Funding for Los Angeles Tech companies is booming, but Southern California doesn’t get the love it deserves because of its northern neighbor’s dominance. The graph below illustrates the funding breakdown to SoCal vs. Silicon Valley over the last 5 years.
But the comparison to Silicon Valley is not really a fair one given Silicon Valley’s history and general dominance of venture capital. So how does SoCal stack up against other venture hubs namely New York and Massachusetts?
The data below shows that while SoCal VC funding does come in below NY and Massachusetts, the market is not all that dissimilar in size. And like New York and Massachusetts, SoCal is also on pace for a five-year high in financing activity.
In terms of growth rates, from 2010 – 2013 annual VC funding has grown 40% in SoCal versus 33% in Silicon Valley, and 27% in Massachusetts. New York has grown the fastest at 73%.