Economy Has Become a Drag on Silicon Valley

Housing prices in Silicon Valley remain defiantly high. New BMWs and Saabs cruise Highway 101. But for the first time there are signs that the current economic downturn is taking its toll on the country’s cradle of technology and innovation. Job growth has slowed, start-up companies are hiring and spending more cautiously, and early-stage investors who nurture the start-ups with money and expertise are growing more frugal.

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This is a section of the AllThingsD Web site featuring posts that have been curated from around the Web: pieces we’ve read, discussions we’ve followed, stuff we like. Five posts are included here each weekday, but only the headline and the first two sentences. We link to the original site for the rest. The section is explicitly labeled, so it’s clear that content comes “from other Web sites.”

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