77% of YC 2026 Startups Are Based in San Francisco, Data Shows

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An analysis of Y Combinator's 2026 batch records found that 366 out of 477 startups list San Francisco as their location, accounting for roughly 77% of the cohort. The next closest cities — New York, London, and Boston — each claimed fewer than 25 companies, while only three startups identified as fully remote. Analysts attribute the re-concentration to the fast-moving nature of AI development, where informal information exchange, talent density, and investor proximity offer compounding advantages. Unlike the SaaS era, AI startups face rapidly shifting model capabilities and product boundaries, making early access to peer feedback and industry signals especially valuable. The large size of the 2026 cohort — spanning 478 records across four seasonal batches — further reinforces San Francisco's gravitational pull through intensified network effects.

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