New York Overtakes San Francisco as Top Tech Talent Hub, CBRE Report Reveals

Deep News
Aug 21

A fresh analysis from CBRE Group Inc indicates that, for the first time in its 13-year tracking period, the number of tech professionals in New York's office market has surpassed that of San Francisco, driven largely by the artificial intelligence boom. Research data shows that AI-related positions now account for nearly one-third of all tech job postings across the United States. Cities with the strongest demand for AI talent are witnessing a resurgence in office leasing activity.

The rapid growth of tech workers specializing in artificial intelligence is exerting a significant influence on regional office markets, a trend that comes as little surprise. According to the latest report from CBRE Group Inc, New York now leads the nation in the size of its tech workforce within the office sector, buoyed strongly by AI advancements. The firm's data tallies 394,300 tech roles in New York, narrowly edging out the San Francisco Bay Area's 375,730 positions. This report analyzed tech employment figures across 75 metropolitan areas in the United States and Canada, marking the first time New York has claimed the top spot in the survey's 13-year history.

Colin Yasukochi, Executive Director of CBRE's San Francisco Tech Insights Center, commented on the shift: "The reality behind this is that there have been layoffs in the Bay Area, with the broader tech industry trimming its workforce. Meanwhile, New York's financial sector has been absorbing a large number of tech and AI-focused professionals."

Data from CBRE Group Inc shows that AI job postings across the U.S. and Canada have surged by 45% over the past year. Since mid-2025, both San Francisco and New York have each added more than 20,000 new AI positions. As of June this year, the combined AI-related workforce in the two countries stands at 751,000, encompassing both newly created roles and those converted from existing positions. The report notes that AI-related jobs now represent close to one-third of all tech job listings in the United States. By city, 37% of U.S. AI roles are concentrated in the San Francisco Bay Area, New York, Seattle, and Washington, D.C. Although New York leads in overall tech talent numbers, San Francisco still holds the top position in pure AI-focused talent. In Canada, AI employment is even more geographically concentrated, with 60% of such jobs located in Toronto, Montreal, and Vancouver.

Correspondingly, cities with high demand for AI talent are seeing increased office leasing activity. According to CBRE Group Inc, AI companies accounted for 58% of San Francisco's office lease transactions in the first half of this year. Since 2023, AI firms have leased a cumulative total of approximately 10 million square feet, representing 30% of all leasing deals completed. For decades, the broader tech sector has been the backbone of the Bay Area office market, but the pandemic pushed many tech roles into remote work. In contrast, the AI industry relies heavily on in-person presence and is now helping to revive the local real estate market. Yasukochi explained, "The AI industry carries a strong startup and innovation culture, with employees coming into the office at least four days a week, and in most cases five to six days. In the process of innovation and development, face-to-face collaboration leads to much higher efficiency and creative output."

Beyond San Francisco, other regions with significant AI-driven office leasing include Manhattan, Boston, and Seattle. There were earlier concerns that artificial intelligence might reduce headcounts and thereby lower office demand, but at least in the short term, that has not been the case. Yasukochi highlighted the financial industry as an example, noting, "AI is more about transforming old roles and creating new ones, rather than simply eliminating jobs."

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