Introduction

San Francisco, and its renowned Silicon Valley neighbourhood, are the heart of the US tech scene. Overall, the Bay Area possesses the largest share of all tech employees in the country, boasting 49% of all big tech engineers and 27% of startup engineers, a share which has grown significantly since 2022. On top of that, more than half of all new Y Combinator startups are based in the SF Bay Area, and Silicon Valley is well known as the heart of global startup culture.

“Silicon Valley is the ultimate powerhouse for startups. Starting a company is tough, and most startups don’t make it. That’s why it’s crucial to be part of a supportive ecosystem and grab every advantage you can. Being in Silicon Valley gives you that extra boost, drawing in the most ambitious founders looking to make an impact.”

Sasha Orloff, Founder & CEO

What is Silicon Valley?

Located in the Santa Clara Valley of San Francisco, Silicon Valley grew out of the innovative culture of Stanford University, built in the Valley in 1891 and rising to fame as a world-class research institution by the 1950s, when the Shockley Semiconductors Laboratory was built as part of the larger Stanford Industrial Park.

In the 1960s, fuelled by the Cold War, the US tech industry boomed. Companies in the Santa Clara Valley received 20% of all military contracts and 44% of NASA contracts. The term “Silicon Valley” was coined by journalist Don Hoefler in 1971.

The 1970s also saw some of the giants in tech today starting out in San Francisco, including Apple, Microsoft, Atari, Oracle, Adobe, Sun Microsystems and Cisco. The $1.3bn IPO of Apple in 1981 spurred a huge influx of venture capital, leading Silicon Valley to have more VC firms than anywhere else on the globe, including Kleiner Perkins and Sequoia Capital.

“Here [in San Francisco], innovation isn’t just encouraged, it’s a way of life. The huge number of brilliant minds means that investors are competing to fund the next big thing, and with a culture that celebrates risk-taking, it creates an environment that fosters unparalleled growth and opportunity.

Being here right now means being at the heart of where ideas become reality, where connections are made that can change the course of a startup’s journey, disrupt their industry, and benefit the entire world.”

James Gee, Global Partnerships Manager at Startup Grind

Now, San Francisco is the epicenter of the AI revolution, currently home to startups like OpenAI, Anthropic, Figure.ai, Scale AI, Databricks and Perplexity AI. Other leading startups and companies headquartered in San Francisco include:

• Poshmark, the curated ecommerce platform
• Menlo, the cybersecurity giant
• Carta, the equity management fintech
• Upwork, the renowned freelancer platform
• SurveyMonkey, a startup used to conduct online surveys
• Webflow, the no-code development platform
• Gusto, which offers various solutions for small businesses
• Course Hero, the edtech company that facilitates online learning
• Udemy, the online course marketplace
• Life360, a startup helping families keep tabs on family members
• Afterpay, the fintech company offering deferred payment
• Bolt, a platform for simplifying the checkout process
• MasterClass, the e-learning skills platform

“Having lived in various places before settling in the Bay Area, I can say that the entrepreneurial ecosystem here is truly unique. The proximity to major tech companies like Google, Facebook, and Uber allows for frequent and meaningful interactions, which is a significant advantage when building relationships. Being able to meet with key players in the industry regularly helps in forming strong, long-lasting connections. If you do, it’s like a honeypot.”

Derek Andersen, Co-Founder & CEO of Startup Grind

How many developers are in San Francisco?

In 2024, the Bureau of Labor Statistics reported over 170,000 professionals employed as software developers and other technological roles in San Francisco.

According to research by SignalFire, San Francisco is home to 49% of all big tech engineers, 27% of startup engineers, and 35% of AI engineers in the US.

However, as San Francisco’s tech industry continues to expand, the number of open tech positions is growing rapidly, with startups competing with major companies for experienced developers.

Is it hard to hire a developer in San Francisco?

As a major tech hub, it can be hard to find highly skilled developers in San Francisco that fit your budget – especially in Silicon Valley. San Francisco has a highly competitive tech talent market, with startups and small businesses struggling to compete with the salaries and benefits offered by major players in the region.

Talent retention can also be a challenge, with many developers looking to start their own companies as a result of San Francisco’s strong startup culture.

As a result, many companies in San Francisco are turning to dedicated tech hiring platforms like HireDevelopers.com to simplify the process of hiring developers and tech talent across San Francisco. These platforms offer a faster alternative to traditional hiring, offering thousands of pre-vetted engineers currently looking for new opportunities.

“The workforce possesses not only the required technical skills essential for start-ups but also vital business acumen. With a dense concentration of engineers, developers, designers, and entrepreneurs, the region has an intellectual magnet that continues to attract innovative minds. Universities like Stanford and UC Berkeley contribute to this talent pool, providing a stream of graduates ready to tackle the next big tech challenge or establish the newest disruptive start-up.”

Elena Davidson, CEO of Liberty Communications

How much does it cost to hire a developer in San Francisco?

According to levels.fyi, the average annual compensation for a software developer in San Francisco is $268,876, over $100,000 more than the national average for software developers in the United States and over $200,000 more than the national average salary for all jobs in the US.

With pre-vetted platforms like HireDevelopers.com, companies in San Francisco can save up to 80% on salaries and hiring costs.

How to hire a developer in San Francisco

The first step to hiring a developer in San Francisco is to decide on a hiring method. Traditional hiring methods include local job adverts, LinkedIn job posts and using your professional network to identify potential candidates.

However, these methods are often time consuming and can be expensive. The median time to hire a developer is around 41 days, with the slowest 10% taking up to 82 days and 38% of companies reporting project delays due to recruitment problems, according to the Linux Foundation’s 2024 State of Tech Talent Report.

Alternatively, many companies are now turning to services like HireDevelopers.com to cut costs and speed up the hiring process. With HireDevelopers.com, you can hire San Francisco developers at any price point and in just 24 hours.

You should also consider using coding challenges alongside a traditional interview during the hiring process – if you’re using a pre-vetted talent pool like HireDevelopers.com, this has already been done for you. Coding challenges allow you to assess problem-solving skills and coding expertise in a realistic, real-time environment.

If you need help putting together a job description or conducting a job interview, you can check out our helpful and comprehensive guides below. Alternatively, to cut your time-to-hire by 90% and unlock savings of up to 80%, get in touch and book your free HireDevelopers.com consultation today.

Why hire San Francisco developers with HireDevelopers?

Hiring the right San Francisco developer for your team is a huge undertaking, and the process can be intimidating, especially for startups and small businesses.

At HireDevelopers.com, our pre-vetted, global tech talent marketplace streamlines your hiring journey and cuts time-to-hire by over 90% without compromising on quality or stretching your budget. Receive a custom shortlist of top developers at any seniority level and at any price point within just 24 hours of your consultation.

Plus, we’ll handle all payroll, legal compliance and HR completely for free, giving you more time to start building with your new San Francisco dev.

Get in touch today and start hiring top-notch San Francisco developers in just 24 hours with HireDevelopers.com