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May want to join the crowd. Tech is the present and the future.
Of corporate overlords taking over cities and making them prohibitively expensive for normal people to live in? No thanks. Bezos and Musk are embarrassments.
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"Worship the Earth, Worship Love, not Imaginary Gods"
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Location: Houston, TX/Detroit, MI
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Quote:
Originally Posted by Gaylord_Focker
Layoffs are happening now. I know it stings non-tech cities, but I don't think the top 4 being tech heavy is any coincidence.
May want to join the crowd. Tech is the present and the future.
And all four have been on fire for 20+ years? Tech is the future, not oil and gas or manufacturing.
That is a very broad sweeping generalization. Without energy and manufacturing or other sectors of the economy, tech would have no way to make money. Tech does not exist in a vacuum on its own. It needs other industries to work with.
And yes tech has bust before and will bust again. The layoffs happening now are not all that is coming. I don't worry about Austin and Seattle as much but I do worry about the Bay Area.
I work in the airline industry and when we look at the markets lagging from 2019, the Bay Area and DC are the most behind. DC because more of government work and the Bay because Tech has embraced WFH more than any other industry. There is a byproduct of remote work: you need fewer people to employ. That is a huge reason why tech is laying off.
Layoffs are happening now. I know it stings non-tech cities, but I don't think the top 4 being tech heavy is any coincidence.
May want to join the crowd. Tech is the present and the future.
And all four have been on fire for 20+ years? Tech is the future, not oil and gas or manufacturing.
Lay offs are happening now but the data we have isn't reflecting that yet. Last years numbers won't be released until the end of the year. So extrapolating on numbers we don't even have yet may not be the most accurate
Layoffs are happening now. I know it stings non-tech cities, but I don't think the top 4 being tech heavy is any coincidence.
May want to join the crowd. Tech is the present and the future.
And all four have been on fire for 20+ years? Tech is the future, not oil and gas or manufacturing.
Furthermore, layoffs don't actually affect GDP negatively, if anything they are sign of efficiency if we're being honest. That sound harsh, but it's true. Also, some cities GDP growth is the natural affect of services needed due to rampant population growth rather than meaningful growth in business sectors. The Bay Area's population has been growing stagnantly for decades but the GDP has soared.
I work in the airline industry and when we look at the markets lagging from 2019, the Bay Area and DC are the most behind. DC because more of government work and the Bay because Tech has embraced WFH more than any other industry. There is a byproduct of remote work: you need fewer people to employ. That is a huge reason why tech is laying off.
Eh, not really. Big tech is laying off mainly because their revenues were inflated during the pandemic when everyone was stuck at home, and they then went on mass hiring sprees based on that inflated revenue. Now that the pandemic has settled that revenue surge has rescinded and many companies found themselves rather bloated from a staffing perspective. There is definitely an element of "everyone's doing" and it is a convenient time for execs to perform a controlled burn.
I do think 2023 will be a little slower as things continue to stabilize, but I don't see core fundamentals much different than pre-pandemic; it's the 2020-2022 period that was an outlier with everyone at home glued to their screens.
In some ways it will be exciting to watch big tech scale back a little as we will probably see more talent filter back into startups.
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"Worship the Earth, Worship Love, not Imaginary Gods"
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Location: Houston, TX/Detroit, MI
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Quote:
Originally Posted by 18Montclair
Furthermore, layoffs don't actually affect GDP negatively, if anything they are sign of efficiency if we're being honest. That sound harsh, but it's true. Also, some cities GDP growth is the natural affect of services needed due to rampant population growth rather than meaningful growth in business sectors. The Bay Area's population has been growing stagnantly for decades but the GDP has soared.
This is a pretty big reason why I don't put much stock in GDP numbers or number of F500 companies in a metro area for that matter.
Status:
"Worship the Earth, Worship Love, not Imaginary Gods"
(set 1 day ago)
Location: Houston, TX/Detroit, MI
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Quote:
Originally Posted by whereiend
Eh, not really. Big tech is laying off mainly because their revenues were inflated during the pandemic when everyone was stuck at home, and they then went on mass hiring sprees based on that inflated revenue. Now that the pandemic has settled that revenue surge has rescinded and many companies found themselves rather bloated from a staffing perspective. There is definitely an element of "everyone's doing" and it is a convenient time for execs to perform a controlled burn.
I do think 2023 will be a little slower as things continue to stabilize, but I don't see core fundamentals much different than pre-pandemic; it's the 2020-2022 period that was an outlier with everyone at home glued to their screens.
I agree with that as well. I didn't say it was the only reason.
Even though Austin and the Bay are both tech dominated, the dynamics are still different between the two. The Bay Area is out of reach for almost everyone because of the cost to live there which makes it harder. That isn't just because of tech dominance though. A lot of it is because wealthy Chinese nationals have bought up so much of it (parts of LA are the same). A lot of it is that because it has mild weather and beautiful surroundings, its a highly desirable place to live. Austin has some pretty surroundings and a little bit of foreign investment, but because there are no natural barriers and its so much smaller, you could still find places around the area to live. That, at least in my opinion, is why things are much more high risk for the Bay in a downturn.
That is a very broad sweeping generalization. Without energy and manufacturing or other sectors of the economy, tech would have no way to make money. Tech does not exist in a vacuum on its own. It needs other industries to work with.
And yes tech has bust before and will bust again. The layoffs happening now are not all that is coming. I don't worry about Austin and Seattle as much but I do worry about the Bay Area.
I work in the airline industry and when we look at the markets lagging from 2019, the Bay Area and DC are the most behind. DC because more of government work and the Bay because Tech has embraced WFH more than any other industry. There is a byproduct of remote work: you need fewer people to employ. That is a huge reason why tech is laying off.
I'm in the tech industry. There's a push to return to the office now. At least in my circles. Tons of layoffs in tech because they over hired or they feel a recession is coming.
But, it's the present and the future. It's innovation. You don't have to like it, but you gotta learn to live with it.
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