A new phase is unfolding in Silicon Valley’s long-standing divide between the affluent and those struggling to get by, highlighting stark economic contrasts across the region.

On one end, a new wave of investors and tech leaders is benefiting from a surging market that continues to push fortunes to record levels. On the other, a rising number of residents are finding it increasingly difficult to afford everyday necessities, including groceries and housing.

“We have the highest income and wealth gaps of anywhere on the planet, and that’s fueled by tech,” said Joint Venture Silicon Valley CEO Russell Hancock.

Data from the organization’s latest survey underscores the imbalance driven by the tech sector:

• The wealthiest 10% of residents control 75% of Silicon Valley’s total wealth.
• The bottom half of the population holds just 1%.
• More than 25% of households are unable to cover their basic living expenses.

While the technology industry continues to generate immense profits and attract global investment, the financial gains are concentrated among a small share of the population, leaving many families struggling to keep pace with the region’s high cost of living.