New York Now Leads the U.S. in Tech Talent, Per CBRE

In a historic shift for the American labor market, New York City has officially overtaken the San Francisco Bay Area as the primary hub for technology professionals. According to a recent analysis by CBRE, this marks the first time in 13 years that New York has held the top spot.

📌 Executive Summary

• New York is now the #1 market for tech talent.
• Artificial Intelligence is the primary catalyst for this growth.
• AI-specific roles comprise nearly $\frac{1}{3}$ of all U.S. tech job postings.
• Office leasing is rebounding in cities with high AI demand.

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The Great Talent Shift: NYC vs. SF

The transition in leadership is a result of two diverging trends: a contraction in the Bay Area and an expansion in Manhattan. While San Francisco was the long-standing leader, the numbers have now flipped.

Colin Yasukochi, the executive director of CBRE's Tech Insights Center, explains the nuance:

"The story there is that there's been cuts in the Bay Area, so the tech industry has contracted the size of the tech talent workforce, and the finance sector [in New York] has hired a lot of tech talent and a lot of AI workers."

The Dynamics of the Shift

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The AI Explosion

The surge in AI (Artificial Intelligence) is not just a trend but a massive economic driver across North America.

Key AI Statistics

• Growth Rate: AI tech roles increased by $\approx 45\%$ over the last year.
• Job Creation: Since mid-2025, both New York and San Francisco have each added over $20,000$ AI-specific positions.
• Total Workforce: As of June, there are $751,000$ AI-related workers across the U.S. and Canada.
• Job Nature: This figure includes both entirely new roles and conversions of existing positions.

Top AI Hubs

1. San Francisco Bay Area (Still leads in AI specifically)
2. New York
3. Seattle
4. Washington

Note: In Canada, AI employment is highly concentrated, with 60% of roles located in Toronto, Montreal, and Vancouver.

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Impact on Commercial Real Estate

Contrary to fears that AI would automate jobs and empty offices, the opposite is happening in the short term. AI culture is fundamentally office-centric.

Leasing Trends

In the San Francisco Bay Area, AI has become the engine of recovery:

• H1 2024: AI firms represented 58% of all leasing activity.
• Since 2023: AI companies have leased roughly 10 million square feet, accounting for 30% of total activity.

Yasukochi notes that the "startup innovation culture" requires physical presence:

"People are in the office [a] minimum of four, but usually like five or six days a week... being together and working in person is just much more efficient and innovative."

Other high-activity AI leasing markets include:

• Manhattan
• Boston
• Seattle

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Final Outlook: Job Displacement vs. Creation

There has been significant anxiety that AI would lead to massive head-count reductions. However, the current data suggests a transformation rather than a deletion of roles.

def ai_impact(job_market):
    if job_market == "Finance":
        return "Creating new roles & transforming existing ones"
    else:
        return "Shifting talent distribution"

print(ai_impact("Finance")) 
# Output: Creating new roles & transforming existing ones

As Yasukochi concludes, AI is essentially changing the nature of work and creating new opportunities, particularly within the financial sector, rather than simply eliminating the need for human workers.

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