Silicon Beach: Los Angeles booms as startup hub
economist.com
economist.com
I have been in Los Angeles for 8 years and love it here. When my co-founder and I moved up to Mountain View to attend YC there was no question that we would come back to LA afterwards.
People think of LA as Hollywood/media-driven, but it's also one of the biggest manufacturing towns in the country, the biggest port, an important hub for science/technology (Caltech, JPL, SpaceX, Tesla, etc).
There is a lot of untapped potential for startups here. Not to mention that rent is about half the price.
It's horrific and it can't be good for recruiting. I know excellent engineers who have been offered jobs in that area and refused due to having to devote 3 to 5 hours a day stuck in traffic.
To me this means they would have access to a much larger talent pool if they strategically moved away from that impenetrable mess. Lived and worked in the area for years, it gets old.
For the vast majority of people living in LA, the bus is not an option. Your 30 minute commute will turn into a 3 hour slog.
Freedom of location is severely limited once you have a significant other or kids. School districts in LA are total garbage, and having a significant other means at least one of you is going to be commuting across town and sitting in traffic for 2 hours a day.
> most people don't do this
I guess all that traffic on the 10, 101, 110, 5, and 405 is just some collective hallucination. I was shocked when I found a number of people commuting to Irvine from such places as DTLA. That is, until I found people commuting to San Diego. Those are the rare ones (I hope). But there is a large portion of LA that commutes 2-3 hours a day. Anyone that commutes from the westside to east (or vice versa) is hitting 2 hours easy. I did it for a number of years. And by looking at Santa Monica Blvd, Wilshire, Olympic, etc. many more people are doing the same.
I will never take a job in Santa Monica. Unless you live in SM, it's not worth it.
This is why I'm sticking to supporting the startup scene around DC instead.
I love D.C. But not sure I'm following your reasoning here....
Precisely. This is a lifestyle choice you choose not to make. But others do.
Also, have you actually taken the Santa Monica Big Blue Buses ever? Have you tried to commute on them?
(Friday rant time:) They are the main public transit form on the westside. I rode them to UCLA for ~2 years. I'll never do it again. A bus driver in LA is sick of all the shit that is LA traffic. They use the gas and brake without thought to the transmission or brake-pads. You are jerking back and forth the entire time, a real ab workout for the hour it takes to get under the 405. Also, you have to stop the bus and, you know, pick up passengers. This can take 5 minutes or more per stop, though average is about 1 minute. But you never know how many wheelchairs they are going to try to fit on the bus that day, a 10 minute wait. There are also tons of people just trying to scam their way on. Every morning the bus driver has to spend 3 minutes at some random stop trying to get a person to understand that it is $1.25 to ride, but they always forget to speak english or spanish, go mute, or try to fake sign language and just keep walking on. The driver stops the bus now and turns it off, per union rules, calls dispatch, and then we all have to wait for that jackass to get his butt hauled off the damn bus by some LAPD person or they chicken out and actually get off the bus. But it's ok, right, you are not in traffic! Oh, but wait, you are now spending, on a good day, ~1 hour standing on the bus, because they only run 2 of the #1 buses and everyone on the westside is trying to get under the 405, about 70 people per bus. Some crackhead lady is now ranting at some old man about since she is a woman, he should get up and give her his seat. Now the driver, who for some stupid reason decided to not just skip that stop, like they do for yours every other morning, is screaming at people to 'move to the rear of the bus'. Sometimes there is no room, but most of the time, there is some 'deaf' asian lady that just does not care anymore, some junkie nutto high outta his gourd, some gang banger macho jerk, or just some asshat with the ear-buds turned up too high just standing by the rear door refusing to move. So now you spend 10 mintues with the driver screaming at all of you on the intercom and a line of people outside banging on the windows to get on as they are already late for work. Now you get to sit in stop-n-go traffic just like the rest of the plebs trying to inch under the 405 on Santa Monica Blvd. I have shuffled faster than that bus on that stretch. You sway back and forth as the driver jams on the brakes and horn and some idiot beemer cuts off a fucking bus for the 10th time this ride. But hey! No waiting in traffic!
Oh, and you have to wait for the bus too! It'll never be on time, you can bet on that, but you can't tell when it will come. They tried to get GPS trackers on them for use with an app, but then that would prove that they are stuck in horrible traffic, so they took them off. Now you have to get there 'on time' and just wait. Are you sprinting for the bus to make it and you make eye contact with the driver, thinking that they will maybe pause a second for you and let you on? I have done that and seen them smile at me, give me the finger, and close the door in my face while laughing. No matter, the next bus is scheduled to be there in 30 minutes +/- 30 more minutes. Those meetings you had? Poof! Oh, great now you get to sit at the bus-stop on Santa Monica at rush hour. Horns are blaring for almost no reason, some Porsche is revving his engine for some chick in the passenger seat at 8 am, exhaust is pouring out of some truck 'rollin coal'. You want to take a seat, but you know better than to sit on that thing. Last week you saw the bum (who has claimed that area of sidewalk and is still there every day and night for years) piss and puke all over it at 7:45 am. Who knows what drugs they were coming on or off of. At first you thought they just needed help and you gave them a $10 to get on with their lives. But no, the reason they are there, homeless, is that they are insane assholes. Not just mentally crazy, that disease is just tough. But they are also jackasses too. Like, mug your girlfriend last night, and then get up in her face the very next morning demanding that she give him more money that you can clearly see he just spent on Mickey's 40s now smashed all over the bus-stop and now, oh there he goes, taking a piss all over the bus-stop. You call LAPD, and they say sure, they'll send someone out. The third time this happens, you finally get irate enough and they do send someone out. The bum is not there for a few days, and then due to overcrowding in the county jail, his junkie ass is back on the exact same bus stop within a week, because in the bum society that is 'his' stop.
Oh, and then one of the really messed up bums trys to get on the bus with you all that fine morning. You know what a 'piss-bus' is? That bum goes to the middle of the bus and then takes the most foul smelling deification and urination you have ever experienced. Literally, it smells like death. Who knows what combo of dehydration and methadone did what to their overtaxed kidneys and liver, but it seems only to have made them more efficient at making their excrements so concentrated as to be military weapons. I only made the mistake of getting onto a piss bus once. Everyone else at the stop that morning knew that an empty bus and one bum in the middle meant it was a piss bus, but I had not yet learned. I stepped on, the door closed, and immediately I regretted the decision. My eyes were watering from the ammonia, I was gagging, I got off as soon as I could, and I washed the clothes 3 times with bleach before the smell came off. This is not hyperbole. Why can't you kick them off the bus or not let them on in the first place? Civil rights violations and many lawsuits.
This is not every time that you step on the Santa Monica Big Blue Bus, maybe a time in 50 are things really bad. But you can expect at least 2 of those lesser types of incidents every week.
But hey, you aren't sitting in traffic!
I just take the trains and bike it and its actually really nice.
The West LA area has always had a strong tech presence from the gaming, advertising, and defense industries though, going back many decades.
The other big difference between LA and SF is like, the penalty for not working close to where you live is absolutely brutal. Taking BART or the subway is moderately annoying, but driving from the Silver Lake to Venice every day is absolutely horrifying.
So in Venice you got Google and Snapchat, although apparently most of Google is getting moved down to Playa Vista, you got a handful of small startups, lots of VR companies led by people with media rather than technical backgrounds (maybe that's fine?), and that's about it.
Nearby you got EA in Playa del Rey (kill me), you got some old companies in Santa Monica and a couple more startups that don't seem interesting necessarily.
Even SpaceX is a pretty far cruise from the Santa Monica/Venice area, but there are a bunch more companies that hire engineers in that El Segundo area, but not necessarily ones that you would want to work at.
It's interesting, certainly, and I think the Snapchat IPO will lead to a lot of rich guys suddenly turning angel and so on. LA has basically never had any real exits until very recently (dollar shave, snapchat), which has limited the development of the ecosystem. Every old guy in LA is like "did you know I founded Myspace?" Based on my time in LA, I would have to estimate the number of founders of Myspace around 3-500. Also stamps dot com.
In summary, I would say LA is pretty much like New York City circa 2005.
The complete secret weapon of LA though is UCLA. The quality of graduates coming out of UCLA computer science is staggering, and from the hiring side, they're not competed for or recruited as heavily as say Stanford kids.
Disney NBCU (specifically Fandango, parts of former M-Go) Ticketmaster/Live Nation eHarmony Edmunds.com The Honest Company
Other Tech companies left off the list: Hulu Yahoo (much smaller than before) AOL Hyperloop One and Faraday Future are coming up
What there isn't a lot of is "engineering", "cloud", "enterprise" technology. The GitHubs, Herokus, AWSs of the world are not yet here in LA. For those of us who are engineering focused, we generally do tech for companies that don't "sell" technology to other engineers, that's focused in SF and Seattle. Not any less valid just a different audience.
Why would adding Qualcomm or Broadcom invalidate that claim?
And some days, which is pretty much whenever we feel like it, we would just take our laptops and work right on the beach with the sun, with some towels spread out, chilling, swimming, and go for a swim and come back, then go back to work. It made me appreciate just how fun work can be and you don't have to sacrifice quality of your life just because you are working for a startup.
To me, working by the beach is seriously a no brainer, I mean more companies should be doing this! It is really hard to go back to working at an office building outside of it once you've experienced the freedom and lifestyle of being by the beach. Also, there is a big difference working close to the beach (like SM) and actually being ON the beach (Venice). I'll take the latter any day.
I need headphones, ideally a lot of screen real estate and for nothing to be moving in my periphery.
https://www.reddit.com/r/TechLA/
Some folks also tweet with the #techLA hashtag. (Keep in mind, if you tweet, the #LATech hashtag is reserved for a university in Ruston, Louisiana.)
There is far worse traffic in many of the worst traffic areas in the US than the Bay Area, I'm still confused as to why some try to perpetuate this myth on here.
The other issue with the tech industry in LA would be that it will run geeks and nerds out of town. Appearance and looks are far more important in LA than it will be in SF.
To paraphrase a Game of Thrones put-down, if you have to call yourself "Silicon" to say you are like the Valley, then you aren't like the Valley.
[1] https://en.wikipedia.org/wiki/Silicon_Alley
[2] https://en.wikipedia.org/wiki/Silicon_Beach
[3] https://en.wikipedia.org/wiki/Silicon_Desert
[4] https://en.wikipedia.org/wiki/Silicon_Forest
[5] https://en.wikipedia.org/wiki/Silicon_Gulf
[6] https://en.wikipedia.org/wiki/Silicon_peach
[7] https://en.wikipedia.org/wiki/Silicon_Prairie
https://en.m.wikipedia.org/wiki/Austin,_Texas
The city also adopted "Silicon Hills" as a nickname in the 1990s due to a rapid influx of technology and development companies.
1) Intel
2) AMD
3) Nvidia
4) NXP
5) Samsung (they even have a fab here!)
6) ARM
7) Qualcom
And several hardware start ups, etc. It is actually a pretty major part of the local economy.
Cirrus Logic
Calxeda
Ambiq
[1] http://www.theglobeandmail.com/technology/tech-news/ontario-...
Found the whole list on Wikipedia too: https://en.wikipedia.org/wiki/List_of_places_with_%22Silicon...
maybe we're still riding the "Jet City" thing from when Boeing was here?
To be fair, I concede SF was never Silicon anything either and has coopted and wrested the name from the Route 237/golden triangle.