As corporate tech titans exit California, there s worry the exodus will pick up speed
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FILE - This June 26, 2007 file photo shows the exterior of Oracle Corp. headquarters in Redwood City, Calif. Tech giant Oracle Corp. said Friday, Dec. 11, 2020 it will move its headquarters from Silicon Valley to Austin, Texas, and let many employees choose their office locations and decide whether to work from home. (AP Photo/Paul Sakuma, File)Paul Sakuma/Associated Press
Business leaders fear tech giant Oracle’s recent announcement that it is leaving the Bay Area for Austin, Texas, will lead to more exits unless some fundamental political and economic changes are made to keep the region attractive and competitive.
Are Texas and Florida the new California and New York? HANNIBAL HANSCHKE/Getty Images
Texas and Florida are challenging California and New York, but will they replace them?
Tech elites from Silicon Valley have been flocking to Texas, mirroring Big Apple financiers on the East Coast fleeing to Florida.
They re all seeking warm weather, affordability, and low taxes as they leave behind a higher cost of living.
Texas and Florida may never truly displace California and New York, but the rivalry is real, positioning the Southern states as true power players.
Sunnier locales, lower taxes, and a more affordable cost of living. California s tech elite and New York s financiers are in pursuit of all three, and they ve found that trifecta in Texas and Florida.
It’s hard to say the word “innovation” and not think of California. Technology has paced the state’s growth in everything from agriculture and oil to housing, entertainment, and aerospace. California has always been the harbinger of the American future, the promise of ever-greater economic and social progress.
Yet increasingly, many of today’s innovators are fleeing the state. This past week, one half of the company arguably most symbolic of tech development in the state Hewlett Packard Enterprises one part of the now broken-up old Hewlett Packard and focused on lucrative areas like cloud computing and IT infrastructure decided to leave for Houston. Within a week Elon Musk, the latest in the line of truly transformative California tech entrepreneurs, also announced that he would move to Texas, along with Oracle, a Fortune 100 company and global leader in database management. Other recent departures also include more traditional firms as Charles Schwab, McKesson, Bechtel, P
The COVID-19 pandemic is likely to come to an end in 2021, but that doesn’t mean New York City’s biggest employers the megabanks and Wall Street firms are rushing to return to the Big Apple.
FOX Business has learned that even with a vaccine that could allow city employers to filter all their workers back into Manhattan offices by late spring, every major Wall Street firm is drawing up plans to significantly slash its presence in the city for the foreseeable future.
The diminished workforce is a function of several factors, bankers and Wall Street lobbyists tell FOX Business. Those factors include the now proven ability to work outside the office – which in low-cost states like Florida and Texas could slash already high Manhattan real estate costs.
Technology and Innovation
It’s hard to say the word “innovation” and not think of California. Technology has paced the state’s growth in everything from agriculture and oil to housing, entertainment, and aerospace. California has always been the harbinger of the American future, the promise of ever-greater economic and social progress.
Yet increasingly, many of today’s innovators are fleeing the state. This past week, one half of the company arguably most symbolic of tech development in the state Hewlett Packard Enterprises one part of the now broken-up old Hewlett Packard and focused on lucrative areas like cloud computing and IT infrastructure decided to leave for Houston. Within a week Elon Musk, the latest in the line of truly transformative California tech entrepreneurs, also announced that he would move to Texas, along with Oracle, a Fortune 100 company and global leader in database management. Other recent departures also include more traditional firms as Charles S