Joint Venture Silicon Valley provides ANALYSIS, ACTION, LEADERSHIP

top-slides-home09.jpg

Joint Venture Silicon Valley provides

ANALYSIS

ACTION

LEADERSHIP

What's Happening Now

Institute: Individual donations to charity rebound

hand placing money in donation boxJuly 8, 2024 - An Institute examination of newly released IRS data show that individual donations to charity rebounded. Nearly a quarter of all Silicon Valley individual taxpayers and joint filers donate to charities. The dollar amounts of donations have doubled since 2019 and the share of Adjusted Gross Income donated rose by 1.5 percentage points. Statewide, a smaller share of individuals donate to charity and those who do donate less of their AGI.

Learn more

Joint Venture publishes Protecting California in the 21st Century: Public Safety in a Voice-over-IP and Over the Top World

cover imageApril 30, 2024 - Joint Venture released a comprehensive white paper highlighting crucial developments in the state’s telecommunications landscape and which emphasizes the necessity for updating California’s outdated public safety strategies to align with modern technologies and provide more effective response during emergencies and disasters. Protecting California in the 21st Century encourages a forward-looking and market-aware approach to emergency communications, including 9-1-1 emergency services.

Read the news release | Read the white paper

Meet Rebecca Unitt

July 8, 2024 - In the vibrant coastal enclave of Santa Cruz, where the Pacific breeze mingles with entrepreneurial spirit, Rebecca Unitt leads the charge as the Economic Development Manager for the City of Santa Cruz. Her journey epitomizes dedication to public service and positive change. Working at the nexus of urban planning and community empowerment, Rebecca served in 2023 as chair of Joint Venture’s Silicon Valley Economic Development Alliance. Growing up, Rebecca excelled at competitive Irish step dancing and danced at the World Championships in Scotland and Ireland and ranked eleventh in all North America. 

Read Rebecca's profile

Research Brief: Expanding the Behavioral Health Workforce Pipeline in Santa Clara County

report cover imageJuly 8, 2024 - The Silicon Valley Institute for Regional Studies released Expanding the Behavioral Health Workforce Pipeline in Santa Clara County with research that benchmarks the status of the existing local behavioral health workforce and identifies roadblocks and priorities for pipeline expansion and local retention.“I am committed to continuing the conversation about effective behavioral health workforce expansion strategies...,” says Susan Ellenberg.

Read the brief

2024 Silicon Valley Index: Record-high $14.3 trillion market cap as income gaps, layoffs, & adjustments signal recalibration

cover imageFebruary 28, 2024 – Joint Venture Silicon Valley's Institute for Regional Studies today released the 2024 Silicon Valley Index, revealing that the region achieved an unprecedented market cap of $14.3 trillion. This milestone comes as the regional economy demonstrates resilience despite growing income and wealth divides, coupled with persistent housing challenges for residents. The data confirms the region's economic health and continued growth. “We may not be booming, but we’re still growing,” said Russell Hancock, CEO of Joint Venture. “We’re a region built on creative destruction and re-invention.”

Download the Index | Read the news release 

Read news coverage of the Index

Silicon Valley Indicators

indicators home page Comprehensive information and data about the Silicon Valley ecosystem is always available at www.siliconvalleyindicators.org.

Data and charts from the Silicon Valley Index (and more) are presented on an interactive website that allows users to explore Silicon Valley trends. Indicators are presented by the Institute for Regional Studies. Housed within Joint Venture Silicon Valley, the Institute provides data and analysis on issues facing dense metropolitan regions.

What is Joint Venture Silicon Valley?

Established in 1993, Joint Venture provides data and analysis on issues affecting the Silicon Valley economy and quality of life. The organization convenes established and emerging leaders—from business, government, academia, labor and the broader community—to spotlight issues, and work collaboratively toward innovative solutions.

Learn more

coverJust six IPOs in six months vs 22 this time last year

June 26, 2020 – Joint Venture’s Silicon Valley Institute for Regional Studies today released a snapshot of the region’s initial public offerings (IPOs) for the first half of 2020. Compared to last year’s 34 Silicon Valley and San Francisco IPOs (22 in the first half), there were a mere six over the past six months. Only one of those companies, ORIC Pharmaceuticals, went public between the start of the regional/statewide shelter-in-place mandate and the beginning of June. Note: First half data is through June 24.

While it is not uncommon for the first quarter to be a slow time for IPOs, Q1 of 2020 was even slower than usual. The effect of the pandemic and associated impacts on trade and economic uncertainty – as well as policy changes and other factors that enhance market volatility – led to many companies putting their IPOs on hold. Dozens of Silicon Valley and San Francisco companies may still go public later this year, including some in the stay-at-home market, such as DoorDash and Postmates, and long-awaited entrants like Airbnb. Palo Alto-based Houzz was expected to go public in 2020, but was among the more than 140 Bay Area startups that imposed layoffs since mid-March.1

Key Findings:

  • There were only six Silicon Valley and San Francisco IPOs compared to 22 this time last year
  • Four out of five Silicon Valley companies that went public in 2020 did so within the last two months
  • All IPOs were in the healthcare industry: Five were located in San Mateo County; one in San Francisco

Generally speaking ¾ and based on a dataset that includes the dot.com bust, the 2008 financial crisis, and other periods of enhanced market volatility resulting in prolonged IPO inactivity ¾ IPOs typically outperform the market as a whole in times of enhanced volatility (by nearly 25 percentage points over 90 days).2 There is no way to know whether this historical trend will occur post-pandemic; however, there was a significant increase in the number of IPOs toward the end of Q2, indicating an upward trend for the second half of the year. On average, the region’s six newly-public companies have increased their share prices by 36 percent since their respective IPO dates, and have all outperformed the S&P500 (by an average of 37 percentage points).

“Biotech and other healthcare companies have dominated our region’s IPOs since 2015…” -Rachel Massaro

Four out of five Silicon Valley companies that went public thus far in 2020 did so within the last two months. The five Silicon Valley IPOs were by companies located in San Mateo County; they, along with the one 2020 San Francisco IPO, are all in the healthcare industry: One Medical, Vaxcyte, AMT, Pliant Therapeutics, ORIC Pharmaceuticals, and Revolution Medicines. Nationwide, 58% of the 2020 IPOs thus far have been in healthcare.

“Biotech and other healthcare companies have dominated our region’s IPOs since 2015, and we’ve seen tremendous growth since then in terms of total employment levels and expansion into new commercial space,” said Rachel Massaro, the Institute’s Director of Research. “We see that trend continuing into the first half of 2020 – even amidst an uncertain market – because of the continued need and support for healthcare innovations. While the majority of the region’s newly-public healthcare companies are focused on cancer research and other therapies, I think we can all agree that now is a great time for healthcare innovations of all kinds.”

In an April 28 Institute analysis of the region’s public company stock market performance amid COVID-19, the Institute noted that the two companies that gained the most market cap during the market decline (February 19 through March 23 ) were in the biotech sector: San Francisco-based Vir Biotechnology (+114%) and Brisbane-based Humanigen (+141%).

“We’ve had more Silicon Valley IPOs this year than in 2008 and 2009 combined; still, the number is low and concentrated in only one industry,” said Massaro. “We’ll just have to have to sit-tight and see which, if any, of the long-awaited tech IPOs materialize later in the year.”

Initial Public Offerings, by Industry chart

Initial Public Offerings, by Quarter chart

References:

  1. Layoffs.fyi Coronavirus Tracker
  2. Special Report: The Coming IPO Renaissance. Renaissance Capital, 2020

Data Source:

Renaissance Capital; Google Finance; IEX Cloud

Note:

IPO data is from Renaissance Capital. Locations are based on the corporate address provided to Renaissance Capital. Silicon Valley includes the city-defined region. First Half of 2020 is through June 24. S&P500 performance is from Google Finance. June 24 share prices and year-to-date growth are from IEX Cloud.

For further reference

To access Silicon Valley’s online data hub, visit www.siliconvalleyindicators.org.

About the Silicon Valley Institute for Regional Studies

The Silicon Valley Institute for Regional Studies is the research arm of Joint Venture Silicon Valley, and is housed within the organization. The Institute provides research and analysis on a host of issues facing Silicon Valley’s economy and society. For more information, visit www.siliconvalleyindicators.org.

About Joint Venture Silicon Valley

Established in 1993, Joint Venture provides analysis and action on issues affecting the Silicon Valley economy and quality of life. The organization brings together established and emerging leaders—from business, government, academia, labor and the broader community—to spotlight issues, launch projects and work toward innovative solutions. For more information, visit www.jointventure.org.

In The News

July 5, 2024 - (Barron's) - This Little-Noticed Nonprofit Takes in Billions From Silicon Valley’s Wealthy Elite: According to a new report by Joint Venture Silicon Valley More

July 1, 2024 - (The Messenger) - Majority of San Francisco Residents Steer Clear of Downtown Due to Homeless, Crime: ‘Mood is Bleak’: according to the results of a recent poll sponsored by the Bay Area News Group and regional think tank Joint Venture Silicon Valley More

June 27, 2024 - (Kilgore News Herald) - APUS Appoints Dr. Papazian to Board of Trustees: She also has served as board member of AAC&U, APLU, NCAA Board of Governors, Bay Area of Council, Joint Venture Silicon Valley... More

June 23, 2024 - (Marin Independent Journal) - San Jose rolls through open streets for Viva CalleSJ: The Silicon Valley Institute for Regional Studies reported that 12.5% of citizens in Santa Clara County used bicycles as a method of transportation in early 2020. More

June 21, 2024 - (Mercury News) - Job boom returns to Bay Area and California as hiring surges in May: “May’s job growth is in line with our longtime understanding of Silicon Valley,” Russell Hancock said. More

June 17, 2024 - (Press Democrat) - Witkowski and Ghilarducci: The future of emergency response is digital - Opinion: In a fire, flood or other crisis, emergency responses are better served by digital communications than landline phones. More

June 3, 2024  - (KCBS Radio) - Need is "greater than ever" to donate to local non-profits in Silicon Valley: Joint Venture CEO, Russell Hancock, interviewed  More

June 3, 2024 - (Tech Wire) - Tom Snyder: Entrepreneurship is everywhere: The Silicon Valley Institute for Regional Studies reports that 749 new startup businesses were created in the region in 2023. More

June 2, 2024 - (Silicon Valley) - San Jose drops another spot down the list of most populous U.S. cities: Early growth was largely due to “smoke and mirrors,” according to Hancock [CEO of Joint Venture], by annexing whole cities. More

May 31, 2024 - (Silicon Valley) - Crowded housing conditions, racial inequalities: “We have some high flyers and we have some people that are barely getting by,” said Russell Hancock, CEO of Joint Venture Silicon Valley More

May 31, 2024 - (MSN) - Crowded housing conditions, racial inequalities detailed in Morgan Hill report: we have some people that are barely getting by," said Russell Hancock, CEO of Joint Venture Silicon Valley More

May 23, 2024 - (Asian Journal) - PCGSF Gets Insights From 10th Annual Silicon Valley Briefing At Stanford: Russell Hancock, president and CEO of Joint Venture Silicon Valley and an adjunct Professor at Stanford University’s Public Policy Program, provided a presentation More

May 17, 2024 - (Del Norte Triplicate) - Board continues cell tower appeal pending location of alternative site: Joint Venture Silicon Valley report confirms no impact on property values. More

May 17, 2024 - (Mercury News) - Bay Area and California add jobs in April — but the gains are puny: “Our economy is in the throes of a transition...” said Russell Hancock, president of Joint Venture More

May 15, 2024 - (Morgan Hill Times) - City of Morgan Hill will host May 30 Economic Mobility Symposium: This data is consistent with the 2024 Index by Joint Venture Silicon Valley More

May 15, 2024 - (Mercury News)  Tech job cuts ease a bit in Bay Area as industry layoffs haunt region: Long-term outlook of the region’s economy and technology industry remain healthy, according to Russell Hancock, president of Joint Venture Silicon Valley, a San Jose-based think tank. More

May 14, 2024 - (KCBS) - New proposal could help Santa Clara Co. residents secure quality Internet access: David Witkowski, ED of Joint Venture's Civic Tech inititiative is interviewed about internet access. More