I'll admit that was kind of shocking. Silicon Valley is still the gold standard for technology development. Though the magazine's survey was not technology-specific, some of the state's shortcomings hit technology in the heart.
Each year, the evidence that businesses are leaving California or avoid locating there because of the high cost of doing business due to excessive state taxes and stringent regulations grows... According to Spectrum Locations Consultants, 254 California companies moved some or all of their work and jobs out of state in 2011, an increase of 26 percent over the previous year and five times as many as in 2009.
"Texas, by contrast, has been welcoming companies and entrepreneurs, particularly in the high-tech arena," J.P. Donlon, editor-in-chief of Chief Executive magazine and ChiefExecutive.net, said in a press release. "Local economic development corporations, as well as the state Texas Enterprise Fund, are providing attractive incentives. This, along with the relaxed regulatory environment and supportive State Department of Commerce, adds up to a favorable climate for business."
Florida, North Carolina, Tennessee, and Indiana rounded out the top five. New York, Illinois, Massachusetts, and Michigan joined California at the bottom of the list.
Who's wrong? We could argue that California is wrong becuase it adds costs to businesses, and they decide to move to other states but isn't Texas wrong as well if it decided to not take into account some needed regulation?
The survey does not surprise me. Silicon Valley is a dynamic and vibrant place but the cost of living there is really starting to put people off. Facebook flooding the market now with 1000+ millionaires and and handful of billionaires is not going to help the common worker eek out a decent place to live and work.
Well, I agree with CA's rank and how it is a surprise; at the end I really think that the phenomenon you have reported could bring benefits also for the Valley. It represents something similar to a competition that usual allows a step forward for all players in the segment, it doesn't matter the region.
California has already have enough of it. It's just a normal scenario for any state to actually have fair amount of regulations. And it's always better for companies also not to depend on single location. Having businesses distributed across different places creates a fair prices in real estate and in general other services like food and transport.
I agree that it is good trend that tech and business in general is migrating. But I am surprised to see CA so far down on the list. The state has been struggling with its internal budgetary problems, but I didn't realize it had taken its eye so far off the ball. Like the old Bell Labs, Research Triangle Park and other tech hubs, maybe the Valley's day has come and gone. I hope not--I still have fantasies about moving there some day...
Article from Barbara is very fascinating, I've done a few investigations on funds and investors' trend in the region, it's fantastic; according to SiliconHills (maybe we were accustomed to hear "SiliconValley), there is a blast of ventures really active.
This is a good point in my opinion; it should be very interesting in trying to scout some hits on how and where angels investors are moving as well to other places or it is only a matter of technology and production.
Interesting. California has been overrated as the center for technology companies for quite a long time. Maybe it's about time companies started looking for other locations. It's also surprising New York is so down on the list.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.