Key Takeaways
- • New York metro surpassed San Francisco as North America's largest tech talent hub for the first time in 13 years, with 394,300 tech workers compared to the Bay Area's 375,730—marking a structural shift in the U.S. technology labor market.
- • San Francisco experienced a net loss of 23,900 tech jobs (6% decline) over three years, while New York added 30,640 positions (8.4% growth), driven by major layoffs in Silicon Valley and aggressive hiring by major tech firms relocating to New York.
- • AI-related employment is the primary growth driver, with New York adding over 20,000 AI-specific jobs since mid-2025, now representing nearly one-third of all tech talent jobs, while San Francisco also added 20,000+ AI roles despite overall contraction.
- • Major AI companies—including OpenAI, Anthropic, Google, and Meta—have significantly expanded New York office footprints, with Anthropic leasing an entire Manhattan building and planning to double its local workforce to over 1,000 by year-end 2026, and OpenAI occupying 90,000 square feet in SoHo.
- • Financial services sector hiring and venture capital activity in New York are accelerating the consolidation of tech talent, positioning the city as a challenger to Silicon Valley's historical dominance as the nation's primary tech innovation center.
Summary
New York City has dethroned San Francisco as America's largest technology talent market, according to commercial real estate firm CBRE's latest "Scoring Tech Talent" report. The New York metropolitan area now hosts 394,300 tech workers, narrowly surpassing the San Francisco Bay Area's 375,730—the first time in the 13-year history of CBRE's analysis that New York has claimed the top position by headcount.
The reversal reflects divergent trajectories between the two regions. New York added 30,640 tech positions over the three-year period ending 2025, representing 8.4% growth, while San Francisco contracted by 23,900 jobs, a 6% decline. Colin Yasukochi, executive director of CBRE's Tech Insights Center, attributed the shift to "cuts in the Bay Area" where the tech industry has contracted its workforce, while New York's finance sector has aggressively hired tech and AI talent.
Artificial intelligence is the primary driver of New York's ascendancy. The city added more than 20,000 AI-related jobs since mid-2025, with AI roles now accounting for nearly one-third of all tech talent positions. Notably, San Francisco also added 20,000+ AI positions despite its overall tech workforce contraction, indicating both markets are competing intensely for specialized AI talent.
Major technology companies have substantially expanded their New York footprints, signaling confidence in the city's emergence as a secondary innovation hub. Anthropic has leased an entire office building in Manhattan's Hudson Square with plans to double its local workforce to over 1,000 employees by the end of 2026. OpenAI has secured 90,000 square feet at the Puck Building in SoHo and released an economic report in June 2025 positioning New York City as a potential "global capital of the Intelligence Age." Both Google and Meta maintain significant office operations in the city.
This structural reallocation of tech talent reflects both supply-side pressures (Bay Area layoffs) and demand-side attraction (New York's financial sector expansion and AI investment concentration), creating a durable shift in the geographic distribution of U.S. technology employment and raising implications for venture capital flows, real estate valuations, and talent compensation across both regions.
The reversal reflects divergent trajectories between the two regions. New York added 30,640 tech positions over the three-year period ending 2025, representing 8.4% growth, while San Francisco contracted by 23,900 jobs, a 6% decline. Colin Yasukochi, executive director of CBRE's Tech Insights Center, attributed the shift to "cuts in the Bay Area" where the tech industry has contracted its workforce, while New York's finance sector has aggressively hired tech and AI talent.
Artificial intelligence is the primary driver of New York's ascendancy. The city added more than 20,000 AI-related jobs since mid-2025, with AI roles now accounting for nearly one-third of all tech talent positions. Notably, San Francisco also added 20,000+ AI positions despite its overall tech workforce contraction, indicating both markets are competing intensely for specialized AI talent.
Major technology companies have substantially expanded their New York footprints, signaling confidence in the city's emergence as a secondary innovation hub. Anthropic has leased an entire office building in Manhattan's Hudson Square with plans to double its local workforce to over 1,000 employees by the end of 2026. OpenAI has secured 90,000 square feet at the Puck Building in SoHo and released an economic report in June 2025 positioning New York City as a potential "global capital of the Intelligence Age." Both Google and Meta maintain significant office operations in the city.
This structural reallocation of tech talent reflects both supply-side pressures (Bay Area layoffs) and demand-side attraction (New York's financial sector expansion and AI investment concentration), creating a durable shift in the geographic distribution of U.S. technology employment and raising implications for venture capital flows, real estate valuations, and talent compensation across both regions.
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