. . .the New York Times recently highlighted a trend in which large multinational firms are opening offices in the Silicon Valley. The reason? To get in on the venture capital game with tech-based start-ups:
From downtown San Francisco to Palo Alto, companies like American Express and Ford are opening offices and investing millions of dollars in local start-ups. This year, American Express opened a venture capital office in Facebook’s old headquarters in downtown Palo Alto. Less than three miles away, General Motors’ research lab houses full-time investment professionals, recent transplants from Detroit.
“American Express is a 162-year-old company, and this is a moment of transformation,” said Harshul Sanghi, a managing partner at American Express Ventures, the venture capital arm of the financial company. “We’re here to be a part of the fabric of innovation.”
Further proof that technology-based economic development–in all its forms–is becoming central thrust for development in general. The full article is here.