🚀🤖👋💺🌁📉💫 This week in Bay Area business: AI departure, CRE and IPO optimism, batteries and a mansion on the block.
San Francisco Business Times
The San Francisco region's source for local business news & events. Part of the American City Business Journals network.
Where do we go from here?
A senior executive at one of the biggest Bay Area companies has decided that it’s time to step out for an “external opportunity.”
For real estate watchers the way forward might be getting sunnier, after reports containing encouraging views on San Francisco’s office market. Have we hit the bottom?
And some interesting views on the future of transport. Will the way of the future be in a Waymo or Cruise robotaxi? This VC thinks not.
Elsewhere, there was some battery news, Union Square positivity and some 2025 IPO opinions.
All this and more in another week in Bay Area business.
Salesforce's top AI executive just left the company by Owen Thomas
CEO of Salesforce AI, Clara Shih, has left for an "external opportunity." Shih's departure comes at a critical time for the company, and follows shortly after she took a starring role at this year's Dreamforce conference, Salesforce's annual showcase for new technologies and business trends where AI was front and center. Even before then, her rising star at Salesforce had gained her a spot on this year's Power 100 list.
Where does this leave Salesforce’s AI strategy?
Why is Vinod Khosla down on Waymo and Cruise robotaxis? By Sara Bloomberg
The future of autonomous transit might not be Waymo and Cruise, despite headlines and early market positions, according to legendary Silicon Valley investor Vinod Khosla . Rather than robotaxis, Khosla sees the future of urban transport being dominated by small shuttles riding along dedicated pathways instead of sharing the streets with cars, buses, bicycles and other forms of transit.
This is precisely the service being developed by South San Francisco startup Glydways. Khosla is an investor in Glydways.
"I believe Glydways can replace most cars in most of our cities in the next 25 years," Khosla said
WeWork – yes, WeWork – sees a future in S.F. by Sarah Klearman
A year after filing for Chapter 11 bankruptcy protection, WeWork is settling into its place in San Francisco’s postpandemic office market. Read the full story.
San Francisco expected to see best year for tech leasing since before pandemic by Mark Calvey
After years of hurt San Francisco’s commercial real estate sector is expected to reach a key milestone this year.
“2024 will be the highest year of leasing by tech companies since 2019,” Colin Yasukochi , head of CBRE Group’s Tech Insights Center.
Are we at a genuine inflection point? Possibly, nearly.
“It’s pretty clear that the worst is behind us in terms of demand fundamentals in the San Francisco office market,” Maximilian Saia , vice president of investor research at VTS .
New battery manufacturer replaces old at East Bay facility by Hannah Kanik
The East Bay’s position as a battery hub continues to evolve. A deal this week saw a 119,000 square foot battery facility change hands and the property in San Leandro will get a $20 million upgrade to produce another type of battery. Power up.
The week in real estate
A downtown university's future is trapped in San Francisco's upside-down office market
Jackson Square building to sell after major appraisal haircut
Executive profile: Cooley CEO Rachel Proffitt talks AI, IPOs and leadership by Simon Campbell
Global law firm Cooley LLP worked on the InstaCart, Uber and Snap IPOs. CEO Rachel Proffitt is optimistic about the IPO landscape in 2025, AI's impact on the legal profession and San Francisco.
Sonder risks delisting for third time since 2022 IPO by Alex Barreira
San Francisco lodging marketplace Sonder Holdings Inc. informed investors it is once again at risk of delisting from the Nasdaq. Just last week the company announced it was "now in full compliance with all Nasdaq requirements" after issuing new earnings reports dating back to 2023 to rectify major accounting and valuation errors it discovered earlier this year.
Kronos Bio explores significant cost cuts after pulling out of sole clinical trial drug by William Hicks
San Mateo cancer drug developer Kronos Bio says it will explore strategic alternatives and "significant expense reduction strategies" after terminating its only clinical-stage drug candidate after patients dropped out due to neurological side effects.
VC veteran Dick Kramlich’s Presidio Heights mansion is on market for first time in decades by Ted Andersen
Dating back to around 1927, the mansion was originally designed by renowned California architect Albert Farr. As an early Bay Area “starchitect,” Farr is known for creating luxury homes in the Bay Area's most prestigious neighborhoods that have stood the test of time. The asking price? Nearly $20 million.
ICYMI here’s what else you need to know
Oakland battery startup scoops millions in government CHIPS funding
Luxury French retailer Goyard doubles Union Square footprint with new lease
Williams-Sonoma store will stay open to at least mid-2025 before Chanel flagship
Who are the game changers in Bay Area business?
40 Under 40 nominations are open!
Nominations for our 40 Under 40 awards are open. For these awards, the name says it all, really: 40 innovative, awesome and inspiring people, under the age of 40.
Nominations are open and we want your help in selecting the Bay Area’s best of the best.
Get your tickets
What next for Oakland real estate?
Our annual Oakland Structures event will shine a light on the people, projects and trends that are shaping the city.
What key projects will redefine the city? What sectors are growing? How can Oakland ensure that it provides enough housing, and in an era of remote work, what does the future of office development look like?
When: Thursday, December 5, 2024, 8:00am –10:30am
Where: Oakland Marriott City Center & Oakland Convention Center
Tickets are on sale now, get yours here.
Moonshots and Doom Loops 🚀🌁📈➰💫
This weekly Bay Area business round-up is written by Simon Campbell, special projects editor at the San Francisco Business Times.
Reach out with news tips, questions or comments: scampbell@bizjournals.com.
And one more thing . . .
Nominate and celebrate 🏆🎊
Nominations are open for our awards and events including 40 Under 40, Fastest Growing Companies, Best Places to Work, Real Estate Deals of the Year, Most Influential Women in Bay Area Business, and many more.
Stay safe and have a good week.
