Meanwhile, on the left coast, California Governor Gavin Newsom, is taking credit for California’s tech boom. Last week, he told the Clinton Global Initiative:

“We created the market. There is no Elon Musk, there’s no Tesla without California’s regulatory framework, period, full stop. It wouldn’t exist. It was because of the regulations.”

Newsom is riffing off of Barack Obama’s famous lecture to business leaders:

“Somebody helped to create this unbelievable American system that we have that allowed you to thrive. Somebody invested in roads and bridges. If you’ve got a business, you didn’t build that. Somebody else made that happen.”

Silicon Valley is still clearly the tech capital of the world, thanks in part to its proximity to Stanford. And it has the geographical advantage of beautiful weather, beaches and mountains. But just as New York is losing its financial sector, California’s tech sector is slowly headed south.

Our prediction is that if California doesn’t change, its lead in tech will be gone within 10 years.