Whole business is devided like this:
Investors and HQ - San Francisco
Back office - Around Silicon Valey
R&D - Silicon Valey
People intensive work - Arizona
Reason. U will find the most motivated people to invest in San Francisco, most motivated R&D in Silicon Valey, best support for reasonable money around valey way to Sacramento or south to Santa Cruz and more south and best intensive workers in Pheonix.
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