Technology & AI

Are we on our way to Somewhere? Seattle’s growth masks deep concerns about its future

(GeekWire File Photo / Kurt Schlosser)

I can’t get “Road to Nowhere” out of my head.

The 1985 Talking Heads song is built on conflict – happy and anxious at the same time. Songwriter David Byrne once described it as “watching doom despised, even joy.”

This puzzle proved to be important this week as two topics clashed.

Gene Balk reported in the Seattle Times that Seattle is ranked fourth among major US cities in terms of population growth. Around the same time, KUOW’s Monica Nickelsburg reported that Washington ranked second nationally in tech layoffs.

So, what is it? Are we growing, or are we dying?

Are cracks starting to form under one of the world’s most successful new economies?

Maybe a little of both.

For three decades, Seattle’s tech industry has been an incredible economic engine, transforming the region into a global center for cloud computing, e-commerce and artificial intelligence. Construction cranes that once reigned supreme have become symbols of seemingly unstoppable momentum.

But intensity and intensity are not the same thing.

And the psyche of Seattle — especially in the innovation community we follow closely — is broken.

The office towers are still there. So is Amazon, Microsoft and a deep pool of engineering talent. But something less tangible – confidence – has changed.

In nearly 30 years covering the tech industry, I’ve never heard this level of uncertainty among founders, investors and business executives about Seattle’s long-term trajectory. Former business leaders, once proud to call Seattle home, are now writing op-ed pieces in the Wall Street Journal about how the city lost its way.

It’s a bad look.

At last week’s GeekWire Awards, a longtime financier-turned-entrepreneur told me that Washington state is “breaking its edge.” Over the past year, we’ve heard versions of that concern over and over again from startup founders, investors, and tech leaders asking if Seattle still wants to compete as aggressively as other innovation hubs.

That doesn’t mean Seattle is falling. Far from it.

The region still has the biggest advantages: world-class research facilities, top tech talent, leading AI leadership and the strongest concentration of cloud and AI knowledge anywhere in the world.

But successful cities often make the same mistake as successful companies: They assume that the conditions that created prosperity will continue naturally.

History suggests otherwise.

And in this time of change, our political leaders are saying goodbye to entrepreneurs and job creators – taking our past successes and fumbling the ball at the 1-yard line for granted.

And speaking of fumbling at the 1-yard line – sorry, Browns fans, so soon? – that brings me to Cleveland.

Earlier this year on the GeekWire Podcast, Cleveland Mayor Justin Bibb reflected on what happened when one of America’s great industrial cities in the 1950s and 1960s failed to adapt as the economy changed.

“We didn’t turn around fast enough, and the world left us behind,” Bibb told GeekWire. “Now we’re a comeback story built on reinvention and resilience.”

Seattle is not Cleveland. The economic dynamics are different, the industries are different, and the level of innovation here remains high.

But the warning is not about falling. It’s about comfort.

Artificial intelligence is already reshaping the industry that shapes modern Seattle. Venture capitalists finance lean startups with fewer employees. Major technology companies are reviewing hiring needs and organizational structures. All stages of work are updated in real time.

At the same time, Seattle is facing growing questions about affordability, public safety, regulation, permitting, and whether political leaders fully appreciate how a fragile new leadership can make a difference.

Some cities are more competitive for talent and investment.

San Francisco Mayor Daniel Lurie has tirelessly promoted a simple message: “We are a growing city.” Miami, Austin, New York and emerging startup hubs across the country and planet are doing the same.

Nobody talks like that in Seattle.

We feel strangely uncertain about the industry that helped shape Seattle’s modern identity.

That uncertainty is important.

Because the danger facing Seattle isn’t suddenly diminishing. The slow erosion that occurs when a region begins to take its advantages for granted while competitors starve.

Population growth alone is not evidence of long-term economic strength. And there are no cranes, rising prices or the presence of a few corporate giants.

The real question is whether Seattle still has the ambition — and public direction — to remain one of the world’s leading cities as the AI ​​age reshapes everything around it.

Cities rarely see a place of change in the windshield.

Often, they only realize that the road has changed when the exit is in the rear view mirror.

Well, we know where we are going
But we don’t know where we were
And we know what we know
But we cannot say what we saw

[Editor’s note: Tech veteran and angel investor Charles Fitzgerald — who wrote the guest commentary earlier this year, “A warning to Seattle: Don’t become the next Cleveland” — and GeekWire co-founder John Cook will spend time next month in Cleveland examining what happened there and what lessons Seattle might draw from it. Contact [email protected]to share perspectives or lessons from the Rust Belt that may apply to Seattle’s future.]

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