 0.5% to 2% of property value. Some towns levy a separate sales tax on top of a state one (if it exists). The real estate and sales taxes are used to fund schools, police, fire, etc. Many municipalities also levy fees for water, trash, etc. Some cities also have an income tax (for example NYC).
To give you an idea of just how complex it is, the US has approximately 11,000 different sales tax jurisdictions. And it's not just a matter of rates. What is taxed and in what context varies. For example, in NYC, food from groceries is not subject to sales tax. But food from restaurants is. Unless, I think the restaurant has no more than some minimum of seats and you orders your food to go. Some sales taxes can also vary by date (i.e. sales tax during summer, but otherwise none). There are also occasional sales tax "holidays" where no sales tax is charged.
Unsurprisingly, tax lawyers and accountants make good money in the USA :-)
SF afaik and all of Pennsylvania does the same.
NYC's rate is 3.9% I believe.
I think I mixed up discussion of a wealth tax with income tax. Or maybe that was somewhere else.
Thanks for straighting it up for me! :)
FICA is also paid equally by the employer (.9% ACA add-on excluded), so it’s only an accounting gimmick that prevents it from being a 15% tax on income.
An employee that forward exercises their options pay taxes on date of hire and vest automatically. Post IPO you’re only taxed when you sell.
A VC is investing in a company, like any other stock investment. There is no earned income.
If we are trying to be precise it was the Spanish who stole their land.
Not all Europeans are made equal.
Their hard work coupled with many others like them that worked with them made them rich. The same group of people could have been in another state and done just as well.
The people in California that made people successful are the Peter Thiels, Elon Musks and Keith Rabois of the area. VC money is the king maker. In the Bay Area it all started with Fairchild. It's the same reason why Seattle is successful. All the Microsoft money seeded the tech scene there.
These kingmakers have had enough of California and are leaving for greener pastures where they can continue to build successful companies without the state leaching off their work.
If they show up in Texas and other states and succeed in replicating their success, it will be clear it was them and not California that was responsible for the success. I'm glad California is rapidly losing its undeserved monopoly on tech.
And I’m speaking about his investments. Cutting a check is not “hard work”. You could argue Musk is different because he’s actually the CEO of the his company.
California and the SF Bay Area doesn't get credit for that. Heck, Silicon Valley was a bunch of fruit orchards for decades. Could have been a different set of fruit orchards in a different state.
Had Fairchild been elsewhere, the Traiterous 8 would have become the kingmakers they became in a different place and Keith Rabois or someone like him would have moved to that ecosystem instead to develop relations at the right time and become rich.
Seattle is the perfect counterfactual to the narrative you're invested in. Microsoft is Seattle's Fairchild.
Saying that all they are doing is "cutting a check" betrays the fact that you've likely never actually worked with a successful VC. The successful ones do so much more than cut a check. For example, the hard work they put in to help you identify and hire talent is indispensable.
Being an investor is not “hard work” in the same way it is if you’re a founder or employee. Anyone who says it is is lying.
I've worked heavily with VCs when I was the first employee at a startup that did well for a few rounds and they worked very hard to help us out. The only difference is that they lived better while helping out because they were already wealthy, but they certainly worked hard for us and for their other investments.
You can be fiscally comfortable and still work hard.
Now I'm not defending how much ownership they take relative to what they put in. Both us and our VCs worked hard. They just took a greater chunk of the equity because of the capital provided.
Considering this concentration of talent, I think it's no surprise that the Bay Area is a hub for innovation, and the impressive list of companies founded by Berkeley [1] and Stanford [2] alumni is a testament to this. The concentration of talent is the environment that attracts funding and VCs, and will ensure that the Bay Area will remain the place to be in tech.
And Seattle, your "perfect counterfactual", has University of Washington, another state-funded top institution.
[1] https://en.wikipedia.org/wiki/List_of_companies_founded_by_U... [2] https://en.wikipedia.org/wiki/List_of_companies_founded_by_S...
Regarding their actions being a symbolic betrayal of the Bay Area, I suspect most of them feel betrayed. High income tax in California doesn't reflect high provision of services. It's due in part to poor cost control and in part to poor property tax policy, such that California's income tax is a de facto transfer of wealth from working people and capital investors to property owners. These investors, companies and workers have paid a tremendous amount in taxes, and have been repaid with ever greater taxation, ever decreasing access to the property they are helping to subsidize, poor services, and even disrespect.
There's no reason to assume that every tax, fee or levy that the government issues is justified. The authors refer to Twitter and other companies as being "...let...off the hook..." for a tax but fail to mention that this was San Francisco's effort to impose its own payroll tax!
The reason some people are surprised by tax bills when they move is because they vested their shares or options while in California as part of their compensation and then later moved. Logically it makes sense in that situation to owe state taxes on income that you earn in the state you earned it.
When you later sell you shouldn’t owe taxes in California if you’re out of state for that tax year.
Why should VCs get a tax preference employees don't get?
This is one of a few examples where California's progressive politics haven't lead to progressive policies, whereas states that are much more non-progressive in their politics -- states like Texas -- have, as a practical matter, policies that are much better for working people.
I suppose that, hypothetically, when you purchase shares with cash it's "post-tax" cash; whereas when you purchase shares with labor it's "pre-tax" labor.
when you get equity as an employee you’re taxed when you vest and when you sell. you shouldn’t be taxed when you sell by California if you’re out of state.
It is not really correct to cast this in terms of owing taxes on income in the state that you earned it because options are not income. There is a non-symmetry here with financial options generally: if you lived in California and bought some options, then left the state, and then, as a non-resident, exercised the options and sold shares, you would not be taxed in California because there was no income in California. Income on a stock transaction is generally recognized at the time a security is sold. Obtaining options and stocks both represent an outflow of money, not an inflow. It's a regressive policy to treat options purchased in-kind with labor in an unfavorable way, with regards to taxation, relative to those purchased with cash.
So this tax question doesn’t apply to them. Rabois can move to Miami now and if he sells his IPO shares next year he owes California nothing.
It is likely that Rabois has a mix of compensation from his firm, as a practical matter, and some of it is likely to be options -- but even if not, Rabois and people like him have paid a lot of taxes in California. A lot more than they would have paid in most states. When you consider how much they paid relative to how well the state government has provided services -- taking other states into consideration -- it's hard to see how the people moving are betraying anyone. They paid and paid and paid.
Con artists can have a long view of things.
And most people who move are just regular people who lost their jobs.
Frankly, I don't think there's too much space between 'get rich quick' and 'get really rich over a longer period' people.
I don't want to get into details but the other thing I like about the people staying in SF because they chose to is a healthy disregard for authority together with a very smart sense about how to take care of themselves and others. It's saving me from terrible depression or going into complete isolation in COVID times.
For all the faults I take issue with, the SFBA is probably the single place I most fit in culturally in the world. It’s where I want to be. But I can’t justify paying the absurd rents to live there when my job doesn’t require me to be there AND socialization/networking/most leisure activities are on pause. After March there was nothing for me to do except enjoy nature activities/exercise outside, and my social life was in shambles.
I can’t wait for everything to go back to normal and move back to the Bay Area, but for now I am very happy I moved back in with my parents.
Pretty hard to like a city where a non-trivial portion of the residents are hating on you and blaming you and others like you for many problems of their own doing.
I left a year ago and I personally hope both San Francisco and all of California suffers fiscal collapse. The state grossly mistreats it's most productive citizens, when its those very citizens that fund the greatest chunk of the state's largesse. Hopefully enough major taxpayers will leave that it creates a fiscal crisis that can only be solved by increasing taxes further, driving more productive citizens out and sending the state government in a death spiral.
You'd be bitter too if you paid several hundred thousand in state taxes in 2019 to a state whose politicians probably at least halved your net worth by using your company as their whipping boy for years just to make themselves look good.
We as a people have failed to create a society with space for these people to exist in peace, happiness, and good health. Now we can’t let ourselves conveniently overlook their humanity due to the inconvenience their state creates for us as a whole.
I had a coworker who visited sf. A homeless person threw a bottle of urine all over him.
Do you think that made it more or less attractive? Seriously we all suffer, but most of us suffer in such a way that we don't make the world too much worse for others.
8 years of liberal politicians claiming to care, and 8 years later it is significantly worse. I could excuse the lack of progress if the city government wasn't rolling in money the entire time. If they can't solve the problem with the way things were, they are going to have a hell of time doing it with the way they are headed.
Edit: I'd also like to point out society does not exist to gift every person peace, safety, and health. A just society offers opportunities, not guarantees.
Tell that to the people who made a mistake when they were younger, got a criminal record, and are now vilified for the rest of their lives and are turned down from the vast majority of jobs. Is it any wonder you see those people turn to crime to make a living?
In that case I won't guarantee not to nick your stuff, just give you the opportunity to not have it nicked.
Go volunteer to tutor at-risk middle school students if you don’t believe me. Many of them can barely read. Do you think they have an equal opportunity to successful higher education in fields that are worth getting degrees in?
Helping to guarantee things like physical safety is one of the fundamental parts of the social contract. Laws governing those areas are covered by the Constitution (depending on how you interpret “peace”)
If I ever pay several hundred thousand dollars in state tax in a single year I will be a millionaire many times over, with far more money than I will ever need, and will be grateful for my remarkably good fortune.
I don't have an English degree or anything, but I'm pretty sure he's complaining about the several hundred thousands in state taxes.
Easy come, easy go. When you are productive enough to earn a salary of several millions of dollars, your tolerance for being extorted disproportionately because of your productivity might be different. You might also be upset at the wastefulness of those institutions and individuals who performed the extortion and spent your money unwisely.
And you are surprised that the residents hate you? I dislike plenty of cities but ideating about their absolute collapse speaks a lot.
Fair enough!
Though, ahem, that might describe the feeling of Californians who have moved anywhere else lately.
The Bay Area is beautiful and the people are wonderful, but its just not where I want to be living my life.
Not being tied to the office fundamentally changes the calculus of choosing where to live. There just aren’t good reasons to live here anymore for so many of us.
Even if you enjoy the area, chances are you can get a better deal by moving just a bit further away. Actually, I can pay the 2 months rent in termination fees and move almost literally anywhere else in the state and still come out ahead financially. Since commute time is not a factor, many options have become viable.
I mean, it's not cold once you get outside of SF/San Bruno. If you're in the peninsula or south bay, it's really fucking hot during the summer. Uncomfortably hot because no one has AC and many of the homes don't have insulation still.
I'm sure the renter to owner market in Sacramento is different than the bay area...
EDIT: Here are a few more things to like about Sacramento.
There seems to be a large population of highly educated ex-military types concentrated here. It’s been an unexpected source of high quality hires. I never saw these people in the Bay.
I’m in an international marriage. We were worried we wouldn’t be able to find our people upon moving here. That hasn’t been a problem at all. Fellow expats are everywhere. It’s a fairly diverse area.
You are also close to SF if you like the madness of the city every once in a while.
Other suburby places with nature easily accessible usually have a more spartan retail experience and sometimes the mail/Amazon doesn't work so well.
Maybe I'm missing, but I don't see anything in that list that isn't true of almost every metro area in the US. I think people living in SF notice when new services come out that are only available there, like Uber was at first. But they don't notice when those services later spread to the rest of the country. You can get Amazon Prime shipping and rideshares everywhere now. Other cities may have somewhat less luxury retail, but likely have shorter drives with less traffic to get to nature.
Other than easy access to nature, all of those points are true for major metro areas. But other than say, Salt Lake City, does any other metro area offer such close access to nature? Boston and Seattle are even much farther away...
Define "easy access to nature." Where I live, there's a major state park within the city limits and a very large lake within ~20 minutes drive. In ~2 hours I can be at the beach. In ~3-4 hours I can be in the mountains. And untold amounts of basically empty land just outside the city. If you're going to arbitrarily define "easy access to nature" as "mountains next to ocean right next to me", well OK, not a lot of places fit that bill. But that's a very narrow definition designed to fit basically SV.
I can go see thousands of migratory birds a few miles from my apartment. Half Moon Bay is 30-45 minutes away, depending on road conditions. Fairly strenuous hiking and rock-climbing in the Santa Cruz Mountains is also 30-60 minutes away. Santa Cruz itself is not much farther.
I have lived all over the east coast for most of my life, and this degree of access has made an outdoors person of my notoriously sedentary self.
So can I, as I mentioned there's a major state park within the city limits where I live...
> It means I can see a beautiful view without planning a day trip.
Incredibly vague and subjective. What constitutes a "beautiful view"?
> I can meet with groups of friends of all fitness levels and enjoy a pleasant afternoon outdoors where we all have fun.
Not unique to the SF Bay Area at all.
Again I think this is very much a cherry-picked definition of "easy access to nature" that is designed to preclude any place not named "SF Bay Area." Still, the kinds of things you were describing can be found in metro areas all over the country.
I'll grant you the Santa Cruz Mountains if you're on the southern end of the Bay. You've also got the hills in the East Bay and various options in Marin and points north if you're in Marin.
But Boston, in addition to various coastal walks has a bunch of nearby parks and small mountains/hills to the west and in southern NH. Also tons of sea kayaking/canoeing. Depending upon where you live, bigger peaks in NH are maybe 2-3 hours.The Sierras are further than that from the SFBA.
Don't get me wrong. The Bay Area has great recreational options but so do a lot of other cities depending upon what you're looking for.
I grew up in suburban Boston. It was a very nice town - we lived on an acre of land, with woods behind the house. Drive 30 minutes in any direction, and you got basically - woods. Maybe some ponds and fields, with scattered houses and suburban town centers between. The city (a pretty nice one) was 30 minutes away. You could get to waterfront, in Boston or Salem or Nahant, but there aren't really beaches in most of Massachusetts (outside of Cape Cod). It did have a massive amount of history, though - in that 30 minute drive was basically everywhere significant to the birth of the USA.
I'm on the peninsula now, in the hills. 10 minute walk to a suburban downtown. 3 minute drive (or ~20 minute walk) and we're on some Bay trails. 5 minute drive and we're in the mountains. 5 minute drive to a massive lake over the San Andreas. 20 minute drive and we're on the beach at the Pacific Ocean. 30 minute drive (or 40 minute Caltrain) and we're up in SF. 30 minute drive and we're in downtown San Jose.
Camelback Mountain is half an hour from the center of Phoenix. Virginia Key Beach Park's walking trails are 20 minutes from downtown Miami. Lionel Hampton-Beecher Hills Park is about the same distance from Atlanta. You get the idea.
SF certainly has really nice nature close by, but it's not like other US cities are industrial wastelands.
I am a pretty avid nature enthusiast that spends a lot of time in the outdoors. It isn't even close, whether you are looking for mountains, water, or parks. Seattle's reputation in this regard is well-deserved; I'm not sure if there is another metro of its size that is so embedded in and connected to nature. And if you look at map, it is easy to see why -- the city is essentially surrounded by water that is surrounded by very rugged mountains (which has provided challenges for growth).
FWIW, the other large metros in the Pacific Northwest (definitely Vancouver and to a lesser extent Portland) have similarly exceptional access to nature. Some of the Mountain West cities also have great access to nature, though not as diverse as Seattle.
If you were to take access to nature to mean, being within driving distance of nature sites that people travel across the country to experience, then the number of metro areas drops significantly.
The Appalachian mountain range stretches from GA to Maine, and contains dozens of state and national parks that people travel across the country to see. Nearly the entire eastern seaboard is within range of one of them.
The only part that isn’t is Florida, and they have better beaches than California, swamps, lakes, and massive crystal clear springs.
This is all subjective, of course, but what can I say? I've been in restaurant and bars at the top of tall hotels in Milwaukee, I enjoyed it and the view of the lake and city... and no, I don't think it even remotely measures up to views of the bay from Pacific Heights or another dozen views in San Francisco. Nor does the surrounding countryside in Milwaukee - which I sincerely do like quite a bit - measure up to redwood forests, Pt. Reyes, the headlands, the coastline from SF to Santa Cruz. A little farther afield, Big Sur and the high Sierras, Sonoma and Napa valleys. I'm not really even sure how to debate it with people, it seems so self-evident to me. California and SF have some really bad qualities, but no, it's not all six of one and a half dozen of the other around any randomly selected US city of 100K in the US. The nature around San Francisco is a differentiator and a selling point (though I would tend to agree that it is now officially overpriced).
Puget Sound is remarkable, though, and the forest around Portland is beautiful. As I've mentioned in another thread, though, the coast is far more accessible in San Francisco.
Maybe there’s something you’re not explaining here but there’s plenty of places all over the country that fit this bill. Austin, Atlanta, Charlotte, Raleigh, Denver, etc.
And Amazon 2 day delivery is available all over the place...
Have you been to Atlanta? It doesn't seem like you're familiar.
The Beltline [0,1], a paved multi-use trail converted from old railway, encircles the city's major neighborhoods and connects everything. It's one of the city's major features. Dozens of parks, including some of the largest -- Piedmont [2], Old Forth Ward, Grant Park, and the old Bellwood Quarry [3] where they filmed Walking Dead, It, etc. -- are all immediately accessible.
The Beltine is being connected to the Silver Comet Trail [4,5], which is a paved bike trail stretching all the way to Alabama (the nation's second longest). Light rail is also being added to the Beltline.
Outside the city you've got access to the Chattahoochee River for rafting. The Palisades [6] provide excellent river-adjacent hiking.
Stone Mountain [7], a giant granite mountain, is 30 minutes east of the city and provides excellent hiking and running.
Kennesaw Mountain [8] is 30 minutes northwest of the city and is great for hiking and dog walking.
Red Top Mountain is 40 minutes northwest, and you have a host of lower Appalachian mountains to the north.
Allatoona Lake [9] is 40 minutes northwest, where they filmed Ozark, and provides excellent boating. Lake Lanier is an hour away and is even bigger.
Atlanta isn't called "city in the forest" for nothing. We have so many trees, parks, and outdoor activities.
[1] https://en.wikipedia.org/wiki/BeltLine
[2] https://en.wikipedia.org/wiki/Piedmont_Park
[3] https://en.wikipedia.org/wiki/Westside_Reservoir_Park
[4] https://www.silvercometga.com/
[5] https://en.wikipedia.org/wiki/Silver_Comet_Trail
[6] https://www.atlantatrails.com/hiking-trails/hiking-east-pali...
[7] https://en.wikipedia.org/wiki/Stone_Mountain
> easily accessible nature
From my office in Palo Alto, I can ride my bicycle up Sand Hill Road, past horse farms, and then up a secluded 2000 ft (~600 meters) mountain with virtually no traffic and return during my lunch break. Or I can take a long lunch and ride out to the coast, through rolling farmlands. And I can do that virtually any day of the year, thanks to the local climate.
Most of the peninsula (which is, arguably, not SV proper) is like this, with tons of hiking within walking distance of where you live or work. The reason is that almost everything west of I-280 is undeveloped. As you ride or drive around that area, it's very easy to find a view where the only sign of humans is the road you're traveling on.
If I want to go skiing, I can leave work an hour early and drive up to Tahoe for the weekend. Or I could drive down to Santa Cruz for the day and go surfing.
Not quite "nature", but many people like to drive up to Napa for a day-trip to visit world-class wineries.
> luxury retail
Then, after work, I can walk over to my choice of Michelin starred restaurants (and I will pass multiple art galleries and branches of private banks). Granted, none of the restaurants in Palo Alto have more than one Michelin star (how gauche!).
If conspicuous consumption is your thing, San Mateo, Palo Alto, and Santa Clara each have high-end malls with practically every luxury brand you can imagine. Want to buy Ferrari or a McLaren? There's a dealer for each one within 10 miles of Mountain View.
> plenty of places all over the country that fit this bill
Many places have some of what SV offers. Very very few have everything, and I would argue that none of the cities you listed fit the bill.
Ah, but all of them have more affordable housing.
I'm the one that started this discussion and it proved controversial. I tried to just talk about like, the amenities of living in the area and tech jobs, but most people replied saying "wait there's two or three of your list of five or six in...".
I may be biased because I'm not a "generalist web developer", I work in either crazy startups or kinda niche embedded/low level roles. I still get two or three really good job offers from big companies per month even when I'm not looking and they are in SV. I was getting one or more per week pre-COVID. Even when actively looking for that type jobs in Colorado and Austin I can't find them.
Colorado would be more interesting for me if I was a citizen and could work the government aerospace and defense jobs but unfortunately I can't.
The premise was that there are lots of other places that have what SV has. And, by implication, that SV's high prices are unjustified.
I was merely pointing out that SV has an array of amenities that are found together in very few other places. And if you want what SV has, there are very few other places you can get it. Supply and demand. It's that simple.
Maybe you don't care about fancy restaurants or art galleries or spending time outdoors. That's totally cool. Maybe all you care about is finding the absolute cheapest apartment on planet earth. Again, knock your socks off.
SV doesn't have cheap housing. If that's all you care about, look someplace else.
Of course, the grass is always greener. But I think natives are entitled to grouse a little bit, given the circumstances. It's just a little scary if this is the best the U.S. has to offer.
"Despising, For you, the city, thus I turn my back: There is a world elsewhere."
Most suburbs of decent sized cities on the east coast have 2 day Amazon shipping, even the ones close to national parks. And the mail works fine in basically any suburban area.
For variety, I actually think the LA area as a whole is better. But it has the same problem.
Looking at air travel - Denver to India or Austin to China - everything is a 1 day+ and over $2000+. SF/LA to these places is about 15 hours and about $1500.
If the business (i.e. Apple/Google making phones) needs to fly execs, production folks as well as if the tech engineers need in person meetings or have family, that's going to be a made much more challenging.
Also from AUS, you have Houston and Dallas as two big airport options to get to China.
But if you start narrowing it to places with pleasant weather, suddenly it starts looking like a smaller picture. The west coast, west of the cascades or central valley in CA. Probably places like the Carolinas, Tennessee. And maybe we'll be nice to Colorado and give them a trophy for at least having sunshine in the winter :)
You don't have to pay SF rents, of course, but you're not buying a $100k mansion and getting all of these things either.
People I know dislike the fact that most of SV is a typical suburb indistinguishable from what you see in any random Florida city. And consider how many busses bring workers from their apartments in SF down to the office in the burbs.
In my estimation, it has the most coolness-per-dollar. What I actually want is to buy a house, and I just can’t do that around here. Austin is comparatively cheaper and has a culture that appeals to me. It feels a lot like California, but without much of the baggage.
Parts of Colorado, Oregon, and Washington are also strong contenders, but I am predisposed to like Texas.
Ya. Earning a SF wage but living elsewhere is great. But there is a flip side to this coin. As employees realize they can work from home, employers also realize they can have employees work from home. They will soon realize they don't need to pay SF wages. Those who convert their in-office jobs into work-from-home are a covid oddity. Those who will be hired in the future on the assumption that they will always work remotely will likely face much lower wages. I predict a race for the bottom.
I think as an industry everyone is pushed towards software engineering and the large clouds have vacuumed up everyone worth their weight for operations. We make it happen but it’s so stressful because our team and workload balance is so far out of whack.
SWE get to work on new products and get career growth towards bigger and more interesting projects as reward for delivery
Of course people focus on where the opportunities are. It's not the fault of an individual company but an overall industry mindset. "Reward it or lose it" should be a mantra of availability in technical industry expertise.
The talent isn't being converted from potential - as was recently said, "You can't be what you can't see".
I was in Kansas City meeting people in Jan and it's pretty clear that there's a lot of talent hiding out there in downtown Missouri.
The talent there tops out at SSE because there's no vertical space without jumping to management & two years down the folks know are "mid-west-nice" managers with an iron fist behind it.
Several people who should've chased down the principal engineer roles have become these sorts of managers who never made it to directors because they're always been better devs than they were managers. And this seemed twice as bad for the young uns to have a dev-heavy manager squash a few of their attempts to actually own decisions, instead of just proposing them & see that role as a way to get that ability.
Most folks though things would be different if they had moved to SFBA, but all of them hit this point when they already had kids in school with stable single-income households (house all paid for).
In fact, I'd be one of those people in Bangalore if I had a bit more skills as a manager (completely sucking at management is a good way to be forced to chase the dev side).
If they could hired as a principal dev via remote out of being promising senior se, then this process would actually convert a lot of the talent into actual productivity in the industry.
Yes, the strong incentive is to stay put, stick to the local employer as long as you can and still get a role that pays more money. The skills you get from sticking around just make it harder to shift as well sometimes. The output gets equated to talent - "built my sixteenth monolith .NET CRUD web app" is not as well respected as it should be.
For example, there's folks in Portland who are looking at the Nike CEO situation with great trepidation - talented people who would do very well in a new job, assuming they don't need to move.
That was my experience at an F500 in the midwest. I wasn't a senior engineer but I was doing the same type of work as the seniors on my team. And I felt like my role could have more ownership. They did have team leads, a few architects, and agile related roles. But there wasn't much else for devs who didn't want to be managers.
My current company in the bay area is a lot better. I feel like I have more ownership, and the IC roles are more granular. I think technically senior can be terminal, and staff/principal roles here require influencing other teams. But my company has thought about promoting ICs, and I clearly see how staff/principals have a more challenging job.
The fact that everyone is remote is actually a great 'leveler', since the company has a 'main office' and a few satellite offices in other cities. I'm not affiliated with the 'main office', but I actually am concerned that I'll suffer career-wise once the company goes back to in-office, since I'll be in a satellite office missing out on casual-but-important lunch/coffee/hallway conversations.
So, from my perspective, it's a great time to change jobs. YMMV.
Or let's flip it around, move the same developer from Chicago to SF and they will suddenly make more money.
I can only imagine that cost of living is the main factor. Naturally there will be a tiny minority of truly brilliant builders and engineers, but we are not talking about them as they are outliers.
One is more likely to have more experience with startups/trendy new tech.
The other could probably work with it, but the other one already has.
The fact that some folks think so highly of themselves that they don't believe this to be true in their case is just hubris.
But I would characterize this as a wealth distribution, and overall net positive for the country. People who don’t have the opportunities to work at the top companies in the Bay Area or NYC or Boston now have better access. And the wages flow to those different areas.
At the moment that may be true but increasing the pool of potential labor rarely results in wealth distribution. I think companies will pay less. That money won't go to other hires as tech companies limit hiring for other reasons than money. The money will go to bottom lines, to stockholders: the opposite of wealth distribution.
1. Americans need to buy and hold equities. Period. When Google cuts costs or makes more money, I benefit as a shareholder (or you can hold total market indexes and the like).
2. Maybe the money will go to new hires, capabilities, expenditures, etc. ?
3. Sure, but this is certainly a good arguing point against immigration, population growth and H1-B visa programs and the like.
4. Increase taxes on the wealthy, etc.
One arguing point I'd like to make though is that if this doesn't result in wealth redistribution (companies will pay less and this is fine) should we all begin moving to a few cities?
Not to mention, the top companies would still hire top talent in a competitive market.
The truth is, no matter where you are, talent knows what talent is worth. We price accordingly and in the end the market is stable at a certain price level.
We’ve been seeing this over the last decade in major US cities competing for SF-level talent. Tech is one of the highest paid professions. Remote or otherwise. To say companies will just go hire someone cheaper assumes they can find someone cheaper.
In the end I think the real winners are rural America (or Europe or where ever you live). Having a lifeblood of capital come back to small towns and the like will decentralize our cities, improve our quality of life, reinforce the need for infrastructure, and allow innovation to solve those problems.
Exciting times.
And I don't think it's SV -> Rural America exclusively. Many of these jobs will filter back into medium to large sized metros across the country. Places like Columbus, Indianapolis, St Louis, Atlanta, Nashville, etc. . There are scores of talented developers in these areas that would be open to remote work, but not relocation to the major metro areas.
From what I can tell, people are actually mostly moving to other tech hubs (but lower priced) and to high end vacation areas. Think Austin, Denver, Park City Utah, Lake Tahoe, etc... The underlying dynamics are still at play (even tech but to a lesser extent).
It makes me uncomfortable to think tech population from Ca descending onto unsuspecting laid back mid western towns. Integration should be gentle and respectful and with consent.
This is a pipe dream and quite conceited. Talent is worth what the market will pay for it. No escaping supply and demand. If you no longer need to be in the office, the labor pool is immensely expanded. Unless you think that all the smart people in the world were already working for SF employers.
>https://www.youtube.com/watch?v=eoUtoqeEw8U
you can excuse the resentment
I don’t have a comment or solution to this problem (is it even a problem?) otherwise I’d suggest something. I’m just observing like others, but I will admit to browsing Zillow for a farm if remote work has staying power. I think being able to provide some stimulus economically from this will help those smaller rural businesses. I don’t know. I’m not qualified in economics to predict the outcome, only some hope and some fear of possibilities.
So it would follow that overpriced talent in high-demand markets would see a decrease, where underpriced talent in low-demand markets would see an increase.
This would be the same concerns with offshoring as well, but that hasn't led to massive salary drops. Because there's still a big cost to switching people. If you could fire all your SF SWEs today and replace them with identical, knowledgable, fully-ramped, culture-carried SWEs in $secondary_market for half price, you would. You can't, so you threaten and you try to convince your SF SWE that you could just enough to keep their expectations low, but not so much that they actually quit.
I see a lot of companies still trying the "CoLA trick" on employees moving to secondary markets. "We can hire your position in $market for cheaper," so the argument goes. The best move there is to call their bluff: "go do it then". Most people won't do it because a) conflict is hard and b) finding a new job on top of moving is annoying. So they'll take it on the chin and just resign 6-12 months later after they're settled.
[1] In the old world, there's still a premium to convince talent to relocate. So companies in high-demand markets (e.g., SF) either have to pay +x% to tap non-local talent and get them to move to the high-demand market (where they become local talent).
Even in the new world, non-local talent isn't going to sit by and let themselves be underpaid. "I'm doing the exact same thing, delivering the exact same value, but someone is getting paid 30% more to sit in the office? Oh, and you don't even pay for my home office?"
You can hire competent Thai or Vietnamese programmers for $20K/year on Upwork, which is a princely sum in their countries. If all you want is someone to implement a spec, they'll do the job just as good or better than any American. Why would you pay $100K/year?
Most markets bifurcate into a commoditized low-end that makes all the volume and a differentiated high-end that makes all the profits. Think Android/iPhone, Windows/Mac, TSMC/Intel, Volkswagon/Porsche, etc. The commodity low-end programmer isn't the guy in Missouri, it's the guy in Minsk or Bangkok. You're either the one making up the specs (which will probably still be in Silicon Valley, because that requires communication and trust more than coding ability), or the one implementing the specs (which can be anywhere, with commensurate wages).
Anyone working for a Silicon Valley company as an engineer is almost certainly considered "the wealthy" by most of America.
Depending on your definition of wealthy, "anyone working" full stop. A large number of americans do not work (too young/old etc). Others are sick. Many at the top of society don't earn much income (tax voodoo). And automation is coming. If we define "wealthy" as the top 25/15/10% of wage earners, how soon before that is basically just anyone with a fulltime job?
In 2020, $121,411 was the median household net worth in the United States. This is up from $97,225.55 in 2017.
The average household net worth in 2020 was $746,821. It was $692,100 in 2017.
The disparity between these two numbers is itself a major problem, but not the point. If you have a net work of $120k you aren't wealthy, even if you earnt that all in the last month.
The way you get from having no wealth to having an average amount is by working harder and earning more. However the tax system is built to punish people who earn more money from work, and reward people who gain more wealth through things like capital gains -- you pay more tax if you increase your wealth by a dollar from working than from the side-effect of being already wealthy and seeing your assets gain value. You're also far more likely to have higher outgoings if you're working (higher cost to live near a high paying job, commuting costs etc)
If you are on the median ohio wage on 37k a year, so $30,427.47 net, and spending 37k to live, your wealth doesn't increase.
If you work an extra 1k, you take home $31,202.47 -- $775, 22.5% tax.
If you make 1k in capital gains, you keep $971, 3% tax.
Look at twice median wage of 74k a year. Take home 57,439.49. Extra $1k will give you 58,109.69, an extra $670 - 33% tax.
Make 1k in capital gains and you pay 18% tax.
Earn 10 times the median wage at $370k and you keep 239,713.20, 42% tax.
Get 1k in capital gains and you keep $764, 24% tax.
https://dqydj.com/average-median-top-net-worth-percentiles/
https://www.thebalance.com/breakdown-of-average-monthly-hous...
https://goodcalculators.com/us-salary-tax-calculator/ohio/
https://smartasset.com/investing/capital-gains-tax-calculato...
When you consider just how low US individual income tax rates are by global standards, it’s obvious that disparities in net worth have a lot to do with the fact that a large share of Americans, regardless of their income, effectively choose to live from paycheck to paycheck on the brink of personal insolvency.
But often these arguments don't present a full picture - because it only discusses the end result of the dollar received and compare the tax rates.
What about the risk? A job-income is 100% guaranteed to be received if one worked. Even if the business paying the said wage doesn't make a profit, they still have to pay the wage. The owner cops the loss.
Therefore, to encourage investments, the taxes are lowered on the profits of such type of investment (which is what capital gains are). The person trying to make capital gains income has to take on a risk that a wage earner doesn't, because the capital gains aren't guaranteed.
If capital gains are taxed the same, you will find that there will be less investments, which leads to less jobs and less wealth overall.
The person risking "billions" in capital is taking "billions" in monetary risk (the weighting depending on what the investment is - bonds are less risky than shares, for example).
Over the last 50 years the values of investments have far far outpaced growth in earnings. If a millionaire doesn't invest and make captial gains, what does he do with his money? Keep it in a box under the bed?
So you're saying people don't work because they are taxed at a higher rate than capital gains?
Higher capital gains tax discourages investment. If income tax is higher, it indeed does stop people from working (as much). But we are talking about raising capital gains tax, not raising income tax.
Yes, but it is not good that your "compensation" will be coming from something that isn't tied to your job performance. Wages at least have some tenuous connection to how well you perform at work.
> 2. Maybe the money will go to new hires, capabilities, expenditures, etc. ?
Based on recent trends, this will not happen.
> 3. Sure, but this is certainly a good arguing point against immigration, population growth and H1-B visa programs and the like.
Yes, definitely.
> 4. Increase taxes on the wealthy, etc.
Yes, or nationalize the banks.
It also doesn't account for the fact that these equities can lose substantial value, or may be over-valued.
> Yes, or nationalize the banks.
Re-implement the Glass-Steagall Act, or similar. Nationalization leaves the levers of power in the hands of the wrong people. Keeping commercial and investment banking separate while implementing strong consumer protections was shown to work well in the past. Also, it has shown that the repeal massively reduced the amount of banks (killing competition) so it stands to reason that trend could be reversed and improve the consumer banking experience over time.
This won’t work. When the tech exodus begins, it’s going to cause CA to buckle at its knees because the wealthy has been subsidizing more than 80% of the population. It is not sustainable or healthy at all to suckle at the teat of the wealthy.
We should abolish all taxes and only retain taxes based on consumption. And a flat modest capital gains tax. With dedications gone, this might actually bring in more public money.
Public spending will also decrease if we figure a way out of unfunded pension liabilities. This is huge. Don’t know how it can be resolved.
CA does not tax wealth, they tax (predominately) income, and I wouldn't be so quick to equate the 2. Prop 13, for example, can mean that wealthy land owners pay almost nothing in tax if they've owned their property for a long time.
https://www.taxfairnessproject.org/ generally the wealthier you are the bigger your tax cut.
If that value is going to be captured by anyone, I would much MUCH rather it be captured by Google shareholders, many of whom are employees and are at least partly responsible for the company's incredible success, than lazy and parasitic SFBA landlords who profit from their own NIMBYism and regulatory predation.
If you're working remotely for 100k, and paying 1.7k a month in rent, you're capturing ~80k as well. That means more capital is going to the employers(who saves 40k) at the expense of the landlords (who lose out on that 40k).
I honestly think I'd rather have the capital go to the employers because a) it improves my value in relation to them (I now can argue that I should get paid more, because I bring in 40k a year more value than I did in SV) AND I have a financial interest in the company doing well (with options/RSUs/bonuses/etc).
The money going to the landlords starts to become very literally "rent seeking" where they will capture the capital without providing any productivity gains in return. You could argue that their value in "provide a location for people to live so they can collaborate more effectively" is decreasing with remote work, and they will have to charge less because the value they provide is decreasing.
It most certainly is, if at the same time you're hanging out at city council meetings protesting construction and housing development. The cost of housing in SFBA isn't really the cost of land - its the cost of regulation. It's the marginal cost of building new housing.
Additionally, labor has a say in what they're paid as well and knowledge of what the average pay is for a given job in their country, region, or city. They can also talk to their fellow employees when they're hired and then push for a hire wage when they find out they're making less then everyone else doing the same job. Just because someone lives in Wisconsin doesn't mean they just accept any offer at a discount simply because HR has a bar chart says they should be paid 35% less then someone else.
Yes, and I also see the push for remote work also affecting the demand side of the software labor market as well as the supply. There will be even more push for good collaboration/communication work process software. It's still a fast growing market.
I can tell you there's a reason I left Texas and it's because cash doesn't do to your savings what RSU's and bonuses will.
Businesses found it necessary to exist in Silicon Valley because it provided certain benefits, and businesses found it necessary to have on-premises employees because it provided certain benefits. Since California won't allow any on-premises anything, the cost-benefit of being in the Valley and having people in the office is being reset. But if your skills and aptitude are scarce, there's no reason to believe wages won't continue to reflect that. And if your skills and aptitude aren't scarce, you were overpaid in the first place.
I just know that the improved state of affairs has my wife and I dreaming of remote work in a rural area one day soon. Come on Starlink!
This isn't new, it's already been realized long ago. I've been working remote for ~10 years and there is always a location modifier in the salary.
It would not surprise me at all if companies became more open to hiring remote employees, but started paying them 20% - 30% less, and extended the offer to transition to WFH (with a salary adjustment) for existing employees as well.
Bay area salaries are much larger than most other jobs (tech or not) in small cities. I recall local tech companies offering 1/2 to 1/3 of what you would get paid for average (non-FAANG) work in the Bay. In most smaller cities in the US > $100k is still quite a lot for a household, let alone a single income. If take that income outside of even small towns to more rural areas, $100k can allow you to live very, very well.
Sure eventually we'll see salaries reach an equilibrium, where local tech companies have to offer more and big tech companies will offer less. However, for the next few years, if you're coming from a Bay Area company, you can take a pretty major cut to TC and still live extremely well. You don't have to move to the middle of nowhere for this to be the case either.
At a million dollars you need a fairly large household income to afford luxuries beyond your house. Even putting down 25% on the house with a good 30 year fixed rate loan you'd be looking at just under $4k a month for your mortgage. After utilities you're easily over $4k a month. If you scrimped you could maybe keep your other household costs under $500 a month (realistically you're looking at $1k). So you're looking at a take-home of $4.5-5k to just stay afloat.
That's all for a shitty house that needs work, doesn't have great insulation, and doesn't have a lot of usable space. If you're 30 when you buy they place you only have to keep that income until you're 60 or hope that you build a ton of equity in the meantime and cash out.
That's the minimum for most of the SFBA. There's plenty of places with even more outrageous prices for shitty houses. To buy a house for not completely outrageous prices you need to go pretty far afield with hour plus commutes.
Treating yourself to ramen once a week is not a luxury.
This is more than accessible to tech workers at public companies. A 150k income is going to be ~7k a month after taxes. Tier one employers pay significantly more than that to new grads, and pretty much everyone reputable in the bay pays more than that to experienced people. So yeah, single income can absolutely afford a home.
Obviously someone with student loans can't do that as quickly, but otoh a dual income family could put $2M down in cash before they turn 30 given moderate success. (Or another way of looking at this is a moderately successful mid-20s SWE can bank 100k/yr after all expenses and retirement savings, without budgeting strictly. That's ridiculous)
A SWE in their 20s banking $100k a year? Must be nice.
Google, Amazon (and subsidiaries like Twitch), Microsoft (and subsidiaries like Github), Facebook, Linkedin, Stripe, Square, Lyft, Uber, Snap, Oracle, Apple, Dropbox, Box, Nvidia, Twitter, Slack, Salesforce, ByteDance and a slew of others. And I'm including only companies that pay out 150K in cash equivalents (cash + annual bonus + liquid stock) in that list.
After a promotion, that list probably doubles in size.
> What new grad making $150k is going to qualify for a loan on a million dollar house?
I don't think I ever suggested this. What I did suggest is that someone who graduates at 22 or 23 (and, with the big caveat that they do so with little to no existing debt), gets a 150K starting comp, and has even a modest amount of career growth will be able to save a whole bunch of money in their late twenties.
> A SWE in their 20s banking $100k a year? Must be nice.
Like I said, its absolutely ridiculous.
Engineering throughput definitely doesn't scale linearly with the size of the engineering team. Good on you for never having managed to have heard of Fred Brooks though.
I think it's even worse than that. Once they realize that you're working from home, why wouldn't they hire someone much cheaper abroad?
I hope I'm wrong but I think in less than 5 years people will regret this WFH thing.
It's great news for non-Americans though, USD goes a long way in a lot of the world.
Zoom hasn't fixed this.
Maybe this time is different with the advent of better online collaboration tools. But these tools do little to help with real-time communication across time zones and language barriers.
Economies usually don't work like that.
Even if some version of that happens, it will still pay off to move out of SF.
I think one of the big problems in the US is that growth and wealth are concentrated to a few hyper rich coastal cities, where most people can't afford to move. While large parts of the country is relatively impoverished.
If that ends up being spread around more evenly, I think that's only good. Even if I personally might get a pay cut.
This statement can be generalized to:
"I think one of the big problems in the world is that growth and wealth are concentrated to a few hyper rich countries, where most people can't afford to move. While large parts of the world are relatively impoverished."
Now I do understand that of software people believe that programing is somehow special and can't be done in effective manner remotely or third world site at far lower cost.
I have few observations here:
1) With massive proliferation of frameworks the creative/ intellectual input is increasing minimal for most of commercial work. And that's where most of the software devs are employed.
2) A lot of work is low quality that companies do not care because same mentality of cheap use and throw stuff is prevailing now for enterprise apps as it is for consumer stuff.
3) Looking at lot of software produced by top valley companies is buggy, bloated and feels generally crappy. I do not believe all of it is just due to companies' strategy of being first to market. A lot of it seems because of same low quality CRUD peddlers who fill office floors of fortune 500 companies.
I've spent decades among software people and never heard this said.
The outsourcing to India etc is 2+ decades old already FFS! What impact it's had on US wages is hard to say, but it's been very good for a lot of third world engineers!
The reason they pay “SF wages” is because they can’t hire talent at other prices, not because of some goodness of the heart. While total talent pool might be slightly expanded with people who didn’t want to move to SF previously, overall it’s not going to be a big shift.
My employer is becoming more WFH friendly. But they are explicitly saying post-covid fulltime remote will require an adjustment for base salary and future equity grants. I don't think that would be a good financial decision for me. Even if my compensation didn't get cut I would probably end up needing to take a pay cut or move if I wanted to change jobs.
Base salaries are pretty sticky downwards. It wouldn't be surprising to see modest formal geo-based adjustments of base salaries and much larger quiet adjustments of equity grants--which tend to be much less transparent. It will obviously vary by company but, to the degree in-office becomes largely optional, it's reasonable to expect comp tends towards something more equalized--at least within the US.
If only there was some kind of organization in which tech workers could "unify".
Remote companies that attempt to race for the bottom will be at a huge competitive disadvantage against remote companies that don't. Over time, they'll learn and adapt (or they'll die).
The biggest misconception about remote work is that remote work is good because don't have to pay bay area salaries. When you do that, you're broadening your talent pool, and you're then limiting yourself to the bottom half of it.
When you pay Silicon Valley salaries (or higher) for remote work, you broaden your talent pool to the entire world, and then you get to select from the very top tier. We've been doing this for years, now, and it still feels like an undiscovered gold mine hiding in plain sight.
I've been hearing remote work is the future for many years now, but haven't seen much movement toward the goal.
Now, we are in a pandemic and everyone is forced to be at home, not by choice, but by necessity.
Everyone is still saying remote work is now accelerated, but no one had a choice if they wanted to work remotely or not...
Of course there will be some increase in remote working after the pandemic, but I think the vast majority is going to return to the office.
Not because they can't work from home, but just because they don't want to work from home.
It's easy to move away when everyone is forced to. But when you need that new promotion when office life is back and someone else there is networking...you just gonna stay back in Tulsa? Doubtful.
The majority of people that say this are also the exact reason why the city is blackhole of culture and fun. You aren't in traffic, you are the traffic.
Nobody really brings up that the bay area has better LGBT and other minority protections than anywhere in the US, either. Every time someone mentions cheap midwest cities I have to pull up https://crossingenres.com/out-in-the-united-states-where-can... and see if anything's changed since I last checked.
Nobody really brings up the general art and culture scene in SF and Oakland. Or access to extremely high quality produce and food.
Generally nobody brings up the possibility that some people _want to be here_ outside of their jobs. It's weird.
I guess most of those that want to be here don't really comment on articles like this.
I'm not sure what bay area are you talking about. The SF bay area is absolutely unmanageable without a car, unlike Portland or Seattle.
More of Portland is accessible by public transportation than the SF Bay Area, but then again, in absolute terms, there's notably less Portland to be accessed. I'd say that what you can access on public transportation in the SF Bay Area vastly exceeds what you can access in Portland, mainly because the SF Bay Area is far, far, bigger. There's also a lot more that you can't access in the SF Bay Area (and if you work in tech, you may be forced to access it).
One way to illustrate this would be to overlay a public transportation map on top of population density map based on census tracks. You'll see that there are far more high density census areas in SF/Oakland serviced by light rail, subway, bus systems, and so forth than in Portland, and that the areas connected offer vastly more in the realm of commerce, entertainment, arts, sports. The same will be true of Seattle was well.
Is this true? I've only visited the bay for a total of 15 days but only SF and parts of Oakland seemed walkable.
Berkeley's walkable area encompasses all of Telegraph Avenue down to Ashby (Berkeley Bowl) (South), all of downtown (West), the perimeter of the UC Berkeley campus and the campus itself, and probably half way down University avenue (further West), the North Berkeley area to the north of downtown Berkeley (Chez Panisse, etc...) (North). If you like walking, you can walk from campus all the way to the Bay. If you like hiking, you can hike up part of the way to the LBL. San Pablo Ave is also walkable but wasn't as ritzy.
The inaccessible directions are NE and E. W was considered ghetto but has gentrified. The only parts harder to walk are up in the hills (pretty much impossible: narrow, windy, steep, no sidewalks) (E) and the hilly parts of North Berkeley (NE).
Where I lived in Potrero and SoMa was absolutely not walkable. Potrero was particularly bad because any amount of walking meant climbing a very, very long and steep hill - as in by the time you make it up, you're sweating like crazy.
Castro and Haight/Ashbury were walkable, but nowhere as walkable as a city like NYC.
The middle ground for me was a motorcycle. Easy to park anywhere. Cheap. Great gas mileage, etc.
I had roommates working for Cisco in SoMa who took the bus to work. That was a constant topic of frustration for him. He ended up getting a motorcycle too because of the commute.
It's definitely not walkable. It's marginally bikeable. Biking was problematic because of the lack of bike lanes and the poor lighting. Light rail and CalTrain were quite accommodating to bikes.
But I'm still going to say, what you didn't... good riddance. If you came just for the money and the ambiance a generation of intellectuals and artists created before you came, and you aren't willing to contribute to it? Leave, I'll be as happy to see you go as I was in 2001. If the pandemic (and lack of cool bars for a year) is all it takes, maybe people who give a damn will be able to move back in. Maybe that's not what created the wealth, but it sure did make it a nice place to hang anyway.
My personal guess is that a lot of those "creatives" that are moving to Hawaii/Sacramento/etc for 6 months (or a year) will be back, and if not, I hope they enjoy the place they choose to make home.
Perhaps I'm misreading you, but having to drive 45mins to get to a shop seems like a massive inconvenience!
Try getting more RAM in SiliValley or SF at 3am today!
With regard to LGBT protections -- as a queer person I've experienced vibrant, proud and welcoming communities all over the place. Midwest (Twin Cities, Columbus, Chicago) south (New Orleans, Atlanta). Not to diminish the importance of making progress, but your actual life is highly unlikely to be affected by whatever laws are still on the books in certain areas. There are millions of happy, successful LGBT people all over the country.
LGBT : This is not really the 80s and 90s . Most big cities from DC, Atlanta, Austin ,Chicago, Phoenix, Miami have strong LGBT presence . And a lot of racial heterogeneity there too.
Art and Culture: Almost all artists that I met in Austin, Chicago , Miami , Portland , Asheville left the Bay Area . They were priced out by tech . Everything is tech in the Bay Area . Even artists have to align or suck up to tech .
High quality food: Yes, again a lot of other cities are replicating that.
The Bay Area is truly great and very beautiful . But I cannot constantly hustle at 45 while raising 2 kids , pay a million dollars for a shack . I am sort of tired of constantly competing and hustling . I am tired of being told that we are counter culture since we are not Wall Street bro’s but I need a million dollars for a 1950s 2 bedroom house .
Also, though I did own a car, I really only used it on weekend trips out of town. If I had stayed long-term, I would have sold it, because it's expensive to own one there (parking is expensive unless you want to gamble on finding a spot on the street, and there are extra city taxes on gas and registration). Chicago is pretty walkable and has usable mass transit.
The main issue is the cold. You have 3 months of amazing summer and 8 months of cold with two weeks of spring and fall on either end. If you're not from the Midwest, it can really wear on you and bring you down.
Getting robbed at gunpoint isn't. That's the real Chicago you have to contend with.
Your experience will vary greatly, depending on which areas you visit.
It also has more than triple the population of SF, or twice as many people as SF+Oakland combined, so any absolute (as opposed to per-capita) numbers aren't comparable.
In Chicago you were able to afford to live somewhere isolated from the reality of most Chicagoans.
In San Francisco you have so thoroughly priced everyone out that there isn't anywhere for the lower classes to go and so the bullshit is everywhere for everyone to deal with. Boo hoo.
The exodus of middle class Black and Hispanic people from high cost urban areas drives some crazy income distributions in places like San Francisco: https://statisticalatlas.com/place/California/San-Francisco/.... If your apartment building, restaurants, etc., are places mainly populated by those making over $100k/year, there will be a vanishingly small number of Black people in those places. (See table 10). Contrast somewhere like Atlanta, where a third of households making $75-100k/year (a very comfortable income in that city) are Black.
I think a lot depends on what you're used to. I think a lot of folks accept the limited mobility they knew through school when they graduate. It becomes less acceptable as they get older. Many exceptions of course.
Within Midtown, the further North you go, there are a few more bars/clubs that make noise at night, so either live further South, live a few blocks East or West of the rail, or both. Huge amounts of apartment stock just came online in the last 3 years there, so you might get a solid rent deal somewhere? For me personally, being able to walk to a grocery store is always key anywhere in the world: shop every 2-3 days on the way home from work, only buy what I need, less waste. That area has two grocery stores: Randall's and Whole Foods.
Montrose is the other top spot. For me it is the #1 example of how Houston's lack of zoning can shine (versus other areas where it is a detriment). Fantastic local retail interspersed among every-other residential block. Montrose is a large-ish area and every half mile can be a slightly different "feel", but there are great options to rent newer apartments, older apartments, or rent spacious, cheap, historical houses close to things like Menil Park, or the big restaurant scene along Westheimer. Sadly the Kroger at Hawthorne is closing, but the huge HEB is dead-center of Montrose. East a bit and you're near Trader Joe's. If you're anywhere along Westheimer, the 82 bus goes to to Midtown Whole Foods and if you're along West Gray the 32 bus goes to the Kroger near River Oaks. The whole area always has things happening (check the pinboards at Inversion or Black Hole), and is next door to Midtown for even more.
If Downtown would get a larger grocery store with slightly more affordable staples (no offense to Phoenecia), and have it close-ish to where the rail lines meet, the entirety of Downtown would immediately become more viable (imo). I have friends both in Downtown, and in the Heights (solid bike culture there), but they eat out more than I do. The Heights started getting expensive ten years ago and doesn't look to stop, but it's still an option.
In about 5 years I think the Greater East End will be another great walkable/bikeable region (the actual East End, not EaDo), so depending where along the gentrification curve you prefer to live (before, during, after) it might be worth checking out now.
Is there that much of a difference between owning a car and renting a car or using Zip or having a chauffer (Lyft, Uber, taxis) tote you around? I'd get rid of my car too if I could afford to have Uber haul me everywhere.
With reference to my sibling comment, definitively yes. I personally spent less on a handful of Lyft rides per month in Houston than I did on insurance alone when I owned a car. Never mind the cost of the vehicle itself, gas, any repairs...
Even adding in the cost of my rail and bus rides, still doesn't come close to the cost of a vehicle.
The cost of owning a car in California including maintenance, fuel, parking, registration, smog check, etc. can be upwards of $10K per year. At least it was for me when I owned a car.
I walk most places and use car share or rent as necessary. I do not spend $10K per year on car share and rentals.
Literally, YMMV.
It's a difference in frequency of use. In Seattle, a lot of my friends don't have cars, but use Rideshare/rentals when they need it. If you are using it a couple times a week, pretty easy to stay under the cost of car ownership when you factor in insurance/parking/maintenance etc.
Everyone else thinks that The Bay is culturually homogenous.
What I'm saying is turn it around on them.
You can still find many vestiges of this, like all the head shops and very non mainstream things in the Haight Ashbury, but the reality is that it is far less of a counter-cultural mecca today than it was fifty, or even twenty, years ago.
The reputation is taking a long time to catch up to that reality though.
There's a world of difference between "yeah, we have gay people" and being a place where LGBT people can build happy, stable lives.
Even SF is not very walkable compared to Chicago, DC, Philly, Boston, etc. (All significantly cheaper than SF.) Even by American standards, the BART is a pretty second-rate metro. (And that's not even counting the fact that nowadays it's essentially unsafe at night, for single women, etc.)
I’ve been to SF twice in the last three years. My impression of SF’s public transport (and to be honest, walking around parts of it too) was that I did not feel very safe using the MUNI buses, especially at night. I saw on the news that a British guy got stabbed near my hotel a week after I left the first time.
On one occasion I also witnessed a bus driver drive past a guy in a wheelchair in the middle of the day. Someone on the bus challenged them on that and I vividly remember that she said “I ain’t lettin no cripple pee pee all over my bus.”
The BART was much better but obviously is more limited in where it goes.
I'm not sure how often that article gets updated, but this Wikipedia article[1] has maps that are regularly updated and is a good reference for anyone who is LGBT, or has LGBT family members, and is looking to relocate.
[1] https://en.wikipedia.org/wiki/LGBT_rights_in_the_United_Stat...
The cities of San Francisco, Oakland, and Berkeley are about the only walkable places where it's feasible at all to not have a car, and even then significant parts of those cities are not walkable.
And in NYC if ever I had some other obligation after work instead of my usual commute that was bikeable to. In California nearly every time an errand popped up I couldn't bike that day.
The physical reality is that 20 degrees lower isn't that bad. Humans have thrived in colder climates for thousands of years. Being a human being in a modern day NYC/Chicago winter is a cakewalk, unless you are among the small subset of people who treat anything below 60F like its a death sentence.
The initial claim up-thread was "SF has a phenomenal climate though in comparison."
Also I find that many people who proudly refuse to own a car in SF just end up ubering everywhere.
NYC is definitely more walkable--and just as expensive. Boston is about as walkable, I think (I haven't spent much time there)--and also pretty expensive!
Boston is definitely walkable. My wife and I shared a car when living there, and I'd literally go weeks without actually getting in the car (she worked in a suburb, so she needed it for daily driving). Everything was generally within 1/2 mile, including school for the kiddo, sports fields, parks, grocery, hardware, etc. Transit was also convenient and plentiful.
Some people do "Uber Everywhere", but I mostly biked/baywheels/muni.
It’s a great city for some. If you like it - I do hope you enjoy it and stay for as long as you wish.
I have long left and prefer other states like Texas and the South. It’s more my style.
Safe, walkable, low pollution, high density of tech co's, beautiful people.
Nice city though.
This analysis is shallow and has a thumb on the scale in favor of California. The author says of same-sex marriage: “There is much talk at the federal level by the presumed GOP candidate of creating legislation that would remove this right federally. I will not relocate to a state where my marriage could not be recognized.” Even if that was possible, why doesn’t that cross California off the list? Californians went to the trouble of overturning a state Supreme Court ruling to make same-sex marriage illegal, in 2008. It was illegal right up until Obergefell wiped out all such laws in 2015.
Folks in California might be surprised about what the rest of the country is really like. For example, same-sex marriage was legalized by a decision of the Iowa Supreme Court in 2009. Unlike California, there was no public support to overturn the ruling by constitutional amendment. Iowa has had joint adoption by same-sex couples since 2008. The state has outlawed discrimination based on sexual orientation and gender identity since 2007. (California enacted a state-wide protection against such discrimination in public accommodation in 2005.)
I’ll also observe that categorically rejecting states that have “religious freedom” laws, without digging into the specifics of the laws, would exclude most of the EU as well. Most countries have various exemptions to LGBT discrimination laws for e.g. religious organizations and their affiliates.
This is a cherry-picked example and a bad-faith argument.
You're trying to portray the CA Prop 8 battle as demonstrating that CA was/is regressive. It does not show that. It's more accurate to say that there was a national debate going on at the time, and the open-ness of the CA initiative process allowed it to play out here for a brief period of time. Prop 8 was immediately challenged and was never implemented.
I don't like arguing with bad-faith actors, so I won't go further than saying you're taking all context away from this to get to a conclusion you want.
> Folks in California might be surprised about what the rest of the country is really like.
I visit the urban midwest frequently, and it's simply not as socially progressive as urban California is. There are progressive pockets! There are progressive and kind people! (And in CA, there are socially regressive places.)
But the support for LGBTQ rights in urban CA goes much, much deeper than it does in Midwest cities. Arguing the point is laughable, ridiculous, and out of touch. Come on, we're talking San Francisco and West Hollywood here!
What’s the trend of claiming arguments are in “bad faith?” It’s like a verbal tic people have developed recently.
I didn’t “cherry pick” anything. The very first step of the author’s analysis was to exclude states that had banned same-sex marriage prior to Obergefell on the theory that federal law could be changed. That exclusion carried through all the subsequent winnowing steps of the author’s analysis, because each step built on the previous step. By the author’s own logic—that she wouldn’t want to live in a state that had banned same-sex marriage prior to Obergefell, because of the potential for changes in federal law—California should have been crossed off the list.
It’s fair to say public opinion in California has changed since 2008, but that’s true all over the country. I’m just applying the author’s own logic. And you’re incorrect: Prop 8 was implemented. A federal district court enjoined Prop. 8, but that order was itself stayed by the 9th circuit. Marriage licenses were not issued from 2009-2013. The Supreme Court dismissed the challenge to the injunction in 2013 on procedural grounds, and marriage licenses resumed. By then the writing was already on the wall with the Supreme Court’s decision in Windsor.
The premise of the article isn’t which urban areas “support” for LGBT rights goes the deepest. It’s looking at states which enacted legislation that might give LGBT people a reason to not want to live there. A large number of states banned same sex marriage in their constitutions between 2000-2015: https://en.wikipedia.org/wiki/U.S._state_constitutional_amen.... It’s notable that California was one of those states. Minnesota and Iowa and Indiana didn’t. Neither did West Virginia, Pennsylvania, etc., along with most of the northeast and Maryland and Delaware. These is something to be said for the culture of places that may not be “progressive” but unlike California were tolerant enough to not have jumped on that constitutional amendment bandwagon.
Sure, lots of people are leaving SF but I’d bet that covid is a good thing for the city longterm. Some tech people will return and others will take the place of those that don’t. Why? Because some companies and jobs will still need to be in SF and for all the reasons people came before tech (food, art, etc.).
SF was so over its carrying capacity and skewed toward tech that a reduction in population, a chance for local government to catch up, slightly lower rent, and hopefully a diversifying population might be exactly what the city needs.
I grew up in the Bay and work in tech and personally, a SF that’s a better balance between the city of my childhood and the tech city it has become sounds ideal.
You can’t park anything other than a beater in the city or it’ll get broken into, and owning an apartment is a toss of a coin with regards to whether you’ll be forced to smell weed all day or not. For some reason air conditioning isn’t a thing in California either, and I’ve never experienced as many power outages anywhere else in the US as I have here. Owning a nice house here is a pipe dream, so if you want to settle, this area was never in the cards to begin with.
Maybe it’s no surprise that the only reason most of us are here is because of the pay. I miss the quiet idyll of the suburbs, those slow and peaceful days. I miss the clean air, the scent of my lawn in the morning, and having the room to stretch. The feeling of safety. I miss being able to live life at my own languid, relaxed pace.
At least we both seem to agree on one thing - the sooner I can move out of here, the better.
No, Toronto is walkable. It's flat, dense, everything is close by, and clean. I'd be content to walk 45-50 mins to get somewhere.
In SF, I dread having to walk, bike or take public transit anywhere. It's unpleasant, unsafe, smells horrible and there's rampant petty crime. And not just one district, it's like that in most of the areas you need to go to
Now of course I avoid the tenderloin etc. area, but thats how its designed currently. All the homeless are in one place.
I live in a quaint little town by the water, a decent drive away from a major city. I'm a tech worker that chose to move, because city perks didn't outweigh the city stress.
I would say that for anyone considering the change, think about what you want out of your everyday life and move wherever gives you that. Do not lock yourself into an expensive city because it has something that you don't see yourself enjoying every day. In my town, I can walk with my daughter to a local beach that has zero tourists. I have a garden, and a detached home office, and a garage wood shop, and two cars (one for hauling family, one for hauling lumber). I live close to my suburban in-laws, who get great joy out of seeing their grandkids on the weekend. Those are things that no major city in the world could give me, reasonably, and are the reasons why I would never move back.
https://www.statista.com/statistics/196114/top-10-us-states-...
Bingo!!
Not really, not compared to Boston or, particularly, New York.
Nobody's putting Boston and NYC on the list of cheap places to live, any more than SF.
That said, someone in a different part of this thread brought up Chicago, which seems plausible! Though I haven't been there enough to know if that's true! (Though when I visited, their transit definitely was very good).
Edit: also, SF isn't _that_ walkable; have you spent time in NYC? SF was a huge letdown to me once I had lived there for a couple of years.
https://southpark.fandom.com/wiki/Smug_Alert!
Now, it’s not bragging if it’s true. The problem is...well, it’s a big, wide, wonderful country and world with lots of great places and ways of life to be discovered. Keep an open mind, and try to keep a closed mouth. Reminds me of the buttons that proclaimed “I don’t care how you do it in NYC”.
CA prides itself on being green and yet, the oppressive housing policies force everyone to commute vast distances resulting in even worse global warming outcomes.
It wasn't until covid came along that we finally even allowed people to start telecommute on a wide scale
- it is amazing to be able to walk / use public transport to go everywhere you need to
- I just don't like driving in cities. It is just a chore monopolizing my attention.
Still this is way harder to pull of here than it is e.g. in Paris. No subway system serving all the city here.
I am using an eskate to pick up the slack. If the market street project was already completed and we did the same for some other key streets, it would be 100% viable but in the city's current state :
- many roads are in a pitiful state. I haven't hurt myself seriously yet but I saw or know of many people who did.
- car drivers are extremely dangerous
100% on acceptance, culture scene and let's add food scene as well.
The only divide that exists is between cities and rural areas. Virtually every city is going to have a large LGBT population with its own anti-discrimination ordinance and essentially be indistinguishable with SF. From the LGBT rights in Florida wiki:
>In addition, several cities and counties, comprising about 55% of Florida's population, have enacted anti-discrimination ordinances. These include Jacksonville, Miami, Tampa, Orlando, St. Petersburg, and Tallahassee, among others. Conversion therapy is also banned in a number of cities in the state, mainly in the Miami metropolitan area.
Geographically, San Francisco is amazing. But I’ve never been to any other city that is as expensive as Switzerland and run like a sleazy third world country. I finally moved out after a bullet went through my bathroom wall in Glen Park. Somethings are more important than the geography.
If sf can transform back to a place where the people that are living there actually are in love with their city and not just there for a work I'd be very happy. It's a beautiful city.
Anyways, people are always leaving the Bay Area. If you came here five years ago, first you were new here and second, you've known people who have left.
So Keith Rabois left for Miami. Great for him. The question is whether the next Keith Rabois will spring forth from Miami. Unlikely.
A much more reasonable interpretation is that Shockley was going succeed no matter where he went, not that Silicon Valley is uniquely situated, especially with the dominance of east coast companies in defense contracting.
https://steveblank.com/secret-history/
Ames Research Center dates to 1939.
It's true that Shockley picked Palo Alto because of his mother, but it would be unfair to not also credit Stanford who had an outsized role in helping solidify the Bay Area as the hub for "Silicon Valley".
Many many many companies tried to move the industry away from California since the 50s, and every time, those companies star players ended up relocating to the bay area.
California's free-wheeling culture permeates at all levels, from investors all the way down to the individual contributors. It just wasn't an accident that Silicon Valley happened the way it did.
Only seemingly non-random factor you gave is the Emerald Triangle, which could be the answer.
As to why CA, I don't think there is any one reason. The weather and geography are huge. It was a lightly populated state in the 1950s, so real estate was much cheaper than on the heavily populated east coast (big for both start ups and 'artistic' types). And the gold rush mentality is/was pervasive, which I personally think leads to a government and culture that is generally supportive of start ups and small businesses. While CA has a reputation for being unfriendly to businesses, the taxes and regulations are largely targeting big businesses. So that leaves more room for small start ups to compete.
Wine, Movies, Farming, Banking, Education, Tech.
California is just a state with a long history with a weird mixture of entrepreneurs you won't find elsewhere.
I don't know the exact terms of universities when it comes to founding companies but I don't see how the university can prevent you from founding a company, or demand a percentage.
> All potentially patentable inventions conceived or first reduced to practice in whole or in part by members of the faculty or staff (including student employees) of the University in the course of their University responsibilities or with more than incidental use of University resources, shall be disclosed on a timely basis to the University. Title to such inventions shall be assigned to the University, regardless of the source of funding, if any.
For an example of an institution with the kind of IP policy you're describing, the University of Waterloo in Canada has a policy[1] that by default assigns IP to creators rather than the institution:
> Except as stipulated below, it is University policy that ownership of rights in IP created in the course of teaching and research activities belong to the creator(s).
[0]: https://doresearch.stanford.edu/policies/research-policy-han... [1]: https://uwaterloo.ca/secretariat/policies-procedures-guideli...
Otoh, they are extremely supportive of professors and PhDs (and undergrads, though those are often more software) starting companies based on research, and have very good policies regarding this. Most people end up generally happy on all sides.
It's definitely not "no strings" - otherwise Stanford wouldn't be the actual owners of PageRank (which they licensed to Google).
Now it's just coasting downhill, unable to maintain the altitude that it once had because it never knew how to (was never possible to?) build that altitude without a big dose of random luck.
The thing with oil wells, railroads, and gold mining, is that geography/geology matters more than path dependence.
Silicon Valley and Hollywood, and to a lesser extent NYC and London, are more about path dependence. Their dominance in their sectors seem more resulting from, if anything specific to point to, legal factors, than geography or any particular natural resource/phenomenon.
Why make movies and software in California, one in the south and the other a bit more north?
The founding of Hollywood was just as random as the events that "caused" the rise of the Valley. What if Griffith had gone elsewhere? What if Edison hadn't enforced his patents, causing the exodus across the country to make movies out of his purview? Similar climate/environs/affordability elsewhere, why not AZ, NM, TX, GA, FL?
This is a lot different than, say, the reasons for North Carolina to eventually beat New England in textile production, or why the Rust Belt is where it is, or why rail and shipbuilding was big in the Northeast but not so much space and auto manufacturing. It's more like why the appliances that are made in the U.S. are mostly made in the south.
This isn't the map i was looking for, but gives you the basic idea https://brilliantmaps.com/california-filming-map/. The Geographic diversity around Hollywood is absolutely responsible for its initial success.
http://www.californiaherps.com/images/vegetationmapjeaster.j...
But what were the first two movies made in Hollywood? Griffith's Western and DeMille's Western. If another genre had been preferred in the 1910s, seems like a movie hub could've landed elsewhere. (Or maybe Westerns were actually made more due to budgetary constraints than preferences.)
https://digg.com/2019/movie-genre-popularity-1910-to-2018-da...
Couldn't've be East Coast because Edison.
https://www.mentalfloss.com/article/51722/thomas-edison-drov...
Edit: Was grayed out when first seen.-
Because Shockley moved here. Fairchild was founded here, and the Fairchildren built Silicon Valley and its venture capitalism.
Toyota, GM, Ford, Chrysler, Nissan, VW, and all their parts suppliers(and the supplier parts suppliers) have at minimum a white collar office in south east Michigan.
The event that caused the Exodus from Detroit was the Race Riots. You can Google that because I'm not touching that topic.(and it doesn't help Detroit has a 1% tax)
Similar thing can happen to SV. People moving to "suburbs" -> other parts of CA.
Wrt. people leaving because of WFH - anecdotally people leave for other place where there are campuses of their companies. That suggests that there is not much trust in WFH. Once WFH subsides many of those people will still continue their comfortable work and life in those places. Those "stale blood" people - the highly paid employees of those large corps - aren't really drivers of innovation (making $0.5M+ at say Google as a programming drone one isn't going to drop it and make a startup - that is one of the points why Google is paying well :), and by leaving SFBA they provide the chance (by for example relieving real estate pressure a bit) for the "new blood" to come in.
Financial resources went to route 128 because of a more corporate-friendly regulatory climate. Innovation came from Silicon Valley because of a more innovation-friendly regulatory climate.
Guess which won out?
US reached economic supremacy in part due to a weaker IP scheme than Europe, and China is doing likewise right now. Innovation requires a mixture of economic rewards (which doesn't happen in the absence of any enforcement), and building off of the work of others (which doesn't happen with strict IP laws). Massachusetts went off of the deep end of more is better.
Coincidentally, Boston is doing better for big business, like biotech, in part because there, the balance falls in a different place. It's very tough to start a scrappy biotech, so the number of employee leaving to do a competing startup is pretty darned low in either case. The downsides of strong IP are smaller, and the upsides of weak IP are greater.
For a long time, Route 128 did largely win out, semiconductors in SV notwithstanding. The lead in computer-related technology did tend to shift to California with the shift to microcomputers. Although it's not clear that was in any way inevitable. (After all, Compaq was in Texas.)
After microcomputers, anyone could do it out of their home.
If my employer is making a CAD tool and makes a dumb decision, I can make my better CAD tool and put them out of business. Even hardware changed when I no longer needed to buy individual transistors. Things like the Apple could be designed out of a garage, with commercial off-the-shelf parts, perhaps borrowing a little bit of money from friends and family, but without even taking out a second mortgage. From there, things spiraled up, with quick-turn $40 PCBs, fabless IC companies, and so on.
It didn't have to happen in Silicon Valley, but it couldn't happen in Boston, and with Stanford and what not, Silicon Valley was as good a place as any.
There is also a LOT of biotech in sfbay, but it is still in the shadow of internet tech, for various reasons (PhD is minimum cost of entry, longer development times, etc)
My point in my GGP post was that the opposite is true, first for tech and more recently for internet commerce, in the Bay Area. And I agree that the #1 driver was a healthy attitude to IP laws (which also drove the film industry to California, first to the Bay Area and then to LA).
And the second was an attitude that people don't care so much about your background and what's been done to date, an attitude I believe to be a legacy of the gold rush.
Exactly
This is why efforts to "duplicate Silicon Valley" fail. Also why Europe was unable to move the locus of financial transactions from London even after the Euro. In both cases, there are plenty of things to point to but nobody really knows.
I’ve lived and worked in both. None of the things I prefer about SF have anything to do with the efforts of local governments.
If anything, I’d agree that the local governments efforts and misguided policies are responsible for most of what I dislike most about living in SF.
So much is handled so incredibly poorly, but everyone’s willing to put up with it for proximity to a giant money-making machine spewing wealth around.
My recollection is that the article found that there were several factors that all came out right for SV. The other places fell short on one or more of them.
I don't remember all of the factors they found, but I remember a few.
One was nearby top tier research universities.
Another was ready access to investors willing to invest in new kinds of businesses. This one was a problem in several older places. The investors there just wanted to invest in companies doing old things or in doing things related to the main existing industry of the region.
Tolerance of failure was important. In some places, failure forever taints you. Start a company and it fails? The investment bankers no longer want to talk to you, and you don't get invited anymore to the parties and events where the behind the scenes networking goes on. In SV having a failed startup isn't a big deal.
Also, I hardly think the opportunity was squandered - it's paid off for a long run. I do think there are challenges ahead for the model to continue to succeed faster than other areas.
I'd call it counter culture but I otherwise agree with you.
Wait, what?
What exactly was local government supposed to do with this, ah gift?
From the perspective of someone who doesn't live in the Bay area, it is a libertarian paradise for the haves, unlivable for the have-nots, and is the pinnacle of American culture, with its focus on individualistic solutions (detached housing, strong zoning laws that protect existing landowners, reliance on personal vehicle ownership, privatization of critical services) to society-scale problems.
Throw in conflicting interests of the residents of the cities that make up the SFBA, and you pretty much get what one would expect.
Before asking why your local government has not fixed <some problem that makes us mildly uncomfortable>, you may want to instead ask 'Why haven't we elected a local government that would fix that problem?' Tech has an outsized amount of political influence on governments and elections in the area. Governments don't exist in a vacuum, completely detached from the desires of their constituents.
> libertarian paradise
What a strange notion. San Francisco has some of the most paternalistic laws in the US, courtesy of its board of supervisors. Some of them even wanted to ban corporate cafeterias, an issue which returned last year:
https://sfist.com/2019/07/22/watered-down-version-of-sfs-tec...
To pin the blame for these problems on libertarians, of all people, is the height of absurdity:
https://en.wikipedia.org/wiki/Politics_in_the_San_Francisco_...
See also:
https://www.sfgate.com/politics/article/OPINION-San-Francisc...
https://www.sfchronicle.com/business/article/Nanny-state-or-...
https://www.latimes.com/archives/la-xpm-2010-nov-02-la-fi-ha...
https://www.fraserinstitute.org/sites/default/files/economic...
https://reason.org/policy-study/us-metropolitan-area-economi...
> zoning laws
Where did you get the bizarre idea that their zoning laws are in any way “libertarian” or “individualist”?
https://marketurbanismreport.com/blog/san-franciscos-regulat...
2. These are fantastic examples of measures that at worst, mildly inconvenience the most affluent members of its society, and at best are harmless social signaling of issues that don't matter.
It speaks more about your priorities when you point out things like happy meal toy bans, while ignoring the insanity of having an entire city that is completely unaffordable to the people working in that McDonalds, or a healthcare system that completely fails the most regular customers[1] to that McDonalds.
As for zoning laws, they are absolutely libertarian, in the sense that the people who have made it are using them to pull the ladder up behind them. What's the point of owning property, and having wealth and political influence if you then don't spend that influence to protect the value of your property?
Land, in large part, derives its value from how difficult it is to acquire. I could hardly think of a more land-owner friendly system than one with extremely onerous zoning and construction requirements. If you're feeling pressured by this, you are one of the have-nots (whose life in a libertarian-paradise-for-the-haves is not that great - see my original post on what being a have-not gets you in the SFBA.)
[1] I'm referring to, of course, poorer people.
2. Here's the definition of zoning:
> Zoning is a method of urban planning in which a municipality or other tier of government divides land into areas called zones, each of which has a set of regulations for new development that differs from other zones.
Here's the definition of libertarianism:
> Libertarianism is a political philosophy and movement that upholds liberty as a core principle Libertarians seek to maximize autonomy and political freedom, emphasizing free association, freedom of choice, individualism and voluntary association.
In what way is government dictating that you can't build more housing on your property "libertarian"? You're pulling some desperate mental gymnastics.
> As for zoning laws, they are absolutely libertarian, in the sense that the people who have made it are using them to pull the ladder up behind them.
Literal nonsense. That's not what "libertarian" means.
That is exactly what libertarian means in practice. The ideology, when implemented in a democratic society has no mechanism to combat this kind of regulatory capture. It becomes just a shorthand for "People with money get to keep it, people without get to pull themselves up by their bootstraps."
Autonomy from government is only welcome by actual libertarians when it comes to autonomy from obligations towards government - but reliance on government is sought out when it comes to protection of their wealth by government.
Stop looking at symbolic virtue-signaling gestures, and start looking at what policies actually affect real people's lives, and why those policies are in place. The SFBA is a great place to live if you are self-reliant (wealthy), and can afford its smorgasbord of world-class private services, for anything from education to transportation to healthcare, to legal work, to housing. It very quickly becomes a far-from-great place to live if you have to result to public options for any of those things - because they range from either 'on life support' to 'non-existent'.
> What a strange notion. San Francisco has some of the most paternalistic laws in the US
Not sure if you are aware but the Bay area is much bigger than just San Francisco. San Francisco isn't even the biggest city.
There are very libertarian subcultures of the broader Bay Area, including in San Francisco, but most notably among the wealthy and business owners of Silicon Valley.
> libertarian subcultures
I’m sure there are lots of subcultures. What does this have to do with who is actually governing?
A whole lot. Look no further than the recent ballot initiative won by Uber and Lyft against classifying drivers as full employees, or similarly failed ballot initiative to remove prop 13 from commercial property taxes. The direction of both results was very much in the libertarian direction.
So, since the Bay Area has socialist subcultures [0], and they actually have power [1], will you say it is socialist in governance? Or are you applying a double standard?
> The direction of both results was very much in the libertarian direction.
Those two particular results, sure. What about all the other results and legislation I referenced?
[1] https://www.mercurynews.com/2020/11/13/young-democratic-soci...
Huh?
> rather than contemplate what was written
That’s exactly what I did?
Do you actually have anything substantive to say?
My criticism of zoning is, historically, it has been used to keep certain groups of people out of certain geographic areas.
https://www.sfchronicle.com/bayarea/philmatier/article/Forme...
California has laws that make it safe and easy for employees to go form a startup at the drop of a hat.
In California, regardless of their employee contract, employees own the inventions:
- made in their own time
- made without using the employers equipment or technology
Other states (Texas?) give employers an enormous amount of power over their employees, even giving them rights to the ideas in their heads.
Okay, I'm going to give you the benefit of the doubt here because you said "reminds [you]", not that it _is_ in fact the Resource curse. However, you must acknowledge that the Resource Curse doesn't describe the SF Bay Area _at all_.
We have the richest real estate in country, some of the highest earning zipcodes in the country, employment rate most of the country would love to have, etc. There's no "curse" here, as defined in the economic sense.
Not to mention that few places can match all the benefits of SV, i.e. unenforceable non-competes, fantastic weather and surroundings, an educated and diverse population, cultural activities, very high compensation, etc. I don't think it'll be as easy to displace SV as these articles regularly imply, despite the downsides of living here.
For a kind of funny example, there was an episode of the all-in podcast (mostly a podcast of successful VCs) where they talked about SV politics and leaving.
The irony was while they talked about CA politics to an absurd degree ("worst run state in US", etc.) when they asked each other if they were planning on leaving all of them said no.
People complain a lot (and there are good reasons to complain!), but people have been complaining since at least 1993 and it's still an economic hub for startups. I'm skeptical of that leaving.
I have seen coworkers and friends leave, but it's mostly a housing issue. As people turn 30 and want to have a family if you haven't cashed out $5M in some exit event then it sucks to live here. $500k can get you a nice place in CO, $750k for outside Seattle.
I have had older friends leave to have a family. They went to Santa Cruz, Seattle, Denver, DC, and Austin. It's a shame. The ones that stayed either are very rich where a $5M house is not an issue, or they still live with three roommates and rent without kids.
Some other reasons to complain about, but that I don't think are usually deciding factors for people to leave:
- Bad policy (AB5), Extra founder Tax, Hostility towards tech in general.
- Political monoculture (I don't mean not enough trump people, I mean it can be controversial to be an obama era moderate/neoliberal and 'woke' politics is hard to avoid).
- High state taxes that harm capital gains and new money. This is related to housing and prop13. Not only do the people that live in housing they bought decades ago pay almost no property tax compared to new buyers, they then push to restrict new supply while also pushing to increase tax on new money. This comes in the form of higher capital gains tax (there's a bill to raise it to 16.3% this year retroactively, by far the highest in the country). They also push legislation to increase tax on the companies excluding homeowners to fund their services (which indirectly affects the employees again). This kind of thing makes it doubly hard to be able to buy in and live here.
>> I have had older friends leave to have a family. They went to Santa Cruz, Seattle, Denver, DC, and Austin. It's a shame. The ones that stayed either are very rich where a $5M house is not an issue, or they still live with three roommates and rent without kids.
Just wait until they look for interesting jobs and get 100 linked in messages from CA and like 1 or 2 from DC. (note: I live in VA just outside DC, speaking from experience.)
An anecdote: I got an offer to leave my mid-level FAANG job to return to the Midwest for a VP role at a 200+ person company. The compensation was about 35% of my total comp, and it was maybe one of 3 companies in the area I would consider working for. Not to mention going back to cold winters, McMansions, and chain restaurants.
I don't think people fully appreciate the value of unenforceable non-competes + many companies congregated in one area. No where else in the world does the labor have this level of negotiating power and flexibility. Even if it can be replicated (and I hope it is!), it won't be overnight.
There is an old Russian saying about how every time you move it is like a fire happened (because you lose things.)
That said, the people I know that left aren't planning to find new work (for the most part). CO does have a lot of FAANG options though and Slack was also there.
They're not looking for the most interesting work at that point, they're looking to keep their job and raise a family - it's a tradeoff.
Isn't that a risk to move to a place without as many employment options? Yes. The reason for that risk is you can raise kids in a nice house for $500k rather than in a tiny, old, 2 bedroom apartment for 1.5M.
>> Isn't that a risk to move to a place without as many employment options? Yes. The reason for that risk is you can raise kids in a nice house for $500k rather than in a tiny, old, 2 bedroom apartment for 1.5M.
You exactly summarized my thought process three years ago. To be fair, i'm very happy here. But it is a mixed bag.
Housing is great compared to the bay area, but $500k is a stretch for DC/Virginia (check it out on zillow) though not impossible, there is a ton of inventory if you are willing to drive out a bit. Unlike FAANG folks out-buying houses from you, you have lobbyists and government/intelligence contractors outbidding houses from you. Def better than Bay area though.
Except i'm in one of like five growth startups in the area and there are rarely any senior positions open, and the senior workforce appears larger than the pool of interesting senior jobs. Its a huge bet on your employer in addition to the already huge bet you're making w/ taking, say, illiquid early stage stock. So your career growth is much slower.
OK, so what if you are OK w/o an interesting job? Then you have plenty of options. Also, plenty of options if you're willing to be a consultant and travel, but now you're making a 2nd tradeoff.
All in, very happy but not a panacea and certainly multiple tradeoffs.
In my specific case my SO grew up in Cupertino and her family is here, so that's another element that makes it hard to leave. I'm currently doing the live with roommates bit, but it's a hard tradeoff to make.
Also I saw where you work in your HN bio - do you partner with VRAD (or maybe are considering starting your own)? I've always though leveraging ML imaging software as part of a nighthawk radiology service would be really interesting. Basically hire radiologists to be part of the company (give them some equity) and leverage their readings to train the model. In a bit of a Tesla style self-driving play where you're providing the current capabilities via humans, but the ultimate goal is leveraging that to train and improve the software. My dad does neurorad so seemed like a natural fit for deep learning image recognition to me. If you're writing the reading software then you can tailor it for training too.
Unrelated to that, if you're looking for more options in DC the company I work for has a major office there (feel free to connect, my email is in my profile).
Helps to save more to try and buy a place eventually.
And while I'm grateful for everything I have in life, and I have been given much more than my grandparents abroad...I do wonder -- after struggling through top colleges and a working hard for over two decades with ever increasing responsibility, whether I really "deserve" a 1br or should I aspire to more for my family and me.
I realize it sounds both selfish but also reasonable based on how one looks at things. For now, we've chosen to live very comfortably in DC.
@stryan Would love to chat offline if you're open? Really struggling in deciding whether I can continue to live in the region long term, despite being in love with the area and the people.
Hard-tech job opportunities w/o having to regress to an entry-level or mid-level role.
Senior level job opportunities, w/o having to join a consulting firm (i mean, if i'm potentially traveling 4/5 days, i'm not really 'living' here anymore...) I've rolled the dice on management consulting before in my life and spent almost no time in my home city. That was great when I was 20 and not so great with a family. I do wonder whether it is different w/ DC and local projects or whether it might be different in a partyly-WFH future!
You can always move back after you vest and sell.
Nobody will deny that Bay Area housing is expensive, but even today, $1.5M will get you a decent single family house with a garden in Santa Clara.
That’s a ridiculous amount of money for most, but it’s not in $5M exit territory, and something that’s relatively easy to manage for a 2 tech income family: $1.25M loan is $5600/m mortgage, $1500/m in real estate taxes.
$1.5M will get you a shack - really old maybe a little bigger than 1000sqft in Santa Clara if you can find one at that price at all.
$4M gets you a nice, newer 2900sqft house (comparable to what you'd get in the other regions I mentioned).
$1.5M would have been enough in 2012, but it's gotten worse since then.
e: oh whoops, it was edited
This is a $2M house, 2600 sqft, 5BD house on an 11000 sqft lot: https://www.redfin.com/CA/Santa-Clara/2602-Birchtree-Ln-9505....
But going back to my earlier price range. I took me all of 2 minutes, not months of open houses to come up with these:
For $1.6M, you get this 2200 sqft house: https://www.redfin.com/CA/San-Jose/1244-Broadleaf-Ln-95128/h.... Or you get this 2500 sqft house: https://www.redfin.com/CA/Santa-Clara/1453-Franklin-St-95050....
Redfin filters:
- Santa Clara
- Sqft Min: 2000
- Property Type: House
- Price Max: $2M
Results: 9
If you set a minimum year built to 2000 (so up to 20 years old)
Results: 0
You're right though that there are houses you can find in less desirable areas on the peninsula for around 2 million (and San Jose is cheaper, east bay is cheaper). Usually though there's some tradeoff (bad schools, long commute, house is really old). These tradeoffs don't exist in the other regions where for a a lot less you can live basically anywhere you'd want in a nicer place.
The places I've been looking (Palo Alto, Cupertino, Mountain View) don't really have anything in the price points you're talking about.
I will admit that my general statement about Santa Clara was wrong though (I was thinking mostly about the cities I mentioned as part of Santa Clara county, not the city of Santa Clara).
As the County of Santa Clara, you can find a nice 2000 sq. ft. home for $1.2M.
South San Jose, people.
Who ever cares what managers think. It is the owners who matter as they're the ones paying bills.
>"however most people are not like that and can only really function meeting often in person"
Well, when your ability to make a living is at stake your ability to function independent of location might suddenly improve.
>"..won't have a say, explicitly or implicitly..."
Nice try. What are you implying under "implicitely"? If this is what I think it is, the managers are just as replaceable. Often it is actually easier for the owners to replace/get rid of a manager than from good salesperson/developer/etc.
Managers are very often (especially in a bigger organization) is the only channel how information flows to owners.
As a result, managers can paint very different picture of the same situation (as an example, that people working remotely from home are less productive).
May be in some abstract world, "managers are just employees and there is nothing special". In reality they wield a lot of power to sway company in one or another direction.
What you describing is a fraud. In a big organization managers are not uniform group, there are multiple levels and factions. They will happily report on each other if the picture is grossly distorted. There are also a lot of metrics and built in controls in big orgs that can and are being used to estimate how particular policy affects the bottom line (profitability).
In reality there are companies whose bottom line did suffer from WFH and there are companies that had actually have profits increased as the result. If you think the latter group will revert because some low level managers feel insecure about their position I have a bridge to sell.
Management and cross organizational relations rely on rapport and relationships amongst baby boomers and Gen X people who greatly prefer in person interaction. Maybe engineers won’t come back to the office, but they sure will be.
Care to provide evidence for this claim?
> WFH might not stick widely
If the vast majority of workers demand it, then I don't think employers will have a choice here. Leaving now is a vote with your feet.
> unenforceable non-competes
Very few of my peers have ever cared about this in practice. I don't think this is remotely a major benefit compared to e.g. state taxes.
> fantastic weather and surroundings
The surroundings, I'll give you, but the weather is "fantastic" in a small number of communities only. SF weather is far from fantastic. I don't miss it. Sunnyvale or RWC, on the other hand... But still. The weather is boring.
What I don't miss are the fires and smoke-filled skies, and the drought.
> an educated and diverse population
The "native bay area" population? Or the migrants and immigrants? The vast, vast majority of people I worked with over the years were from elsewhere. We used to joke that it was rare to hear someone was born in the Bay Area. There's not much weighing people from elsewhere down preventing then from leaving, and there is less and less weight each passing month this year.
> cultural activities
I actually cannot think of anything unique to the Bay here...
> very high compensation
True, but I know plenty of people who have moved to Seattle and New York who make just as much. And I know of several fully remote (pre-pandemic) workers who are making 90% of what they would earn in the Bay Area -- I know, this isn't common, but it's possible.
Honestly, SV has done this to themselves. NIMBYism, insane housing, terrible transit, high taxes. I have no doubt SV will recover, but the rest of the world will prosper at the valley's expense.
Well, while working in RTP I saw many suits filed for my coworkers for non-compete clauses.
If you're ~director or above, this matters a lot and the bigco's basically auto file the lawsuit in any jurisdiction where enforceable. At least one exec I reported to had to take a year off as a result of these lawsuits.
IMO it's a huge deal for the HQ execs of many companies, similar to how tax benefits are a huge deal to the rank-and-file.
Yes, it is a bigger issue on both sides of the table when you get to director+ level. The company often has much more to lose, and the employee often has far fewer potential new homes. These things tend to balance out; I've seen contracts with non-compete timeline matched or exceeded by severance timeline for that reason.
> I actually cannot think of anything unique to the Bay here...
I don't know what percentage of the workforce here has both family and enough personal connections to where leaving the area doesn't make sense, regardless of a WFH policy. It may be that they want a better commute but still want to stay in the area for the aforementioned reasons (I am one of these people).
The contrary might also be true: For many companies it's currently impossible (due to COVID) to make the big accomodations required for going comlpetely remote, including moving their HQs to other places for reasons having to do with access to capital or taxation.
The compensation just won’t seem so great when you’re paying off millions on a mortgage and wondering if the industry will still employ you once you’ve got a few gray hairs.
The counterpoint would be how many billionaires, besides those in the tech industry, choose to put down roots in the Bay Area? Not many at all. (The only real exceptions I can think of are Napa/Sonoma/Marin, not SV/SF proper.) We're talking about a class of people who are truly unconstrained in terms of location, so that should be pretty indicative of where local amenities really shine.
And it's pretty clear that New York, SoCal, and Southern Florida are the truly attractive locales in America. Many people choose to pay Manhattan, Beverly Hills or Palm Beach prices without a compelling economic draw to those areas. Virtually nobody chooses to pay SF prices just for the lifestyle, amenities and culture.
Without the draw of tech employment and investment, there's no way SV/SF can maintain its current level of economic prosperity.
Then they proceed to live wherever they want and buy items using Corp/LLC Funds. When they need to use personal funds or pay income tax - They minimize their tax impact through various methods.
Point being - The people live where they want regardless of tax haven status. They recognize revenue in a Corp/LLC in a tax haven.
If you changed sites you lost this compensation.
1. Cultural diversity. I'm an immigrant and having lived in Seattle, Boston, NYC, and Philadelphia, I'd say the Bay Area is hands-down the most welcoming of all of those. It may seem like a small point but my parents and family can walk downtown in traditional clothing and no one even notices. Not true elsewhere.
2. The weather. Initially I thought this was overstated but I've realized after two decades in Boston and Toronto that seeing trees without leaves for six months of the year has an impact of my mental health. Seeing greenery, and enjoying warmth, even in January has a huge positive impact on my health.
3. The optimism. Most people I meet in the Bay Area are optimistic about how a problem can be improved. That's rare and I haven't found that in other cities or countries I've lived in. As an entrepreneur that's a wonderful to be part of.
Detractors of the Bay Area seem to hang out in very specific circles of friends which seem to be rather homogenous. A solution for me was having kids who go to public schools. I end up hanging out with people who are typically not other tech founders.
not that your 3 isn't accurate, it would just be my #4 :)
Of course, it's better to have neither exploding costs nor petty crime, but at the end of the day, dealing with petty crime is more affordable.
EDIT: Getting downvoted to oblivion but I'm not wrong.
https://sf.curbed.com/2019/12/12/21001080/san-francisco-sf-r...
"In 2010, a two-bedroom SF apartment on Craigslist averaged $2,893 (per historic data compiled in 2016 by Eric Fischer), or $3,396 after inflation. At the end of 2019, similar units on the same site sit at a median of $4,300, up 26.6 percent."
It would have taken a lot of petty crime to amount to that $12K per year in inflation-adjusted (i.e. real) increase.
(Technically, they've only enforced price controls which make made profitable renovation illegal, but it has the same effect.)
Why would that be?
Surely many developers would have made the bet anyway, at least in 2010-2019, but going forward it'll be worth considering whether building housing for people who are likely to leave en masse is worth the risk.
People are building houses in countries where they sell at 20x lower prices.
Unless construction workers in SV are paid 1 million $ / year, the reason for not building is not that it's not (hugely) profitable.
But you seem to be condoning that preference, and that preference is ridiculous. An economic boom should not be a bad thing. And tech is not raising rents, it is raising housing demand which could easily be met with a corresponding rise in supply that would limit the price increases, but new housing has been being actively blocked for decades.
You also leave out an important factor, most of the city that is supporting the policies that enable petty crime here have no skin in the game. They live in nice neighborhoods where they've owned their houses for decades making them massively wealthy and don't have to interact with the undesirables. It's easy to look the other way and ignore the downtown problems of homelessness and street crime, and to be so woke that you don't want any crime prosecuted, when it doesn't affect you.
You're right, but the reality is it has been a bad thing for many people. As long as they're being outmaneuvered by homeowners and landlords, having the boom simply end would work just as well as winning the housing supply fight. Few people are going to miss tech elites if they leave.
A minority of people can afford living in an expensive and safe area.
The majority is forced to choose less expensive, even if less safe, areas.
The thing with SF is that the media and a large portion of the US loves to hate it - theres a narrative that keeps getting the replay button. They always will, and it will always die just like Silicon Valley is over and the next Silicon Valley will be in (insert any city, or china). These stories have been around forever, and they will continue forever. Yes SF will go through a down cycle as a result of pressure being taken off of the rental market, and it will fill right back in when people want to live in the city again and the pandemic has passed.
Pretty sure college is going to be in person again (UCB, UCSF, Stanford) as are the National Labs.
The media has overhyped this ... of all sources Business Insider.
I know a couple of medium sized VC people who are going to start living outside of SF proper (not the Valley), but the people I know who live in the city love being in the city of San Francisco. The people who are leaving the bay area were probably always going to leave some day if they weren't happy there.
And you're dead on about schools and research centers that require in person. Hardware or R&D need a physical space for work and security. And some people do like a cool office experience.
Anyway, tl;dr I agree with you, ha ha.
The recent announcement by Goldman Sachs about moving a large chunk of their operations to Miami is not a good sign for NYC.
Our economy is cyclical, so is the technology industry, and so is the technology industry within the Bay Area. It seems to me a large cohort of the HN community has reached an age where they'd typically move to suburbs, "back home", or just to cheaper areas to raise a family. This was hastened by COVID, and yet, the next cohort of new grads is right around the corner, just like it is every year. Is the calculus about where to live different? Slightly, now you pick from 10 metros instead of 5. Are people going to be full time remote? Yes. Can they live anywhere? Certainly. Will new grads be better of starting out in an office just like most people here did? Certainly yes.
Can we recognize for a moment that the collective value of the technology sector located along the West Coast is probably north of $10T? If anything, the tech industry is annexing new metros, not moving to them, as tech continues to eat the world.
Rents have only dropped to levels seen in the last few years lol, and will just "crater" to 2010 levels once tech and students finish leaving.
"Oh wow all the currently nice neighborhoods were sketchy ghettos? How quaint!"
but at least artists could live there!
As soon as you leave SF you will realize how weak and absurd the various generation's arguments about SF are.
It's absolutely ridiculous, a city of its magnitude should have 2-3 times its current population and 0 housing issues due to higher density housing.
The newcomers aren't to blame, as an outsider I'd blame the locals...
I think it's just that SF is very young, as cities go, and it's been the oddball city, you didn't move here in the past for a good job, you came here because you were weird, or queer, and wanted a place to fit in and be welcomed.
All these normal folks with great jobs moving here is very new, 20-25 years at most.
You hear fun stories from all kinds of characters hanging around dive bars here :) I had some good years hanging out at Lucky 13 and making tons of friends, but alas they are going out of business (for reals) now too :/
Because the Outer Sunset is cold, foggy and windy a lot of the time? Are the luxury condos are still going up in SOMA? It's definitely warmer there.
I lived in Mountain View for 3 months during 500 startups and the valley proper was the most garden variety suburban existence you could find anywhere.
I lived in SF proper off and on and can attest that it certainly has (had?) fantastic restaurants/shops and a particular type of culture that many people love. However the basic infrastructure and problems with SF are well known and have been documented.
I can't see at this point how the former plusses of SF outweigh the latter negatives and frankly I see no inherent plusses to the Valley.
It seems that people (technologists mostly) literally only value the valley because of technology companies and even more pointedly - because that's where the big VC money lives.
Where did you end up moving that you found a better fit for yourself?
The only two things you miss in VA on your list is "grittiness" which is a negative for me, and walkability, which you could get if you go closer to DC.
The more I think about it, the more I realize the choice of where you live is barely rational, if at all. Sure we come up with reason about why we are where we are post hoc, but are those the real reasons?
I can almost guarantee I will never move to DC or Virginia. Not because it isn't an amazing place with everything you can want, but because it's just not me for some reason that's hard to articulate. I would guess you would almost guarantee you'd never move to CA, too.
SF/Bay Area is "Good enough" for your needs and VA is "Good enough" for mine and it's not some optimized process, moreso an artifact of our relative histories.
Not sure SF's climate can be considered universally better. I think I would get sick of it never actually getting warm.
That said -- and I hear pushback on this from other threads -- my job opportunities here for any senior level roles are next to nil. This could be because I do not have a security clearance (a local favorite), or it could be because the job pyramid here in DC/NoVa really is differently shaped than SF/SV, or it could be that i'm an outsider w/o a deep social network, or perhaps I'm not looking at the area correctly.
As an anecdote, I get tons of Linked In messages for opportunities in California. CTO positions, VP positions at venture backed growth startups, all across the board. I get almost no in-bounds from companies in DC except for consulting firms (been there, done that when i was 20-25, not sure if that is a good fit at my current stage in life.)
I'm sure part of it is my profile. I have lots of real-time systems, model, quant, Computer Vision, and tech leadership background. I'm just not sure how much of a market there is for that -- though I'm positive having a security clearance would change things dramatically.
This presents a serious concern for me, and a balancing act for continued happiness in DC/VA.
My wife works in Biotech and the only other alternative for us would be the Boston area. But, after running some numbers pro/cons, the Bay Area wins.
So we are stuck here ... for now.
To be perfectly honest, the only thing missing is our friends and family in Canada. It wasn't so bad when we could visit 2-3 times a year, but the pandemic has put a stop to that.
2) SF & Valley: Diversity. Bay Area cities top the list of largest number of foreign born residents, with only LA and NYC being competitive.
3) SF & Valley: Weather. LA beats us here, but SF trounces NYC, Boston, DC, and Seattle.
4) Just SF: Walkability and street life. SF is more walkable than most cities (the weather helps with that), and although it has shitty public transit options, it's only shitty in comparison to places with actual good public transit, which more or less don't exist in the US.
5) Just SF: Weirdness. Okay, SF has driven out most of the interesting weirdo and artistic crowds and replaced them with CrossFitting Burners. But there are still remnants of that culture, more so than most places except perhaps NYC.
6) SF & Valley: Food. It's mediocre in comparison to the scenes in LA and NYC. But it's still worlds better than the rest of the country.
7) SF: Arts. Similar to food, it's mediocre compared to LA and NYC. But it's still worlds better than the rest of the country.
8) SF & Valley: Nature. West Coast cities are all competitive here, as is Denver/Boulder (though even they lack the beaches), but this is another place where East Coast cities fall short.
In the end, the only plausibly competitive cities on this scoring matrix are LA and NYC. LA sacrifices a lot of the walkability and weirdness of SF. NYC sacrifices the weather, and moving to NYC from SF isn't going to get you of any the much vaunted coupon-cutting decrease in cost of living that everyone in these comments is so pumped about.
Just to be fair, I'll also list disadvantages of SF:
1) Cost of living. "No one is willing to pay that much to live in SF, it's too expensive."
2) Dating scene for men.
3) Travel. Subjective, but East Coast cities are better situated for international travel than the West Coast.
4) Cleanliness. Yep, SF is an unhygienic shithole in many places.
5) Monoculture. Too many tech folks here, not enough diversity in industry.
As somebody who has lived on three continents in major metro area's as well as countryside IMO SFBA has the best dating scene.
I am married now, so I have been out of the single pool for a couple years...but before that I will say that SFBA had the most attractive pool of available woman in the world, if intelligence, creativity, independence, being self starters and physical attractiveness is what you value.
I sure found the love of my life here.
I have one friend who lived at a base in Antarctica for awhile, and he favorably compared the dating scene there to what's in SF.
But personally I had no game with woman in NYC or LA....in part because what each party wanted from a partner was incompatible.
On the nature front, there are really a lot of great public lands on the east coast. They are a bit less iconic than what you can find on the west coast, but you can still hike, camp, climb, ski and beach to your heart's content.
I think comparing SF to DC and Boston makes the most sense just due to similar size. LA and NYC are in a class of their own.
Walkability: for pros, DC is flatter and cleaner. The Metro is cleaner and more reliable than Muni. For cons, the city itself is a bit more spread out, and its hinterlands (e.g. Tysons or Silver Spring), although accessible via public transit, are much less walkable than San Francisco's hinterlands (e.g. Berkeley or Palo Alto). But the biggest issue is that D.C. is just not really walkable in either the depths of winter or the heights of summer (although evenings can be pretty pleasant, and you can actually enjoy an evening out on a patio). Maybe I'm a wimp with low tolerances, but that's six months of the year gone right there.
Diversity: SF is around 1/3 foreign born, while DC is like 1/6 or 1/8. Almost half of SF speaks a language other than English at home, while DC is more like a quarter. DC is diverse, just not as diverse as SF.
I agree with the rest of what you said.
Metro absolutely does not serve many areas. It's a far cry from NYC or European cities, but was totally workable as long as you stuck to the city and certain suburbs.
- I enjoy not needing a car. Many neighborhoods are walkable.
- I appreciate the mild weather. E.g. I lived in NYC, and though I did not need a car, humid summers and snowy winters made it less pleasant to be outside.
- It's dense but not _too_ dense. NYC felt legitimately claustrophobic sometimes.
- It's still an LGBT mecca. Prior to the pandemic, I could be in queer spaces on a daily basis.
I don't know that I'll be in SF forever. But when I think of moving, I wonder where I would go, and what my life would look like when I get there. I grew up in suburbs and still associate those neighborhoods with isolation. Among US cities, it's hard to meet all of these.
My two favorite cities in the US are San Francisco and Philadelphia. Many people hate those places with a passion. To each their own!
* Food - an incredible an ever-changing restaurant scene, from cheesesteaks to 10-course tasting menus. And all much more affordable than fine dining in most US cities, plus free BYOB is extremely common. * Music / Sports - incredible music scene with major and minor venues of all kinds, and a professional sports team in all 4 major leagues with a passionate fanbase. * Size - neither a very large city (NYC) nor a very small city (Boston). Easy to get around, narrow streets make it very walkable. * Attitude - Philly people are just different. I'd describe it as a "warm hostility" :) but you'll find Philadelphians are very welcoming while also being brutally honest. * Diversity - there is no racial majority in Philly. It's about 40% white, 40% black, and 20% other. * Price - Philly is cheap!
SF isn't a nice town. It has nice aspects and places, sure, but it's always been pretty rough here just under the surface. The initial Mission was like a concentration camp for Indians. I just found out that SF State University is built on an Ohlone graveyard. Chinatown was harsh, the population was almost entirely male, except for prostitutes who were often enslaved[1]. There were gangs of bandits living under the piers.
What I'm saying is, folks moving here with their great tech jobs and expectations of picket fences and rose gardens are a little naive. You moved to a freak down and then got freaked out by the freaks.
It's always been a weird place to go to start a software business. E.g. Twitter moving into the center of skid row was bizarre. They're not Mother Teresa?
[1] "The White Devil's Daughters: The Fight Against Slavery in San Francisco's Chinatown" https://www.goodreads.com/book/show/41181183-the-white-devil...
You make this assertion but back it up by remarking on things from the past. The Mission was a bloodbath for Native Americans one or two centuries ago, yes, but how does that support your initial claim that it currently isn't a nice town? Is that supporting claim really affecting the residents of the mission so greatly right now?
I think San Francisco is a nice town. I hated it before the pandemic because I only stuck to the Mission and SoMA. I started taking walks in Russian Hill, North Beach/Telegraph Hill, the Marina, Ocean Beach, etc. Those are awesome neighborhoods with great people and many things to do. Just like any city in the USA, you get out of it what you put into it.
I lived in the Mission District. I can tell you some stories. Gangsters and just crazy shit. It's still pretty wild there despite gentrification.
Sunset used to have something called "Sunset District Incorporated" or something like that. Skinheads basically. Dunno how it is now.
I went to high school in Hunters Point. Doublerock isn't as famous as Compton but it gets respect. East of 3rd street down there is where the enlightened progressives of San Francisco segregate our Black folks.
What I'm saying is we have lots of different sorts of gangs here in SF. You don't get jumped for your Nike's on Muni so much these days, but still.
But that's not all.
Go walk around the Tenderloin for a minute (DO NOT ACTUALLY DO THIS, I am speaking rhetorically. It's physically dangerous. Highest incidence of male-on-male rape in the nation in the Tenderloin.) I lived there briefly and saw some wild things.
I haven't even touched on the folks living in tents and in Golden Gate Park and down by Lake Merced, or the rampant public drug abuse downtown.
> Russian Hill, North Beach/Telegraph Hill, the Marina, Ocean Beach, etc.
Are you trolling? Those are the nice neighborhoods!
Even Detroit has nice neighborhoods.
In contrast I lived in a Canadian city for a little while and I can remember the night I was coming home late and it dawned on me that I was perfectly safe, in a way that I had never felt growing up in San Francisco.
I love this town, but she's a shady lady.
- - - -
And BTW wtf are you doing going for walks and doing "many things" in the middle of a pandemic!? Goddamnit dude.
> Are you trolling? Those are the nice neighborhoods!
Your assertion was that SF is not a nice place. Those neighborhoods are what SF is to many people, including myself. To me, SF is a nice place with bad parts. To you, it seems to be a bad place with nice parts.
> And BTW wtf are you doing going for walks and doing "many things" in the middle of a pandemic!? Goddamnit dude.
I don't know if anyone has told you, but we've been allowed to go on walks. Even in the current lockdown, you are permitted to walk to a park.
Toronto is like the New Orleans of Canada.
> Those neighborhoods are what SF is to many people, including myself.
Yeah, I know for a lot of people SF ends at Twin Peaks, but that's my whole point: folks ignoring the gritty reality of life in SF, living in bubbles, protected by wealth and privilege, and then complaining that the rest of the city can't be their Disneyland too.
> To me, SF is a nice place with bad parts. To you, it seems to be a bad place with nice parts.
Like I said, I love this city. I grew up here, it's my home town. But I also know our history. (And shady stuff goes on up to this very day, just for example check out the FBI corruption probe[1]. Shady.)
> I don't know if anyone has told you, but we've been allowed to go on walks.
Self righteous and snotty? No thanks, I'm all stocked up.
> Even in the current lockdown, you are permitted to walk to a park.
But that's not what you said you were doing. You said "I started taking walks in Russian Hill, North Beach/Telegraph Hill, the Marina, Ocean Beach, etc. Those are awesome neighborhoods with great people and many things to do."
Which sounds like you're touring around and chillaxing at the pub.
I'm out.
Good day sir.
[1] https://sfist.com/2020/07/15/ongoing-fbi-corruption-probe-hi...
Tangentially, lots of folks complain about high CA taxes, but these taxes largely go towards local projects and paying local salaries (unlike Federal taxes). These projects and jobs are direct stimulus to the economy and also provide a large potential customer base to startups. This is likely playing a bigger role in the startup ecosystem than most people realize.
On a more specific and personal anecdote, the green/clean energy sector is heavily based in CA because CA was an early mover in climate change energy policy and regulation. These policies started in the 70's, and the long slow growth of the industry that they enabled may be the primary reason that the US is even remotely in a position to try and tackle climate change (still a long way to go though). It takes a certain cultural and political climate to embrace these types of things, especially when the potential return on investment is on such long timescales.
There was no inherent "supremacy", just one created by a bunch of companies being together.
Did SV municipalities do anything else to deserve it?
There are better places, with more rental space, more resources, better weather, and so on, plus WFH is here to stay...
I've had months and months of continuous rain in the Bay, something I never witnessed when living down South. It's cheaper too. Much much much MUCH more diverse. And food's better as is the landscape.
But I've had my fair share of multi-month El Ninos.
Never did I say one should move to LA and never ever leave town. One can go skiing (nearby even!) or enjoy any kind of weather elsewhere.
Mid 70s and sunny is hard to beat. It's like an eternal spring.
When you have to shovel the drive way twice a day and five minutes later the city snow plow throws half frozen slush on your drive way, you start to crave a warmer climate.
Maybe that's just an effect of getting older. I just moved away to a place with four seasons again, so we'll see!
(Updated: I just read all the sibling comments. We are nearly all from other states and have now all become huge weather weaklings from living in CA!)
And almost everywhere else has large numbers of days where one of the above is true.
Sure, it would be neat if we could have one snowy day a year and a summer thunderstorm or two, too.
Comparing that to not being able to work outside because the state is on fire and the air quality has been before recommended levels for a week is not my favorite tradeoff.
I generally hate most warm climates because they tend to be humid. LA was very nice. The nicest climate I've experienced so far. Haven't been to Northern California though (I imagine it's roughly the same but cooler, so may like it more).
[0] seems like the problem there is it gets much cooler at night, more intraday variation.
Jesus, bro, why'd you throw this in?
This is sort of the argument that management gives to having people in the office.
People need to be at a physical location together for cross-pollination and idea growth.
> anything grows
I'm a gardener. Wherever I go I grow a garden. When I lived in the South Bay the soil in our backyard was AMAZING. Never seen soil like that anywhere else. You didn't have to do much of anything to grow stuff. It was easy to dig. It was like it was loam all the way down. So yes, the climate plays a big part of that 'anything grows', but so does the soil there which is exceptional.
You've just described why I don't like Silicon Valley weather, though indeed the easy and plentiful agriculture is a nice aspect aside from the scarcity of water which often ends up prioritizing farmers of things like almonds over actual residents. Where I live now, I get to enjoy all four seasons and don't have to consider water as a locally scarce resource.
I can only speak for myself but I'll never live in a red state again. Not even Texas, it's not worth it. Even where I grew up (the purple midwest) is too socially conservative for me after living in California.
It's like how for most of my life I barely understood the mitigating measures women take in many situations where I don't even notice the situation.
And another was in sales in industrial manufacturing and there was a lot of misogyny and low-grade racism there.
They're in WA now so and much happier.
¹ the "isn't happening to me" thing is sort of analogous to "works on my machine". Because of the range of stuff, things usually do "work on my machine".
It's fine to prefer living in one culture over another, which is exactly what both your friend and the people they complained about are doing.
And to be clear, I did not mean illegal immigration. I meant legal immigration.
Many immigrants are even more religious and/or convervative than "White and American".
Just of a different culture.
I was born in the US but my ethnicity is visually ambiguous and people assume I'm Mexican, Filipino, or Indian (in that order) based on the type of brown person they grew up with. In CA, no one particularly cares what type of brown person I am. But when I lived in Ohio, I was told that I should "go back home where [I] came from", that I'm one of the good ones and should bring more of my family over, or that I'm "stealing jobs from honest Americans," based on whether the redneck in question thought I was Mexican, Filipino, or Indian. My cousin and his wife, in Indiana, used to experience the same harassment regularly until they started wearing their scrubs everywhere so people would know that they're doctors.
I turned down a very well-paying job in Ohio (and came back to CA) because the people there were so vile.
This was on top of another layer of class conflict between the middle class teachers/administration and lower class/trailer park kids, who mostly dropped out at 16 which was fine with the admin. Lots of additional pressure on other students who didn't conform for various race/gender/etc. reasons. And then completely bizarre stuff like, though the official reason for not having a soccer team was that it would detract from the sacrosanct football program, many of the teachers were clear that believed soccer to be a Communist sport (this was in the 90s when the cold war was long over).
Many of the perpetrators here are very nice people and fine neighbors, but if you aren't an evangelical Christian it can be a challenge. Especially if you're not white: the KKK is still a well known presence just down the road in Harrison, AR, so it's not just woke fearmongering.
It's one thing to live in these environments as an adult and be able to blow a lot of it off, but it's another thing completely to have kids there, which really detracts from the 'leave California to raise kids' motivation.
And it would be better at a larger city like St. Louis or Indianapolis but some fraction of the population of those places are from towns like mine and don't find these beliefs and practices to be particularly problematic.
Intolerable is an ironic word because my personal choices cut right to the paradox of tolerance.
Things have a way of flipping during times of significance. California's entertainment industry was formed by a bunch of young, driven people who wanted to escape paying IP royalties to the Edison company. Now, they're doing everything in their legal power to pursue their own IP infringement cases, taking on the form and function of their reason for leaving NY in the first place.
That NIMBY thing has been boiling over for decades now. There will be new stakeholders in that battle attaching themselves to conservative and far-right movements. Get ready!
That is why they have supremacy, though. Agglomeration effects are a big deal. Its why New York has remained a center of trade and finance for centuries, and why Detroit remains a hub for the automotive industry despite the city's bankruptcy.
No matter what brought the companies there in the first place, just "being together" is a huge deal and is hard to replicate elsewhere. We will see if tech will be an exception, but my prior is that proximity is important, even with WFH, and that Silicon Valley will remain the national center of tech companies.
- WFH or in-office 2-3 days per week
- Office every Wednesday
- Team get-together once a month
- Remote in the same/adjacent time zone
- Remote anywhere you want that we can legally hire you (seems unlikely)
- Remote pay-adjusted (or not)
- Whether there is an office or not
In general, I expect the extreme cases will be fairly rare but pretty much every one of the scenarios (as well as whether they're mandatory or optional) will drive different decisions relative to 5-days a week in the office.
Could be age / career related - VPs of big companies are usually experienced professionals, so they have strong(er) roots in the Bay Area, with kids in school.
But the number of management moving out is ZERO - at least anecdotally. Once we're allowed to go back to the office and they all go, how long until tech leads and architects also follow? Then "interns and junior employees should be at the office so it's easier to mentor", and then remote becomes something mid-level and seniors-who-plateaued or a CLM position. Which is fine, if you know the tradeoffs...
I think this somewhat understates the strength of acquired advantages in agglomeration economies. Particularly in an economy of ideas it seems to me that acquired advantages account for most of the benefit; beyond "cheap rent" there's not much "inherent" advantage to be had.
Even in traditional industry many of the advantages are acquired (i.e. not geographic, which is what I think you're getting at with "inherent supremacy"), the textbook example being Lancashire's dominance in textiles in the 19th century (https://voxeu.org/article/agglomeration-explains-lancashire-...).
I think it's a reasonable point to suggest that the exodus from SV could accelerate the development of other startup/tech hubs, and weaken the comparative advantage of SV, but I think you may be understating the current strengths of SV by focusing on "original advantages" like rent and other environmental/geographic attributes.
Re-posting my take:
"The fundamental design of the Internet was to be robust against various forms of damage to the network. I see Silicon Valley as a similar type of system. It is not difficult to look back 40 years and see how at each inflection point, The Valley's constituent technologies, and the companies they spawned, led the rest of the world and scaled The Valley up.
- In the 1980s, Silicon Valley's Intel lost it's dominance in DRAM production to Japan. The economic impact was dire, and yet
- In the early 1990s, networking and workstations emerged from the likes of SUN and Cisco. They carried through until global competition stole their wind, and it was on to
- The late 90s and the .COM boom. And what a boom it was, Amazon, Google, followed by another death knell for myriad .COM corpses. Promptly engendering
- The 2000s birth of social media. MySpace faltered, then LinkedIn, then Facebook, then Twitter, came up and are still going strong on the foundation of
- 2010s open source platforms. Still mind-blowing: At one point WhatsApp had 40 software engineers and 400,000,000 users. At 3 years old.
I've heard about the exodus from California, usually citing so many thousands or 10s of thousands of people leaving. But looking a the net population changes, Santa Clara County is down 5,000 from 2018-2019. Alameda, San Mateo, San Francisco are all up.
Silicon Valley is a system that regenerates from one generation to the next, and so far, always bigger and more influential than the last."
Original post: https://news.ycombinator.com/item?id=24803215
This is a small shift in the grand scheme.
It might help create new centers. But the gravity is going to be around the universities and infrastructure that is unique to the area.
Shifts like that rarely happen overnight.
Especially not because of something as temporary as a pandemic.
Not sure if there is any reason for sf once most startups moved sonewhere else.
Good luck fitting in for you when you get there!
The not fitting in is a way bigger deal in Switzerland. Germans will never be accepted, no matter what. Eastern Europeans aren't even considered people.
My LinkedIn account is always flooded by recruiters. That gives engineers leverage to seek new and better opportunities all the time.
Plus networking is also a big one.
Unless you get a job at Google/Oracle and planning on retiring there, SV wins hands down.
The language barrier is also a no go along with cost of living.
Infrastructure might be the wrong word.
I was mainly thinking of soft factors that take time to grow following the exodus. As well as geography and demographics.
One could argue that diseases were major contributors to the collapse of the Roman Empire - internal problems didn't allow them to keep the external forces at bay.
I did recently evaluate moving to our Redmond office so that I can better care for my aging mother in my old hometown. Then I saw that houses nearby are even more expensive than the bay area. Nuts. Finding a rental house that can accomodate my mom and family in the south bay will not be easy though.
Slightly unrelated, I'm excited to see if satellite internet will open up even more remote areas of the country to remote developers. It would be nice to setup a coding cabin in the backwoods somewhere far from the city, where I can go part-time to escape the din.
"Why should we build more affordable housing? We'd rather ban development, and make these 'rich young techies' pay through the nose to landlords who just happened to buy a house here 20 years ago!"
"Who cares about ensuring reasonable quality and cost of living in SF? As the local government, we'd rather just figure out a way to tax the crap out of them!"
Enjoy the result.
Or you can massively increase transportation capacity, not just with roads but (more effectively) with trains and subways and other forms of fast, efficient public transportation.
Of course none of this will ever happen, SFBA residents and government will continue to exclusively focus on slaughtering their golden geese until they all gone.
Add to this the ridiculously high income tax burden and sales tax burden, and it becomes clear that raising children is also out of reach for most (particularly if you do not want to send your children to the piss-poor public schools in many areas.)
For singles also, particularly men (who comprise the majority of techies), things are pretty bleak: there is too much competition for women, and opportunities to date do not come by easily at all.
If homeownership and family formation are supremely hard, and so is finding a mate, what exactly is the rationale for continuing to live in the Bay Area? It seems to me that the Bay Area will become an in-and-out type of place (like Manhattan or some of the other New York boroughs perhaps), wherein you bust your ass for several years and decamp to a lower-tax (or better still, no-tax) jurisdiction to get on with the next phase of your life.
What exactly makes them so bad?
This sounds more like classism to me.
There are data and experiences available for making these judgments. There might be a class divide underlying it, but to walk away with the assessment that one type of school on average does better than another is not a classist sentiment.
This year, most bay area public schools are online. Many private schools are still operating in person. For young children, this makes a world of difference. Just one instance of where private schools come out on top.
Just because they see it doesn't mean it's actually there. Private schools attract the students that would do better in any environment (because of both socioeconomic class factors and involved parents making non-default choices), and measures of student performance reflect this. There's very little evidence that they do anything to actually improve outcomes, but what most people see (aside from marketing, which private schools put plenty of money into as well) is statistics that show correlation without controlling for other variables, from which it is easy to make incorrect inferences about causation.
Im not sure why that would rule out classism.
The issue is that the kids going to the "poor" schools are poor. Their home life is shit because they're frequently sharing a two bedroom apartment with another family. They're dealing with parents who are unable to afford a better housing situation (not just renting a house - but they can't even afford to rent a place without another family being in it - lots of multigenerational housing happening too, which has pro/con) and who frequently have to work much more than some dual income FAANG tech couple - and they have a much worse quality of life. The parents aren't very involved because they just have other priorities.
This leads to the kids randomly dropping out middle of the year. Every year, the kids I know who went to Santa Clara schools ended up with their class sizes shrinking throughout the year because kids would just disappear middle of the year. That has the pros of less kids per classroom as the schoolyear goes on but it has downsides like... well, you can't make any long term friendships! On top of that, if you are in a family that is doing well - you're gonna be unrelatable to the other kids. And it goes true with the parents too.
One of the reasons my friends have put their kids in private schools is because their kids are around people like themselves, the parents operate under a collective agreement (they are all too involved in their parenting style), and there's just a commonality in background. At the public school, kids of all backgrounds could be interfacing and it just didn't give much social cohesion. Everyone had different goals. Some kids/parents wanted to just get to the next grade along with some babysitting - others wanted much more. Public school mostly is for handling the first people.
This sounds like a spoiled rich person talk: it's unimaginable how people manage to survive without a separate bedroom. And a private gardener, one should add.
A mere hundred years ago having a room per family was considered to be okay.
In USSR two generations living in the same one-bedroom apartment was a usual thing.
Somehow people managed to finish schools, go to universities and just do whatever normal people do.
Once you have a roof above your head, your living conditions are not shit pretty much by definition. We all got a bit too spoiled.
It's less of an argument and more of a question: what has changed so that a separate bedroom and PS5 are now deemed basic necessities?
I can't agree more. Spent 5 years in SF single. I went down to Colombia to explore a different culture. I was unsingle in less than a month.
The average "unlovable tech bro" in SF is considered a catch almost anywhere else.
Please see a therapist. whatever is going on in your headspace cannot be healthy
That said, all the best and I hope you find some way to manage your anger. Life is way too short to live like a pressure cooker
When I started working in 2014, I figured I would need to save around $150k for a down payment because the median home price in Santa Clara county was around $800k. Now the median price is around $1.4M [1], so I'd need around $250k.
The growth in home prices has roughly matched my ability to save for a home, so almost seven years later I'm not any closer than I was in 2014.
I feel like my options are (A) live in an apartment forever, (B) hellish commute, or (C) leave. With starting a family on the horizon, Option C looks better every day.
[1] https://www.bayareamarketreports.com/trend/santa-clara-home-...
And, as you pointed out, we would be in deep trouble if our income took a hit, or if housing prices tumble. If you buy into the high housing costs, you really need them to continue. It's a bad cycle.
Or you can transfer the property before February 16, 2021; see https://blog.yonathan.org/posts/2020-11-proposition-19-paren...
Instead, the NIMBYs and their passionate hatred for any change or growth led to a bottleneck in progress. New housing construction has been anemic at best, and Prop 13 has starved local budgets (especially schools).
So they took the economic/innovation powerhouse of tech and squandered it with absurd housing costs and an inability to pay civil servants adequately.
To all the SF locals who regularly pushed for these things, you reap what you sow, and all the damage to SF is on you.
Other places have and will continue to develop, and that's great! But the center of gravity is going to remain where you can get face time with investors.
"I think it's fair to say that Silicon Valley is dead." —Founder of Altavista, 1993
https://groups.google.com/g/alt.folklore.computers/c/bvE0Ka5...
(Link doesn't work on mobile)
The cost of housing and office space has spiraled out of control, thanks to the environmentalists and Prop 13.
The new world wealth basically funded a(nother) couple hundred years of war in Europe.
There's a big blurry zone between incompetence and ideological motivation when it comes to bad policy and squandering resources. If you and everyone around you have a moral compass the points toward invading Britain is it really incompetence to try and pull it off? If you and everyone around you have a moral compass that points towards banning apartment buildings and legalizing petty theft then is it really incompetence to try and pull it off? When you're competently trying to do stupid things it's not incompetence, it's just plain old bad values.
The further you are (in TZ distance) from an organization’s management, the less opportunities are available to you in that organization, because the degraded communication will make it impossible for you to fully participate in the decision-making process.
So I think that the most skilled tech workers over time will gravitate to areas which combine 1) high quality of living and 2) minimal timezone distance from management.
Our rent is 1/4 of what it was in the Bay Area for one more bedroom now. I do miss California a lot though; the weather, food, and culture are very hard to beat (although Asheville isn't too bad in this regard, but at perhaps 1/20 of the scale). Ironically, with the amount that I am able to save from not living there anymore, I plan to save up and buy a house somewhere in the Bay Area in 15-20 years. But this is assuming my income will remain at Silicon Valley levels. If companies change their mind about embracing remote work, it will drop quite a bit since we are definitely not moving back any time soon. Personally, I feel that I am more productive working remotely than in person, but I do miss all of the office perks.
For reference, can you give some numbers on this situation, such as average/high daily PM25? I've heard multiple people refer to the smoke as bad, but I'm wondering what it means exactly.
1) Many companies will realize that they can not only survive, but thrive with employees working from home.
2) Satellite internet will open up rural areas to be a viable place for people to live and WFH.
I speculate (and already see evidence) that there will be a shift for many office workers in congested cities to move to rural areas, for a simpler life, where it was not possible before due to both points above.
If this becomes true, I’m curious to see what becomes of both real estate scarcity and prices for large lots of land in rural areas, and the impacts of the economy in these originally less viable areas for people to live and work, as they’re currently only inhabited by people that can earn a living from things like farming.
I could be totally off, but this seems at least possible.
The language issue is real, though. It's probably better, I think, to accept that you can't speak the language, and to give yourself a break learning it. If you like it, and want to learn, and want to be able to deal with banks and mobile providers over the phone (extremely difficult without fluency, and computer translation tools won't help you!), then take a class, and take it slowly.
It's stressful enough to move overseas. My advice is not to add language on top of everything else you have to learn - you are lucky to speak English, so lean into that. (Many people will appreciate practicing their English with a native speaker, too - although some small minority will hate you for it.)
But yeah, don't do what I did and try to do everything at once. It's stressful, exhausting, and you never give yourself a chance to recover, mentally or emotionally, from the stress of learning. Be kind to yourself!
But yeah, total comp for devs seem to top out at around 100k, no matter where you are, and usually is more like 50k. (Evidence is anecdotal). Also, since the epicenter of the internet is still the SFBA they wonder why you are in Europe, when all of them want to move to the SFBA! I suspect this last one will start changing.
Plus, SV is used to "foreigners" and oddballs. Many other cities are not. As soon as you leave downtown, tradition-based evangelical influences take over. Rural areas are going to be that way no matter where you are in the US, but the intensity is generally more gradual in CA.
I recently sold my house and moved to Las Vegas. It was largely for quality of life and failed gov't policies which seem like they are only going to continue.
I moved from a 1800sqft family home to a 5000sqft fully furnished mansion for the same price. It's actually cheaper when you consider not having state income tax and having roommates brings the cost down even more. Granted I'm currently renting but plan on buying again within the next few years if I decide I like it here.
Once COVID-19 happened it seemed like remote work was going to become the new norm, even after the pandemic passes. I'm predicting downward home price pressure in the SF bay area and a slight increase in other metro areas where tech workers are migrating to (slightly in Vegas but much more so in Austin). I wanted to sell my home before that happened. I also think the suburbs further away from SF but commutable once or twice a week won't be hit as hard as people in SF will get homes still in the bay area but further out.
Within the last year I was seeing a rise of homelessness in my neighborhood. Been woken up in the middle of the night a few times from people yelling and fighting. That never was an issue 2-3 years ago. Local stores had been closing more and more with many prime locations remaining vacant for years. I'm predicting COVID/gov't lockdowns and the homeless situation will only accelerate that.
Politically the bay area is definitely an echo chamber. In Vegas, I have friends who are both extreme left and extreme right and we all get along fine. In the bay area it felt like everyone was far left and anyone moderate or to the right remained silent for fear of being attacked or retaliated against. "Tolerance" and "diversity" seemed like they were in name only, at least when it comes to politics.
The high taxes was definitely a strong motivation for moving as well. Remote jobs don't pay as well and I think over time there will be downward pressure on tech salaries as workers become more spread out but in terms of compensation compared to standard of living I think it is an improvement.
Everything also feels modern and clean compared to the bay area. Roads are maintained, dramatically less traffic, parking is easy to find (especially problematic for those who have a truck in the bay area), utility rates and internet are cheaper. Stores and restaurants are open later. The bay area, especially SF seemed really cramped and kind of grungy in comparison.
It will be interesting to see what happens after the pandemic but my thinking is that there will still be an exodus due to remote work still being common place and accepted.
Socially I was able to make friends and network extremely fast. That might be a Vegas thing specifically though.
After a few months now I have no regrets and am very happy with how things are turning out.
Many articles on many subjects began with the writer observing a few people doing something and turn it into trend spotting.
It's interesting how quickly the conventional wisdom shifted from "You have to be in the Bay Area if you want to do X!" to it not mattering.
I don't think people really want leave San Francisco and the few unlucky ones that do will pay even more rent when they come back as soon as things start booming again.
- The "Tech Elite" who are leaving are, by definition, the ones who have the financial freedom to go pretty much wherever they want. Anyone mentioned in this article could buy a house in Miami/Austin/Denver without worrying about any transaction costs if they turn around and sell it in 6 months.
- SF (and California in general) are being much more aggressive with anti-COVID policies.
- The cities that are being focused on (Miami and Austin) are overall pretending that COVID isn't a thing (I live in Austin, and this is my experience).
- Well-off individuals currently under lock-down are looking at people living "freely" in Florida/Texas and are jealous, because they think that the SF-lockdown rules shouldn't apply to them, because they are less at risk (this is a discussion for another day)
- They've now set themselves up with a plausible "I moved out of California. My reason was COVID." story to try to avoid paying California state taxes in the future, even if they still end up being back in SF the majority of the time for their business.
tldr; the "elites" leaving are moving for short-term quality-of-life improvements due to COVID, and will have no issue turning around and moving back in 6-12 months when SF is "open for business" again.
Update: I have seen the shift in Austin from watching stories/tweets/social-media of people who have been moving from SF -> Austin. I was excited at first of the prospect of Austin become a much larger tech city, but am now noticing that the overwhelming majority of this content (although I could easily be seeing a biased sample, of course) is that the vocal group of "I moved from SF to Austin" is the same group that is extremely excited to go out to restaurants and public events again.
I stated that it seems clear that these people are moving way from temporary restrictions (by relocating to places that do not have the same restrictions), and that there is no guarantee that any of these will be 'permanent' moves after those restrictions are no longer applicable.
Moving is much less of a big deal when your primary residence is a minuscule portion of your net worth and you are almost definitely paying someone else to handle all of the logistics of a move.
The cost of living in the Bay Area reflects extremely high demand for living there. Other than some people becoming more comfortable with remote work, what will have changed when the pandemic ends?
You can't visit SF and not see that it's a special place. An amazingly dynamic, exciting city filled with creativity, culture, beauty, resources (including two elite universities and many others), natural resources, etc. People LOVE San Francisco (and many other cities).
Cities in general are well-documented and researched as the great economic and cultural engines of our societies. It's not hard to see why or how that would be. We all knew it well; then suddenly it became trendy to forget it.
We know well the subtext of the new anti-urbanism: Reactionary politics. The reactionaries in the US (primarily the Republican Party and sympathizers) have been trying to denigrate cities for many years because, despite the facts on their success, cities are strongly liberal, ethnically diverse, and pro-Democratic. As an example, Trump tried to make it the focus of his campaign over the summer and a/the major focus of the Republican convention, though that fizzled.
Taxes are bad (by definition!), liberalism is bad, protestors are bad, college education is bad, homeless people are bad ... it's a highly conservative perspective - conservative as in, 'protect existing interests' - rather one that reflects a belief in progress, knowledge, change, and in the potential in every person (not just the wealthy ones) to do great things. Cities are inherently optimistic and reactionaryism is inherently pessimistic - why choose the latter, other than that is where the social herd is running? How will that turn out?
The IT industry didn't discover remote work in the last year; it might have been forced on reluctant managers in some industries, but we knew it very well. Companies tried it years ago, and then walked it back (I remember them telling employees they had to come back to the office). Nothing replaces the dynamism of meeting people in the hallway, seeing people face-to-face, etc. Remember everything SV companies invested to keep their employees at work and having fun? Now they think it's the same if they are home and isolated from each other?
Bubbles in finance are about ideas, not money. People feel compelled by the normalization of a social tide. If you think you're too smart for it, you are a prime target.
Well, it starts with the fact that he's only got one hammer, and that hammer is to give the white kid from Stanford $10 million, and then backup that investment by subsidizing losses in a race to monopoly. If and when it works, Rabois then takes the credit. But this is a problem that he can't solve, certainly not in the way he solves things, and even if he did, it would run up against the libertarian fantasies that infuse every tweet he writes. As opposed to admitting failure and admitting that his narrow-range expertise doesn't apply to everything, he runs to Miami instead, proving that he's simply a rent-seeker fraud there to sap the area of its resources until the resources are dry, complaining the entire time about how unfairly he's been treated in that he hasn't been getting his ass kissed in the manner in which he's become familiar.