[randomdata]

I didn't have the same takeaway. I believe his point is that SV is known for tech, and tech itself has been bountiful because it is free of so many market restrictions. Therefore SV has been able to thrive.

You cannot, for instance, buy a $10K CNC machine and start building production cars because you will find yourself mired in red tape for until you are completely broke and never ship a single unit. Because of that, Detroit, the place known for cars, never got to see any real innovation beyond what the established players could generate and eventually started to die out as a result. That is not a failing of Detroit, just a failing of the industry Detroit is known for.