Feb 19, 2021 11:09 PM EST
New data show little proof that there is a Silicon Valley exodus, as previously reported. Instead, something much more sinister seems to be happening.
It appears that record-breaking investment in startups and booming market caps for Big Tech are being witnessed as the region's poor residents massively suffers from the relentless economic effects of the COVID-19 pandemic, as reported by Market Watch.
Despite reports of an alleged exodus, Silicon Valley is still the tech capital of the world. This might because the exodus is not even real. New data revealed there had been continuous investment in the industry in 2020 and no overall declines in jobs and population in the region, at all.
Instead, it appears that only rich executives and investors like Elon Musk and companies like Oracle Corp. ORCL, -1.51% and Hewlett Packard Enterprise Corp, are the ones leaving.
Their action may have have raised questions about the future of California's tech powerhouse, but an annual report out this week revealed no such trend.
"I think we can all calm down," Rachel Massaro, Joint Venture's director of research, explained in a news briefing regarding the index.
"We're a place of innovation. We're a place that houses these impactful companies. We have not seen any significant losses among them," he added.
READ MORE: Remote Work Setups Cause Higher Tax Fees, Experts Show
Rather, the major effect of the COVID-19 pandemic on the San Francisco Bay Area in 2020 was the widening of the divide between the wealthy and the poor, thanks to all the money still flowing in - but only to very selected few. The poorer communities, the ones ravaged by the pandemic, found no wealth has been trickling down to them at all.
"Today, we must frankly admit that the pandemic has made the rich richer while the poor are dying," said Russell Hancock, chief executive of Joint Venture Silicon Valley. Many have lost their jobs and no longer know what to do next.
"The pandemic wiped out our service sector and in-person economy," Hancock revealed. "There's real carnage out there. People have lost their livelihoods," he added.
Record-breaking venture capital investment has been made in Bay Area startups all this time, apart from radically growing market capitalizations for public tech companies. Some standard-setting initial public offerings have also been witnessed already. This creates a false illusion that the Bay Area is not affected by the pandemic, but this is not true too, exodus or not.
Even though an overall out-migration was noticed in San Francisco, most of those who left the most prominent city in the region last year stayed in the state, based on the data provided by the U.S. Postal Service.
Hancock added that Silicon Valley is a "Tale of two cities," given two different scenarios seem to be playing out because of the COVID-19.
READ MORE: Roku Ends 2020 with 58% Jump-- And You're the Reason Why
And the world of NFTs expands far beyond art and collectibles. A new era of tokenized digital assets is being created using the blockchain. Here are seven unique NFT use cases that the interested investor should know.
However, there are some simple steps that anyone can take which will help to improve their performance when it comes to trading foreign exchange markets. Here are ten small things that can make a big difference in your FX trading success.
o prevent significant losses, risk management expertise is essential. His adage, "Rule No. 1: Never lose money," has become a stock market classic. Never forget Rule No. 1; this is Rule No. 2. This practice is followed by even the most successful investor, Warren Buffett, who advises others to follow suit.
One of the significant advancements is shifting the payment operations for remote workers. If the compliances are not met, it may lead to severe legal complications. The owner and organization may be held labially separately. The remote working lifestyle continuously grows and is a testament to becoming an endless working mode. Today we discuss components for payroll for remote workers
BRG International Founder Matias Alem had recognized this fact for a few years. So he remodeled his real estate brokerage into something completely new to solve the problem for his jet-setting international client base.
Ryan Early, hailed as 'Farmer Ryan' among sustainable agriculture experts, is a busy man. He has a laundry list of companies to his name, including Blue-Green Ventures, the company behind the revolutionary product, Blue MagicTM, a non-toxic and eco-sustainable pest preventative product using his patented BiomeMax TM Pheromonal Replication Technology.
Investor, financier, and expert in both cryptocurrencies and blockchain technology, Joy Mbanugo is the go-to in the sector. She has vast experience and knowledge across tax services, auditing, business operations, financial analysis, capital markets, and other specializations.
When Nick Collins was just 14 years old, he started his first business, which included around-the-clock phone calls and numerous questions from his parents. In fact, he began building his stout portfolio in the seventh grade by doing web design, incorporating creative content with brand strategies and plugging in a then-fledgling tech Flash.
Barry Gabster is the founder of InitiateU and is a leading proponent of the marketing mailer revolution, having already taken his company to 10x growth in 2021, alone. In fact, the exponential growth has seen the company rise from $800K-$8.5M just on word-of-mouth referrals.