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It's not just California - it's specifically Silicon Valley.

Here's the PWC MoneyTree data for Q2 2009: https://www.pwcmoneytree.com/MTPublic/ns/nav.jsp?page=region

If you instead looked at every VC funding above $1m in the US I wonder how many of them would be in Califronia.

I think it would be more than 90%.

That may be YC bias.

Actually the bias is induced by reality, YC just happens to reflect it and make it seem a bit larger than it really is. California gets between 40 and 50% of all VC funding in the US and around a third of all global VC investment.

A d&t report ( http://www.deloitte.com/dtt/cda/doc/content/us_tmt_2009vcrep... ) titled 'Global trends in Venture Capital 2009" has the following figures:

US: 44% of world EU: 21% (ex uk) UK: 7% AP: 16% IS: 2% (Israel) AM: 10% (excluding US)

California being 40% of the US total leaves it with about 17.6% of the world total.