According to a report titled as "2010 Index of Silicon Valley", Silicon Valley is witnessing heavy signs of slowdown.

Citing the recession for the area's decrease in jobs, patents, incomes and venture capital investment, the report indicates that Silicon Valley is suffering a shift away from the very fields of work that fueled the region to fame, such a software and semiconductors.

The report also said that recession's toll on both state and federal governments, has contributed to the region's ongoing rough patch. The budget crisis and political turmoil are the primary factors in this particular case.

"2009 was a rough year. We learned the hard way that Silicon Valley is not immune to the larger forces at work in the global economic recession", said Russell Hancock, Joint Venture’s President and CEO and Emmett Carson, Silicon Valley Community Foundation’s CEO, in a joint statement. "Like other regions, we have lost tens of thousands of jobs, absorbed thousands of home foreclosures, and seen our incomes decline. Despite our many strengths—from talented people to world-class technology—we could not insulate ourselves from the larger economic downturn", they added.