I strongly favor avoiding the Bay Area (my startup is in Chicago and New York). I'm ambivalent about this essay. But one specific point:
The author claims VC doesn't limit investments by geography. If you have a track record, that's true: the people who started Postini can found a tech startup in Yellowknife AB and get a round from somebody. But I've successfuly gotten an A round before, and been a part of multiple successful exits, and we did the circuit out west, and they absolutely do want you to be out there with them.
This isn't a reason to move out west, because you don't want that money anyways, but let's be real.
There are plenty of venture-backed companies based in NYC, including many that weren't funded by the many NYC-based VC firms and many by first-time entrepreneurs. E.g., Meetup.com was backed by DFJ in Menlo.
The author claims VC doesn't limit investments by geography. If you have a track record, that's true: the people who started Postini can found a tech startup in Yellowknife AB and get a round from somebody. But I've successfuly gotten an A round before, and been a part of multiple successful exits, and we did the circuit out west, and they absolutely do want you to be out there with them.
This isn't a reason to move out west, because you don't want that money anyways, but let's be real.