High af cost of living and they have to pay 50% more TC, so why do these idiots all open offices there?
Don't give me the "there's access to talent there" bullshit since 99% of SV nerds weren't born there. Makes 0 sense to me.
- We’re talking about a hypothetical situation where companies actually try to solve the problem (Apple to Stockton, Google to Gilroy, Facebook to Santa Rosa, etc.). If we’re not spreading people out in our hypothetical (which solves the biggest problem of the Bay Area) then it’s pointless to debate anything.
Sure, if Apple moved to Stockton, inevitably others would follow, but I don’t think people in the Bay Area realize how packed in things are there. It shouldn’t ever take you 1.5 hours to go 7 miles between work and home. Ever!
But I agree with the OP - well established companies should get out of the Bay Area entirely. There’s nothing special for them there anymore, other than being a nice place for the 1% of their company to live.Jan 103
- Uber / EngDgoQ22Precisely because all the talents move here. I was offered a job at seattle for amazon but declined it because no way I am moving there. At places like Seattle you are at the mercy of a few tech companies. In Silicon Valley, you can just walk a block down and find another job your current one don’t work out. So yes, it’s precisely a talent issues.
- Facebook / EngBmSC45moreHuh what? If you’re in another city and want to switch jobs, just take a flight for the interview. They usually pay for it anyways.
Paying more taxes and high living costs for an area consisting of a garbage filled city, rapidly losing talent, and consisting of a homogenous culture is by all accounts unintelligent.Jan 102
- Intel (⌐■_■)Intel did this in the 80s and 90s by opening up Folsom CA, Hillsboro OR, and Chandler AZ sites. Each of these sites are as big or in the case of Hillsboro, much bigger than the original Santa Clara campus. Also, the crown jewels -- big core chip architecture -- is the domain of the Israel Design Center, which also is bigger than Santa Clara. Most low cost/mature stuff is handled in Bangalore. So Intel, one of the reasons why Silicon Valley is named as such, is not really a Silicon Valley company anymore. Part of the reason was to save on the labor cost and to lock down talent in those low cost of living (LCOL) places. Basically once a person puts down roots and starts a family in those places, they find it hard to move since there are no other well paying companies to jump to. To this day, only Santa Clara and Boston (I think) gets a "geo adjustment" salary adder to your base salary that is indexed to your grade (it tapers off as you get more senior, like at grade 9). Similarly, you see a demographic shift around the early 90s to where Intel Santa Clara has become majority Indian because of the reliance on more H1Bs, another way to lock down people and discourage them from job hopping. So now Santa Clara is like 70-80% Indian. Cisco and eBay nearby also have similar demographics.
Intel does this so they don't have to pay above average market rate, but this strategy of avoiding paying for the best talent has contributed to Intel decline in technological prowess -- see our 10nm, mobile, and other failures. I personally know PhDs who worked on fab tech in OR who just studied ML and data science on the side to GTFO to FANG. It's gotten to the point where even some kids from our feeder schools (SJSU, ASU -- not exactly world class institutions) have been turning down offers to work at Intel Santa Clara because the pay isn't competitive.
Recently companies like Apple and Nvidia having been also opening up shops in nearby LCOL and many Intel vets with transferrable skills have been leaving to greener pastures.
- New DongZillaBecause the talent is here.
I wish I could leave this shit California state and keep my SF salary. The taxes are way too high and a lot of Government fiscal waste.
- First of all it is not 50% more TC, second of all the people they want to hire may go to a competitor instead of moving to Austin or Seattle to save a few bucks.
My family is here and I bought my house 20 years ago. Why should I leave for a company who couldn't afford to stay here?
- Facebook djdkslwhxA lot of these answers ignore what I see as a huge factor, access to VC funding