How totally absurd.
Why do people still want to build businesses in the US or in Silicon Valley? California taxes are already punishingly high, especially after recent rate increases and the 2017 cap on SALT deductions. And now we have a Machiavellian, authoritarian, fascist, tech-illiterate administration interfering with the operation of free markets.
I'm speaking rhetorically, of course. I know Silicon Valley still has the densest concentration of talent and venture capital. The network effects are real. But it is long past time for that to change. I hope entrepreneurs around the the world see this and think twice before moving to the US or starting a business there.
Perhaps they will. I used to work in Silicon Valley and was very much in demand. Now I run my own business from a tax-free state, and my income is high enough that moving back to California would impose a huge financial penalty. I am originally from Europe, and California's marginal tax rate is now so high that I would pay less tax back home. When I moved to the US, the opposite was true.
I'm sure I'm not the only one doing that calculation.
What's the alternative to the us and silicon Valley? Companies were trying to make Austin happen and that was a failure. Now one talks about that anymore.
Within the US, I would say New York, but the taxes are of course no better there than California. Both FL and TX are still growing fast in population (not sure about Austin or tech specifically though) while CA is experiencing net outflows.
Outside of the US, London (+5.4% annual growth in 2026) is probably the biggest concentration, with high quality inexpensive talent available from universities both within London (ICL, UCL, King's etc.) and from the nearby Oxford and Cambridge universities. Much of that talent used to flow to the US, but given the current administration and restrictions on H-1B, may now be more likely to stay in the UK.
Singapore (+26.7%) is growing very fast and is now in the top 10.
Source: https://www.startupblink.com/blog/best-cities-for-startups-a...