5 ms·
Plex Systems and Duo Security are the only two software of companies of relevance/size - both were bought within the last two years, by Rockwell Automation and
by helloworld653 5y ago
Plex Systems and Duo Security are the only two software of companies of relevance/size - both were bought within the last two years, by Rockwell Automation and Cisco respectively (both for $2 billion-ish). The metro Detroit/Ann Arbor startup scene is tiny. OneStream will probably have an exit north of $2 billion in the next two years.
Tens of thousands of jobs were created by FCA/Stellantis with the renovation of Sterling Heights Assembly Plant for Ram 1500 Production, the brand new $1.6 billion plant on Connor and Jefferson (which builds Grand Cherokee L (WL75) and Grand Cherokee (WL74) in Detroit across the street from Jefferson North (which still builds WD/WK2), and the GM renovation of Hamtramck (Factory Zero) for Hummer EV/Silverado 1500 EV/commercial EV VAN production.
Detroit's economy is still 95% automotive. Those four plants I referenced were huge positive developments for the local economy - SHAP, JNAP1, JNAP2, and Hamtramck are the heart of the working class economy in Detroit, providing good union jobs building high margin products, along with the suppliers that feed those plants.
- cebert 5y agoThe brain drain problem is very real. I graduated the University of Michigan in 2008 and the majority of my colleagues moved out of state. I can’t say I blame them. A good number have been successful at FAANG type companies or startups and seem relatively better than us who stayed in the state. The firms in Michigan just can’t compete with the total compensation you can get elsewhere. Most of the positions here are auto related still. The auto industry is cyclical and booms and busts.
- city41 5y agoI worked at two FAANGs then moved to Michigan about two years ago, just outside of Ann Arbor. I get contacted by a decent number of recruiters but I'd estimate only about 5-10% of them represent companies with a Michigan presence.
- rmason 5y agoBoth Ann Arbor and Detroit have special events trying to lure back expatriates. Wish East Lansing did something similar but afraid we lack the startup jobs to make it worthwhile. What Lansing does do is have social events trying to convince junior and seniors at MSU to stay locally and they've had some success with it. I've personally tried to get several MSU alums Valley startups to outsource customer service jobs to East Lansing. The salaries they pay for those positions make it a struggle to live in SF but would be a fair wage in Michigan. I haven't had any success yet but I won't stop trying ;<).
- jseliger 5y agoIt's notable that the phrase "eliminated non-competes" isn't there: https://www.vox.com/new-money/2017/2/13/14580874/google-self-driving-noncompetes https://www.vox.com/new-money/2017/2/13/14580874/google-self...
- exhilaration 5y agoThis. I've worked in the New York metro area for my entire working career, and non-competes are one reason why California will always, always win when it comes to fostering startups. From what I can tell, no other state has made them illegal, and none ever will because they're in the interest of employers.
- lotsofpulp 5y agoWashington has it, but Microsoft and Amazon were able to water it down so that it excludes higher compensated employees ($107k salary for 2022, which basically excludes people in tech/medicine/law/engineering). Foolish decision by WA legislators, especially when they are in prime position to poach business in the same time zone as CA with only a nominal state income tax. https://lni.wa.gov/workers-rights/workplace-policies/Non-Compete-Agreements https://lni.wa.gov/workers-rights/workplace-policies/Non-Com...
- UnpossibleJim 5y agoOut of curiosity, how do these non-competes work with remote work situations? Are they applicable to the state the business is in or the state the worker is in? Is this one of the reasons so many software companies are pushing to get coders back in the office, just to get rid of these little legal questions?
- lotsofpulp 5y agoGood question. Seems like it could get hairy. I would have assumed the employee’s state of residence takes precedence, but then there is this case where CA courts upheld a non compete that was entered into in MI before the employee moved to CA: https://www.mintz.com/insights-center/viewpoints/2015-07-17-can-move-california-invalidate-non-compete https://www.mintz.com/insights-center/viewpoints/2015-07-17-...
- geogra4 5y agoWorkforce software? New world systems? Llamasoft? Barracuda? I think there's more out there than you give credit for. Rest in piece Compuware.
- cebert 5y agoI wouldn’t cite Compuware as an example of a successful Michigan based tech company. However, some products it created, such as Dynatrace, are still around and profitable.
- mavelikara 5y agoDynatrace was an European startup acquired by Compuware.
- slut 5y agoCensys and Blumira are mostly ex Duo folks. Arbor Networks, Clinc, there are a ton of smaller companies that have exited too
- deleted 5y ago[deleted]
- lilrkt 5y agoOneStream is already valued well above that mark and is one of the most successful tech companies in Michigan that no one has heard of.