Quote:
Originally Posted by RST500
How much of these trends are dependent upon the growth of the tech industry taking into account another tech bubble crash or companies relocating to more affordable regions.
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The "tech bubble crash" was really a "dot-com" crash and a crash in companies that were building excessive dark fiber lines to nowhere. It took over a decade for much of the dark fiber to be lighted up on account of demand and the under-capitalized/money-losing dot-coms went bust.
But most tech hardware firms are profitable and survived and those are what Sillicon Valley is all about (San Francisco's South of Market neighborhood, on the other hand was and is all about software and it was decimated though now it's more about SAAS which is mostly also profitable; in the case of companies like Salesforce, highly profitable). Genrally speaking, tech hardware used all over the world is designed in Silicon Valley and built in Asia (as the labels often say).
No large tech companies have left Silicon Valley or San Francisco. Some start-ups and small unprofitable firms have and those have been promptly replaced by new entrepreneurialism, of which the area is a premier hotbed. Many large companies have, however, expanded to other tech hotbed cities (including downtown San Francisco).
The principle impact on demographics and real estate of all this has been that in the wake of the dot-com crash a lot of young, recently graduated coders--Americans mostly--did leave South of Market and the value of lofts in that neighborhood plummeted by maybe a third. It bounced back in 3 or 4 years though as new businesses replaced the old. Meanwhile, new immigration has kept the percentages of Asians in the Bay Area rising.
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