silicon beach

SILICON BEACH

Silicon Beach is the name given to the metropolitan area of Los Angeles that stretches from LAX airport to Venice Beach and Santa Monica, all the way to the coast of Malibu. This area is called Silicon Beach because of its proximity to the ocean and its beaches. The term “Silicon,” on the other hand, refers to Silicon Valley, whose name comes from the silicon used in computer chips that were once manufactured in the San Francisco area. That region later became the technology hub we know today.

A more affordable alternative with a milder climate than Silicon Valley is the nearby Los Angeles County. Today, Silicon Beach is home to more than 500 startups, including some of the leading technology companies such as Google, YouTube, Amazon, Snapchat, and Netflix.

Silicon Beach Map

The growing influx into the Los Angeles metropolitan area is driven by the mix of cultures and industries the region offers. Unlike the Bay Area, it is not limited to technology alone, but also includes fashion, entertainment, tourism, mobility, and aerospace. This diversity attracts a growing number of startups across different fields.

The area has also become increasingly attractive to venture capitalists. In 2020, despite the pandemic, Los Angeles tech companies continued to receive significant investments.

According to data compiled by PitchBook Data Inc., in 2020 venture capital investment in companies based in the Los Angeles area exceeded 12 billion dollars, marking an increase of nearly 30 percent compared to 2019.

Universities also play a key role in Los Angeles, such as UCLA and USC, as well as the university in Palo Alto in San Francisco, which regularly produce thousands of professionals in the field of new technologies. Equally important are events such as the Future Festival, which takes place every year in November in the Los Angeles metropolitan area and attracts professionals from all over the world who are interested in new technologies and the creation of new startups.

All of these elements are contributing to the expansion of this area since Google first opened its first office in Santa Monica. From there other large and small companies followed the giant and the area began to expand even beyond the area of the beaches. To date, Google is located in Venice in the extravagant Binoculars-shaped building of Frank Gehry, built between 1985 and 1991, which was originally to house the advertising  agency Chiatday.

binoculars frank gehry

The industries impacted by digital innovation in Los Angeles are highly diverse. At the top is the entertainment industry, which, when combined with technology, has given rise to products such as Netflix. In second place, according to Mediakix, is software development, which is applied across many fields including education and telecommunications.

The wellness and healthcare sector is equally central, especially after the Covid-19 health emergency, which highlighted how essential it is to integrate technology and healthcare. In Los Angeles, some of the most relevant companies in the health and wellness sector include:

  • Headspace: an app that transmits guided meditation sessions;
  • Ritual: a vitamin start-up for women;
  • Puma Biotechnology: an international pharmaceutical company.

Silicon Beach Company

When it comes to investment, however, Mediakix’s analysis shifts perspective and places social media companies in first place.

In Silicon Beach, there is also an Italian startup: LaserAid, originally from the Campania region. The company uses laser technology to develop systems dedicated to road safety and visibility in foggy conditions. It is an active signaling system that projects two-dimensional and three-dimensional visual references, even in adverse weather conditions. The laser devices are installed along roads using streetlights, guardrails, or New Jersey barriers.

Today, we can say that the area is experiencing strong growth, both in terms of territorial development and technological advancement. Startups are growing, as are invested capital, and in the coming years the trend appears set to continue.

So, next time you find yourself in the area with a surfboard under your arm, don’t forget to bring your CV as well. You never know when it might come in handy!