California has most Fortune 500 companies than any other state in US
SAN FRANCISCO -- In a list published Tuesday, Fortune magazine announced that California was home to 57 of the nation's 500 largest companies. A higher number than every other state in the country.
The news is getting the attention of Governor Gavin Newsom, who took to X to brag about the state's lead over rivals Texas and Florida.
"It doesn't surprise me because it's such an important place to do business," said Jim Wunderman.
Wunderman is the head of the Bay Area Council.
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Of the 57 companies statewide, 44 of them are based here in the Bay Area - with the vast majority of them being tech-related.
"Companies need to be here. The most powerful companies, the largest market cap companies are here," said Wunderman.
Experts say the Bay Area's economic ecosystem is unique with everything from high levels of investment, innovation and a highly qualified workforce.
"There was another release that San Franciscans have the highest level of educated employees in the country. And that's another piece where academia is so important," said Rodney Fong, of the San Francisco Chamber of Commerce.
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One of the biggest contributors to California's performance this year was the growth of artificial intelligence companies.
Nearly all of the big players in AI are based here in the Bay Area, and with the technology still in its infancy, many believe the explosion of growth is just beginning.
"There is a lot of fuel to burn here so we can go to the maturity level of AI. And if AI technology one day became mainstream, then there's another technology that would show up here in Silicon Valley and start the cycle again," said Ahmed Banafa.
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Banafa is a tech guru and professor at San Jose State University.
He says despite the tough times both the Bay Area and California went through following the pandemic, he's optimistic about the state long term.
"California goes through cycles. It might go down a little bit for a few years but it goes back to the top immediately," said Banafa.
After California, New York and Texas tied for second place, with 52 companies each.
