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Why Silicon Valley Companies Are Moving to Texas [And Florida as well]
Investopedia ^ | 12/20/2020 | Jean Folger

Posted on 12/20/2020 8:53:40 PM PST by SeekAndFind

Key Takeaways

A Tech Exodus

An impossible housing market, high tax rates, and strict regulations have made it challenging to live, work, and do business in Silicon Valley. And now, as companies are finding success with work-from-home models during the COVID-19 pandemic, many CEOs are opting to leave California in search of lower real estate prices, better tax laws, and fewer restrictions.

Where Are the Tech Companies Going?

One state that has gained ground as a tech hub is Texas. Industry leaders such as Advanced Micro Devices and Dell already have an Austin—aka “Silicon Hills”—presence.  As of November, 35 companies had relocated to or opened new facilities in the Austin area in 2020 alone, according to data from the Austin Chamber of Commerce.

Austin has many qualities that make it an attractive option. “There are a lot of things about this community—it’s got a great local flavor, a great music scene, it’s an outdoors city,” said Laura Huffman, president and CEO of the Austin Chamber, as reported by CNN Business. “That’s where people want to be. I think 2020 has taught us all that we have more choice when it comes to where we live.”

Which Companies Are Leaving?

Here’s a rundown of some of the large tech companies that in 2020 have announced plans to leave the Bay Area for Texas.

Some CEOs are moving to Texas, too, as reported by TheInformation.com, a website that covers the technology industry.

Florida Is Another Option for Tech Firms and CEOs

Florida—with its sunshine, affordable real estate, and low tax rates—is also growing as a tech and startup hub. Reddit co-founder Alexis Ohanian moved from San Francisco to Florida several years ago. What's more, New York–based Goldman Sachs is considering moving some of its operations to Miami, according to the New York Times.

According to TheNextMiami.com, three tech investors have announced their moves to Miami. David Blumberg, founder and managing partner of the venture capital firm Blumberg Capital; Keith Rabois, a general partner at Founders Fund and a former executive at PayPal and LinkedIn; and Jon Oringer, a former New York resident who is the founder and executive chairman of Shutterstock. Oringer recently bought a $42 million house in Miami.

The Bottom Line

Silicon Valley—and its numerous tech firms—have attracted talent for decades. Now, though, exorbitant housing costs, high taxes, and strict regulations have made it a challenging place to live, work, and do business. A silver lining of the COVID-19 pandemic is that many firms have successfully implemented work-from-home strategies. Moving forward, this will give companies and employees alike more flexibility over where and how to work.


TOPICS: Business/Economy; Computers/Internet; Society
KEYWORDS: 2022election; 2024election; bigtech; california; democratmigration; economy; migration; siliconvalley; texas
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1 posted on 12/20/2020 8:53:40 PM PST by SeekAndFind
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To: SeekAndFind

Bookmark


2 posted on 12/20/2020 8:57:46 PM PST by aquila48 (Do not let them make you care! Guilting you is how they control you. )
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To: SeekAndFind

Texas is a much better choice than Florida, Tennessee also is a no tax state and has 4 seasons and wonderful biscuits and gravy.


3 posted on 12/20/2020 8:59:22 PM PST by Rembrandt (-a sure sign a Dem is lying - his lips are moving.)
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To: SeekAndFind

So Texas and Florida will be overrun with H1B Indians and all the filth they bring?


4 posted on 12/20/2020 9:01:47 PM PST by Starcitizen (Thank you to the Senate for passing S.386, turning the US into the third-world shithole of India. )
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To: SeekAndFind

My impression is that this is mostly GOP CEO’s finally putting up the white flag re CA’s costly impositions.


5 posted on 12/20/2020 9:02:06 PM PST by Zhang Fei (My dad had a Delta 88. That was a car. It was like driving your living room.)
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To: SeekAndFind

“Why Silicon Valley Companies Are Moving to Texas [And Florida as well]”

To win electoral votes. This is the final FU from Big Tech.

They have in tow tens of thousands of new progressive voters who will be re-locating at their behest.


6 posted on 12/20/2020 9:02:31 PM PST by ProgressingAmerica (Public meetings are superior to newspapers)
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To: Starcitizen
So Texas and Florida will be overrun with H1B Indians and all the filth they bring?

We are overrun here with Indians, already, my neighborhood is mostly Indian.

7 posted on 12/20/2020 9:03:36 PM PST by dfwgator (Endut! Hoch Hech!)
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To: SeekAndFind

I hope Texas isn’t cutting these companies sweetheart tax deals to lure them in. Some day, it’s always time to pay the piper and they’ll move on to the next idiot state willing to burden their future citizenry with excess taxes.


8 posted on 12/20/2020 9:09:14 PM PST by vpintheak (Live free, or die!)
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To: SeekAndFind

Problem is that these big tech companies are moving from California to the most liberal large city between San Francisco and Boston.


9 posted on 12/20/2020 9:09:22 PM PST by Meatspace
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To: Rembrandt

and some of the nicest people I’ve ever met. I had a customer in eastern Tenn and enjoyed my visits there.


10 posted on 12/20/2020 9:09:49 PM PST by llevrok (Mayberry was a CIA front.)
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To: SeekAndFind

Oh, great. They’ll flip both states to the rats.


11 posted on 12/20/2020 9:11:07 PM PST by piasa (Attitude adjustments offered here free of charge)
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To: SeekAndFind

Why?

Because they screwed up California supporting socialism until they can’’t afford the taxes and since TX doesn’t have a state income tax yet they will move there and screw it up as well.


12 posted on 12/20/2020 9:23:59 PM PST by ImpBill (The GOP is worthless. But that is nothing new!)
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To: Zhang Fei

Unfortunately, they’ll bring their policies and liberal voters with them.


13 posted on 12/20/2020 9:38:33 PM PST by tbw2
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To: tbw2

If they like liberal policies why would they not stay in CA?
TX & FL is full of red necks.

My daughter & her husband both work in silicon valley and love the mild climate year round there. TX & FL are hot & muggy 10 months in the year.


14 posted on 12/20/2020 9:53:01 PM PST by entropy12 (Those who vote decide nothing, those who count votes decide everything--Joseph Stalin)
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To: dfwgator

Are you in Dallas area?


15 posted on 12/20/2020 9:54:49 PM PST by entropy12 (Those who vote decide nothing, those who count votes decide everything--Joseph Stalin)
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To: SeekAndFind

Texas at least has decent schools in the larger metros. Florida does not.


16 posted on 12/20/2020 10:05:52 PM PST by Clemenza
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To: SeekAndFind

Enjoy the Asian and white liberal Democrat transplants from Cali Texas Freepers! 😂


17 posted on 12/20/2020 10:06:41 PM PST by Clemenza
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To: Starcitizen

Austin ?? Hmmmm they had a big Cyber Hacking there last Week so hurry they might need some Tech help . NOT


18 posted on 12/20/2020 10:08:31 PM PST by easternsky
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To: entropy12
Climate in Austin isn’t as bad as the open air Schvitz that is Houston. Texas urban areas are multiethnic and far from red neck.

As for Flori-duh, you’d be hard pressed to find a southern accent anywhere south of Daytona. I knew more folks (like me) from NY than who were actually born there when I was in high school in Boca Raton from 91-94.

19 posted on 12/20/2020 10:09:44 PM PST by Clemenza
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To: Starcitizen

Never forget the filthy H1-B Indians are here because the natural born citizens in congress passed the laws to make it possible. And who hires those H1-B workers? American companies.
Point is never blame the beggar for accepting a large gift. It is always the gift giver in charge.


20 posted on 12/20/2020 10:18:20 PM PST by entropy12 (Those who vote decide nothing, those who count votes decide everything--Joseph Stalin)
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