The San Francisco Bay Area, The famous U.S. tech hub (silicon valley’s nickname), is on a wave of “big flight” due to the new coronavirus outbreak, with the loss of senior tech talent. Interestingly, research shows that San Jose, located in the southern suburbs of the Bay Area, is one of the best destinations the tech elite wants.
According to U.S. media reports, data analytics firm Moody’s found that San Jose, about 50 miles south of the San Francisco Bay Area, is one of the most popular “escape destinations” for tech talent. Moody’s analyzed 100 well-educated and widely distributed metropolitan areas in the U.S., including Durham and Raleigh in North Carolina, Salt Lake City and Boise, Idaho, in addition to San Jose. Not surprisingly, these areas are not part of the “first-tier cities”.
The reason for this is that many Silicon Valley tech talent is rethinking the cost of living and health security, given the high cost of living in cities and the health risks posed by the outbreak, as more and more tech companies announce home-based policies during the outbreak.
According to the Mercury News, Moody’s researchers believe that areas with low population density and mature technology industries could benefit from the exodus of densely populated cities such as San Francisco and Los Angeles.
San Francisco covers 49 square miles and is home to about 881,000 inhabitants, while San Jose has 180 square miles and more than 1 million inhabitants. San Francisco has a population density of 17,000 inhabitants per square mile, compared with 5,300 in San Jose, the Mercury News reported.
Notably, the problems plaguing San Francisco, such as a housing shortage and rising living costs, now exist in San Jose.
San Francisco is a city perfect for walking and cycling in the eyes of techno-tech people. San Jose is more like a suburb and more convenient for using cars.
“Everyone thinks Silicon Valley is a region of hope,” Adam Cummings, the study’s author, told Forbes. But the crowded tech park and densely populated San Francisco stand in stark contrast. “
Notably, surveys show that many tech workers even want to leave the San Francisco Bay Area altogether. According to U.S. media reports, the social networking site Blind surveyed thousands of technicians in the area, two-thirds of whom said they would consider leaving the Bay Area if employers allowed them to work remotely for long periods of time.
Overall, before the outbreak, most employees of U.S. technology companies were tired of living in expensive areas, and large numbers of employees began to travel to lower-cost cities, including Austin, Texas.
According to Forbes, fast-growing cities with emerging technology hubs are also likely to benefit from this wave of “great escapes”.