Startups Pass On Silicon Valley To Find Their Fortunes In New York

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By Ryan Kim (Writer, GigaOm)

Though Silicon Valley has lured away plenty of startups, (cough: Facebook), New York is becoming a magnet of its own, attracting companies that want to build their businesses amid the bright lights of the big city. In the last couple months, New York has drawn former San Francisco startup Qwiki, PlaceIQ from Colorado and recent 500 Startups graduate Snapette, which started in Boston before spending the last half year in Silicon Valley.

These are just a few recent transplants but they show how New York increasingly makes sense as a headquarters for certain startups, especially those with ties to finance, fashion, media, retail, advertising and increasingly big data and location-based services. ConsumerBell relocated to New York from the Bay Area in May and Take The Interview, which started in Boston, is moving as well.

The relocations fuel the continuing momentum behind New York, which has eclipsed Boston in the number of VC deals and is now becoming a destination for big companies like Facebook, which announced an engineering campus here and eBay, which bought Hunch and plans to build out a New York office.

» Read the full article at GigaOm.