2007 Silicon Valley Projections - Silicon Valley Leadership Group

Silicon Valley Industry Overview
Silicon Valley Market Dynamics
Key market dynamics for Silicon Valley are anticipated to continue
to reflect the innovation focus of the area, including a
highly compensated workforce and the availability of venture
capital. Median household income in the Valley continues to
significantly exceed that of competing metro areas. Further,
venture capital investments in the Valley have continued to
be four times that of the closest competing metro area and
commonly approach the aggregate investment levels of
all competing metro areas combined. However, global competition
for skills, cost of living, limited housing stock, and
erosion in the region’s quality of life will have an impact on
the Valley. Population and civilian labor force growth are
expected to lag lower-cost areas of the country, especially in
the South and Southeast. An additional limitation to future
competitiveness is the relatively low number of housing units
in relation to the number of households. Additional housing
stock within a reasonable commute of employment centers
within the Valley will be key to attracting and retaining
talent within the region.
2005 Median Income Population
, Association of Bay Area Governments (ABAG).
Consulting LLP.
Consulting LLP.
Venture Capital Investment by Region, 2003-2005
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