New York has replaced San Francisco as the leading metropolitan area for tech talent employment for the first time in 13 years of analysis, according to a report from CBRE. The New York market contains 394,300 tech workers compared to San Francisco Bay Area’s 375,730, marking a significant shift in the regional distribution of technology employment across North America.
The change reflects broader industry dynamics, with the Bay Area experiencing workforce reductions while New York’s financial sector has actively recruited technology and AI specialists. Across the U.S. and Canada combined, AI-related tech roles expanded by 45% in the past year, with both New York and San Francisco each adding more than 20,000 AI-specific positions since mid-2025. As of June, approximately 751,000 AI-related workers were employed across the two countries, accounting for nearly one-third of all tech job listings in the U.S.
Geographically, 37% of U.S. AI jobs are concentrated in four markets: San Francisco Bay Area, New York, Seattle, and Washington, though San Francisco maintains the lead in AI employment specifically. In Canada, AI employment shows greater concentration, with Toronto, Montreal, and Vancouver accounting for 60% of those positions.
The growth in AI employment is driving increased office leasing activity in key markets. In San Francisco, AI companies represented 58% of all leasing activity in the first half of this year and have accounted for 30% of leasing since 2023, totaling approximately 10 million square feet. Unlike earlier technology booms that shifted toward remote work during the pandemic, AI-focused companies maintain more office-centric cultures with employees typically working on-site four to six days weekly. This in-person emphasis is supporting office market recovery in San Francisco, Manhattan, Boston, and Seattle.
Industry observers note that while concerns existed about AI reducing overall employment and office space demand, the technology has instead created new positions and transformed existing roles rather than eliminating jobs, particularly within the finance sector.
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