Interesting study on high-tech start-ups leaving Atlanta…and why

Just came across a study from Georgia Tech on this issue from, admittedly, over a month ago:

* Forty percent of Atlanta’s high-tech start-up companies leave the state within three years, with California, New York, New Jersey, and Florida serving as their most common destinations. “Instead of building great high-tech companies, Atlanta has become a feeder system for great high-tech companies in other states,” says study co-author Dan Breznitz, assistant professor in the Schools of International Affairs and Public Policy within Georgia Tech’s Ivan Allen College of Liberal Arts.

* Although Atlanta features top research universities, a large educated labor pool, a wealth of new technologies and entrepreneurs, a vibrant creative class, and generous venture capital financing, the city lacks the cohesive business social structure needed to sustain high-tech companies.

* Little contact exists between the IT executives in Atlanta’s most promising start-ups and those at the city’s Fortune 500 and other established technology companies. CEOs, attorneys, and managers in Atlanta IT companies don’t sit on each other’s boards and don’t communicate.

Full report here.

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