According to the 2010 Index of Silicon Valley (pdf), Silicon Valley is still struggling to recover from the recession — and, unfortunately, is likely to face more struggle:
Between November 2008 and November 2009, employment in Santa Clara and San Mateo Counties dropped 6.1 percent, compared to 3.8 percent nationally. Silicon Valley lost 90,000 jobs between the second quarter of 2008 and 2009, bringing total employment down to 2005 levels.
The reading is bleak. Real estate values dropped an astonishing 39% in 2009, with more than a third of home sales in some areas being foreclosures. What’s more, a reduced foreign talent pool, legislative paralysis and reduced investment are risking the standing of Silicon Valley as the world’s IT powerhouse.
But perhaps this is more of a change than a catastrophe. Will the result be a less concentrated approach to high tech? Will we start leaning more towards virtual workforces?
Tell us what you think!