Santa Cruz, and the world at large, are entering a new “golden era”. In contrast to the previous year-which-must-not-be-named, we see a number of programs and economic indicators lifting us to new heights.

Biden Harris Infrastructure Plan

Starting at a national perspective, the Biden Harris Infrastructure Plan targets 3 key areas:

• Greenhouse gas emissions from multiple sectors, particularly transportation.

• Racial and economic disparities between the have and have-not communities who benefit from research and development.

• Job growth for tens of thousands of well-paying, union jobs.

If these programs are done right, we could see a wave of new companies emerging from labs across a range of critical technology areas, a more diverse set of entrepreneurs spread across more regions of the country, better coordination between government and private sector on shared priorities, and more domestic manufacturing. 

— Justin Field, National Venture Capital Association

Santa Cruz and the Monterey Bay area are key players in the national plan in many ways.

• Joby Aviation - the progress of eVTOL is transforming urban mobility.

  • Greenhouse emissions - electric aircraft will reduce the 12% of greenhouse emissions from the US commercial aircraft system. (1) Be sure to our attend our 6th Annual Green Tech event on May 6 to hear from Joby, and other inspiring stories about companies who are addressing global warming and pollution.

  • Jobs - earlier this year, Joby Aviation announced a $6.6B SPAC that will create hundreds of jobs throughout the region. Furthermore, Joby Aviation is making a concentrated effort to hire women and people of color into the workforce. Learn more about jobs and the culture of Joby Aviation at our 5th Annual Get Hired.

    • Joby: Air Taxis Will Drive Workforce Demand

• Santa Cruz Housing - after decades of no-growth policies, Santa Cruz is finally addressing the housing issues for new home buyers, for renters, and for homelessness.

  • 2021 Housing Projects - there are dozens of housing projects underway that both address our housing deficits as well as preserving our unique small town culture. Learn more about Santa Cruz housing projects on April 25-26 at City of Santa Cruz Library Site Re-Use Visioning Process

  • New Way Homes - founded by Sibley Simon, New Way Homes is fusing private investment with nonprofit social impact. (see “Part 4: Is Tech to Blame for Santa Cruz’s Housing Dilemma”)

Startup Funding

In the first quarter of 2021, global venture investments reached $125 billion, a 50 percent increase quarter over quarter and a whopping 94 percent increase year over year, Crunchbase data shows:

• Seed funding - seed funding held up in the first quarter of 2021, with $4.1 billion invested in seed-stage venture deals.

• Early-stage funding - early-stage funding experienced a surge in the first quarter of 2021, with $35.5 billion in funding, a 45 percent quarter-over-quarter increase and a jump of 63 percent year over year.

In June 2021, Santa Cruz Works will announce partnerships for the 4th cohort of the Santa Cruz Works Accelerator. Stay tuned for more information about how to apply.

MBEP 2021 Regional Economic Summit

Please join us on May 6 for the 7th Annual MBEP 2021 Regional Economic Summit. Learn more about our challenges, and add your voice to the solutions. Be a part of this new “golden era”.

(1) The United States, with the world’s largest commercial air traffic system, accounted for 202.5 million tons (23.5%) of the 2017 global CO2 total. EPA reports that aircraft contribute 12% of U.S. transportation emissions, and account for 3% of the nation’s total greenhouse gas production. EESI