This isn't exactly a fair comparison as it compares physical goods with skilled labor. If everyone believed this statement to be true, there'd probably not be

This isn't exactly a fair comparison as it compares physical goods with skilled labor. If everyone believed this statement to be true, there'd probably not be a silicon valley as everyone would be working out of NoVa area, since that's where you'd have to go if you wanted internet. The rise of Seattle, multiple locations in California, Austin, and many many other cities in the tech scene proves that silicon valley has no stranglehold over the industry. They are just the loudest, and perhaps the richest :). Concerning property prices, San Francisco has already felt the pain of the mass influx, as is Austin now and to a lesser extent Seattle. I for one would love to see more options pop up. I do see your point, but hope you're wrong