Companies expand from where they are founded to reach new labor markets, but that's not the only consideration for where they begin. Startups are founded in SV

Companies expand from where they are founded to reach new labor markets, but that's not the only consideration for where they begin. Startups are founded in SV (and other tech hubs both in and out of the US) because it's an intersection of high quality talent, permissive laws that make it easy to do business (although that doesn't appear to be the case in SV anymore), capital that's willing and able to fund startups, and network effects of being next to loads of other tech companies. Europe is missing pretty much all of that outside talent, and many would argue that even that is questionable because of the typical European work ethic.