In 2024, San Francisco has reasserted itself as the prime location for startups, particularly those in the AI sector. The city’s concentration of tech talent and investor capital has attracted founders from across the globe, even those outside the AI space. According to SignalFire’s data, San Francisco remains dominant, boasting 49% of all Big Tech engineers and 27% of startup engineers in the U.S. This has led to an increasing number of international founders relocating to the Bay Area to take advantage of its vibrant ecosystem.
For example, Daniel Lenton, the founder of Unify, originally based in Berlin, relocated to San Francisco after raising $8 million from prominent investors. Although Lenton was able to secure funding while in Berlin, he found that being physically present in San Francisco provided invaluable opportunities for networking and collaboration that could not be replicated remotely. Similarly, Anh-Tho Chuong, CEO of Lago, moved from Paris to San Francisco, realizing that the city offered a better talent pool and customer base for her company.
Both founders highlighted the unique advantage of “manufactured luck” in San Francisco, where the density of industry professionals increases the likelihood of serendipitous connections that can drive a startup’s success. This reinforces the notion that while startups can thrive in various locations, San Francisco remains unmatched in providing the critical mass of resources, connections, and opportunities needed to accelerate growth in the tech industry.
