Remote Surveillance Trailer in Santa Clara, CA

Silicon Valley, industrial region around the southern shores of San Francisco Bay, California, U.S., with its intellectual centre at Palo Alto, home of Stanford University. Silicon Valley includes northwestern Santa Clara county as far inland as San Jose, as well as the southern bay regions of Alameda and San Mateo counties. Its name is derived from the dense concentration of electronics and computer companies that sprang up there since the mid-20th century, silicon being the base material of the semiconductors employed in computer circuits. The economic emphasis in Silicon Valley has now partly switched from computer manufacturing to research, development, and marketing of computer products and software.

Valley of Heart’s Delight

Early in the 20th century the area now called Silicon Valley was a bucolic region dominated by agriculture and known as the “Valley of Heart’s Delight” owing to the popularity of the fruits grown in its orchards. It is roughly bounded by San Francisco Bay on the north, the Santa Cruz Mountains on the west, and the Diablo Range on the east. But Silicon Valley is not only a geographic location. The very name is synonymous with the rise of the computer and electronics industry as well as the emergence of the digital economy and the Internet. As such, Silicon Valley is also a state of mind, an idea about regional economic development, and part of a new mythology of American wealth. Other U.S. states and even other countries have attempted to create their own “Silicon Valleys,” but they have often failed to re-create elements that were crucial to the success of the original.

Terman and Stanford Industrial Park

If any single person is responsible for Silicon Valley, it is the electrical engineer and administrator Frederick E. Terman (1900–82). While a graduate student at the Massachusetts Institute of Technology (MIT; Ph.D., 1924), Terman saw how the faculty at Cambridge actively pursued research as well as contact with industry through consulting and the placement of students in corporations. Returning home to Palo Alto in 1925 to join the faculty at Stanford, where he had received his undergraduate degree, Terman realized that Stanford’s electrical engineering department was deficient. At MIT the faculty were experts in a broad range of fields—electronics, power engineering, computing, and communications—all on the leading edge of research. At Stanford the electrical engineering department had a single focus—electric power engineering.

Terman set out to build Stanford into a major centre of radio and communications research. He also encouraged students such as William Hewlett and David Packard (of the Hewlett-Packard Company) and Eugene Litton (of Litton Industries, Inc.) to establish local companies. Terman also invested in these “start-up” enterprises, personally demonstrating his desire to integrate the university with industry in the region.

When the United States entered World War II in 1941, Terman was made director of Harvard University’s Radio Research Laboratory, which was dedicated to producing radar jamming and other electronic countermeasure technologies. At war’s end he returned to Stanford as dean of engineering, intent on transforming Stanford into a West Coast MIT. First, he selected technologies for research emphasis; given his wartime work on microwave radar, he began with microwave electronics. Second, he solicited military contracts to fund academic research by faculty members who had worked in microwave technology during the war. By 1949 Stanford had become one of the top three recipients of government research contracts, overshadowing all other electronics departments west of the Mississippi River.

In 1951 Terman spearheaded the creation of the Stanford Industrial (now Research) Park, which granted long-term leases on university land exclusively to high-technology firms. Soon Varian Associates, Inc. (now Varian Medical Systems, Inc.), Eastman Kodak Company, General Electric Company, Admiral Corporation, Lockheed Corporation (now Lockheed Martin Corporation), Hewlett-Packard Company, and others turned Stanford Research Park into America’s premier high-technology manufacturing region. A mutually beneficial relationship developed: professors consulted with the rent-paying tenants, industrial researchers taught courses on campus, and companies recruited the best students. The park was Silicon Valley in miniature. As more firms moved to the region, fueling demand for basic electronic components, technical skills, and business supplies, many former high-technology employees started their own companies. Long before the personal computer, the start-up was the culture of the Valley.

From semiconductors to personal computers

In 1956 William Shockley, Nobel Prize-winning coinventor of the transistor, established his new Shockley Semiconductor Laboratory in the park. Within a year a group of dissatisfied engineers resigned en masse to join with Fairchild Camera and Instrument Corporation to establish Fairchild Semiconductor Corporation in nearby Santa Clara. (Engineers from Fairchild went on to coinvent the integrated circuit in 1958.) This was the first of many corporate fractures that shaped the American semiconductor landscape. Of 31 semiconductor manufacturers established in the United States during the 1960s, only 5 existed outside the Valley; the remainder were the result of different engineers leaving Fairchild.

The late 1960s and early 1970s saw a fundamental change in the semiconductor market. By 1972 the U.S. military accounted for only 12 percent of semiconductor sales, compared with more than 50 percent during the early 1960s. With the growth in consumer applications, by the mid-1970s venture capitalists had replaced the U.S. government as the primary source of financing for start-ups. Meanwhile, entrepreneurs were quickly establishing firms to supply the semiconductor manufacturers with everything from instruments and measurement equipment to furnaces and cubicle partitions. In Silicon Valley it was possible to establish a corporation, find venture capital, rent space, hire staff, and be in business within a matter of weeks.

In the 1980s and ’90s the Silicon Valley landscape changed further as the economy shifted from semiconductors to personal computer manufacturing and then to computer software and Internet-based business. Economic growth during the transitional period 1986–92 was an anemic 0.7 percent per year, leading many manufacturers in the region to demand government protection from foreign competitors. Nevertheless, Stanford students continued to establish roughly 100 new companies each year, including Sun Microsystems, Inc., in 1982 and Yahoo! Inc. in 1994. Successful entrepreneurs returned as venture capitalists to plow their expertise and wealth back into the Valley. The intellectual density of the Valley grew, and the constant movement of employees and skills continued. Yet, through all this frenetic growth, personal contact remained central to the Valley way of doing business. Indeed, personal relationships were as important in the age of the Internet as they were when the U.S. government gave out military research funding in the early years of the Valley’s development. A venture capitalist might read thousands of business plans, but it was usually the personal presentation and the personality of the entrepreneur that determined funding. A poor presentation would sink all but the most brilliant plan. This was one of the great ironies of the boom economy of the 1990s. While the Internet enabled global communications, many of the technologies that made this transformation possible were the product of a local culture of face-to-face interaction.

Companies that run data centers are facing increasing scrutiny for guzzling water in the dry western U.S. as artificial intelligence fuels a boom in the industry.

California legislators passed a bill this month that would require the facilities to report their projected water use before they begin operating and thereafter certify how much they use annually. The bill is now awaiting Gov. Gavin Newsom’s signature.

“Data centers are popping up all over the place,” said Assemblymember Diane Papan (D-San Mateo), the bill’s author. “And they demand so much water.”

The large buildings packed with equipment typically use water to cool their servers and interiors.

The International Energy Agency said in a recent that a 100-megawatt data center in the U.S. can consume approximately 500,000 gallons of water per day. But it said innovations in cooling systems can significantly reduce that.

The California legislation requires companies to submit water information for both new and existing facilities.

“It’s very important that localities be able to plan for what’s next, whether that’s building more housing or building data centers, and data centers happen to be incredibly thirsty,” said Papan, who chairs the Assembly Water, Parks and Wildlife Committee.

Much of the nation’s data center construction boom is taking place in arid states, including California, Arizona and Texas, where strains on water have been mounting amid dry conditions and rising temperatures.

The ongoing , where reservoirs are approaching critically low levels, is expected to force additional reductions in water use in the Southwest in the coming years.

A key goal is to prevent problems, Papan said, “so that we don’t end up with a data center without sufficient water, and we don’t end up with a community that has a data center that takes too much water away from the community.”

Assembly Bill 93 was opposed by business groups including the Data Center Coalition. Newsom has until Oct. 12 to sign or veto it.

In a released this week, researchers with the nonprofit group Ceres analyzed current and projected water use for data centers in the Phoenix area, where, as of May, there were 75 of the facilities and 49 more planned. It found that water for cooling, as well as water consumption linked to electricity generation, is expected to dramatically increase in the coming years as more facilities come online.

The group projected that cooling water alone in the area could increase to more than 3.7 billion gallons per year, enough to supply a city of about 80,000 people for nearly two years — a change they said could increase water stress in a region that is already grappling with scarcity.

“This needs to become a consideration in those areas,” said Kirsten James, senior director of Ceres’ water program. “If companies and their shareholders do not address these sustainability risks, then that could leave them open for financial loss, and so they really need to be proactive.”

Experts say California has more than 300 data centers, with many more planned.

Some major tech companies already disclose their data centers’ water use in other parts of the country, so it makes sense for the state to collect this information, especially since California is known for both leading on innovation and for having long droughts, said Shaolei Ren, an associate professor at UC Riverside who studies data centers’ use of resources.

“We ask California residents to switch to artificial turf and display ‘water conservation’ stickers in public places, yet data center water use remains hidden,” Ren said. “Disclosure doesn’t hurt the industry or add costs; it simply helps us track and manage a vital resource more responsibly as we build the next generation of data centers.”

Inside data centers, servers generate heat as they run, and are typically cooled by systems that circulate either liquid or air through them. Many data center buildings have industrial-scale cooling towers where water evaporates and helps cool the interior environment.

Some use much less water than others. Facilities with closed-loop dry coolers may use virtually no water on-site, while those that rely on evaporative cooling are more water-intensive, Ren said.

Notably, the types of systems that require little water are generally more energy-intensive and costlier, Ren said.

The rise of artificial intelligence as well as growing investments in cloud computing are driving the data center construction boom. While some companies don’t report their water use, others do.

Google, for example, listed water data for three dozen data centers around the world in its latest annual , saying a single site can use anywhere from nearly zero water to more than 3 million gallons per day, depending on its cooling design and size.

It said some of its more water-intensive centers, including two in Iowa and Oklahoma, require five to six times as much water as an average golf course, while various other facilities use less than a typical golf course. None of the data centers the company listed are in California.

Google said it is focused on “advancing responsible water use,” and that last year, 72% of its water “came from sources at low risk of water depletion or scarcity.”

Michael Kiparsky, director of the Wheeler Water Institute at the UC Berkeley School of Law, said requiring data on water use is a good first step, but local officials may not know what to do with that number alone.

For example, he said, it won’t let them know if there is a more conserving option, or another location with more water available.

Oakland, CA – September 24, 2025 – In a landmark move for higher education, College Track, a national nonprofit dedicated to equipping students from under-resourced communities to graduate from college, and Santa Clara University (SCU) are proud to announce a groundbreaking strategic partnership to expand access to higher education for first-generation California students. This collaboration combines College Track’s comprehensive student support model with SCU’s commitment to affordability and inclusive excellence, creating new pathways for talented students to thrive.

At the heart of this strategic partnership is SCU's commitment to welcome a dedicated and qualified cohort of two to three College Track scholars each year. The University will cover 100% of demonstrated financial need up to the cost of attendance, ensuring that financial constraints do not hinder their educational journey.

Beyond financial support, scholars will benefit from tailored support services including mentoring, academic advising, and career counseling, all designed to complement SCU's rigorous educational programs. This holistic approach ensures that students not only succeed academically but also thrive personally and professionally.

Further amplifying its commitment to early talent development, SCU will invite select College Track high school juniors and seniors to participate in existing SCU summer programs at no cost. This initiative aims to build an early admissions pipeline for first-generation students, setting them on a path to higher education success from an earlier stage.

“Santa Clara University is thrilled to partner with College Track as part of the university’s ongoing efforts to open doors of opportunity for all talented students, including those who are first in their families to attend college,” said Julie Sullivan, president of Santa Clara University. “By identifying and nurturing academically qualified students, eliminating financial constraints, and accompanying them on their journey of discovery and growth, we continue to live out our Jesuit, Catholic mission of serving students and communities, propelling our vision of developing leaders who will build a more humane, just, and sustainable world.”

This strategic partnership aligns with College Track’s mission to close the opportunity gap for first-generation college students and SCU’s values of fostering education, justice, and service to others. By combining SCU’s academic excellence and financial resources with College Track’s 10-year program model, the collaboration aims to create transformative opportunities for California’s most promising underserved students.

"Santa Clara is a unique institution, offering rigorous academics, a commitment to student success – both before and after graduation – and a sense of belonging within a values-driven campus community right in the heart of Silicon Valley. We are thrilled to partner with this university," said Dr. Shirley M. Collado, President & CEO of College Track. "The scope of this partnership not only provides our California scholars with an opportunity to achieve their dream of earning an affordable bachelor’s degree, it also opens the door for our high school juniors and seniors to attend the university’s summer programs, demonstrating the depth of SCU’s commitment to college access."

About College Track

College Track’s mission is to help students from under-resourced communities earn a bachelor’s degree and build lives defined by opportunity, choice, purpose, and possibility.

Today, more than 5,000 College Track high school and college students across California, Colorado, Louisiana, and the D.C.-Maryland area are pursuing their goal of becoming the first in their family to graduate from college.

Nationwide, our 1,100 alumni represent what’s possible when students have long-term support and access to higher education. Ninety percent of our students are the first in their families to attend college, and 84 percent come from under-resourced communities. They graduate at more than two and a half times the national rate for first-generation peers.

To learn more about College Track and our work to support first-generation students, visit collegetrack.org.

About Santa Clara University

Founded in 1851, Santa Clara University sits in the heart of Silicon Valley—the world’s most innovative and entrepreneurial region. The University’s stunningly landscaped 106-acre campus is home to the historic Mission Santa Clara de Asís. Ranked among the top 15 percent of national universities by U.S. News & World Report, SCU has among the best four-year graduation rates in the nation and is rated by PayScale in the top 1 percent of universities with the highest-paid graduates. SCU has produced elite levels of Fulbright Scholars as well as four Rhodes Scholars. With undergraduate programs in arts and sciences, business, and engineering, and graduate programs in six disciplines, the curriculum blends high-tech innovation with social consciousness grounded in the tradition of Jesuit, Catholic education. For more information, see www.scu.edu.

For Media Inquiries:

Lisa RobinsonSanta Clara Universitylrobinson2@scu.edu

Christy JohnsonCollege Trackcrjohnson@collegetrack.org

One of Valley Water’s most controversial and costly projects has been shelved indefinitely.

The water district’s board of directors unanimously voted Tuesday to suspend the Pacheco Dam expansion project after eight years, which would have brought the dam’s water capacity from 5,500 acre feet of water to 140,000 acre feet of water. Directors cited the skyrocketing billion-dollar price tag and repeated delays as reasons for the suspension. The latest estimates show costs ballooning to $3.2 billion and construction not beginning until 2029 at the earliest.

“Our board’s responsibility is to balance water reliability with affordability, and we are deeply concerned that moving forward with Pacheco would place too great a burden on our ratepayers without cost-effective benefits,” Board Chair Tony Estremera said in a news release.

Valley Water has already spent $100 million on the project, including $24.4 million of a $504 million state grant, according to spokesperson Matt Keller. Estremera said the district will withdraw from the grant and return the remaining funding.

Another new obstacle presented at the meeting is the U.S. Bureau of Reclamation’s denial of Valley Water’s request to import Central Valley Project (CVP) water into the expanded Pacheco Dam. The report said federal representatives see the project’s main benefits as environmental rather than for increasing water supply, and that they’d only benefit Valley Water.

Aaron Baker, Valley Water’s chief operating officer of water utility, said at the meeting CVP is Valley Water’s largest imported water supply. To use non-CVP water, the district would need a long-term Warren Act contract, which is an exchange of water rights managed by the Bureau of Reclamation. Baker said this could take even more time and come with restrictions.

“This is a significant setback as it greatly limits the project’s viability and reduces opportunities for partnerships,” Baker said at the meeting.

Valley Water first unveiled its plans in 2017 to build a dam that would expand Pacheco Reservoir to increase the local water supply amid an ongoing drought. The proposed site is about a 30-minute drive east of Gilroy, between Henry W. Coe State Park and Pacheco State Park.

At the time, cost estimates pegged the project at about $970 million. By 2019, that price had risen to about $1.2 billion, adjusting for inflation. Fast forward to 2021 and the cost ballooned to $2.5 billion, after studies showed deeper excavations would be necessary to build the dam’s foundation. Rock quality would also require a reconstructed spillway to enhance stability, increasing the price, as well as a longer construction timeline.

A coalition of environmental advocates, local Indigenous tribes and landowners have been pushing the board to cancel the project for years, even suing Valley Water in 2022. Osha Meserve, a representative from the Stop Pacheco Dam coalition, said the group is glad to hear of the board’s decision.

“We applaud Valley Water’s decision to finally stop pursuing this unsustainable project the ratepayers could not afford,” Osha Meserve told San José Spotlight. “Now that Pacheco Pass will be spared from destruction, we hope that going forward, Valley Water will work with communities, tribes and water experts to identify smarter water supply solutions with broad support.”

Katja Irvin, Guadalupe group conservation chair for the Sierra Club’s Loma Prieta Chapter, said they’re “ecstatic” the project’s being shelved.

The project would have impacted more than 28,000 acres of designated critical habitat around the assessment area. Irvin said it would have destroyed dozens of landscapes with unique plants, such as a rare Sycamore woodlands habitat and various animal species including California red-legged frogs and the California tiger salamander.

“There’s always issues to look at, but this one was so huge it was just so much more important and more environmentally impactful than anything else they’re doing, exponentially more, so this is such a relief,” Irvin told San José Spotlight. “It’s a happy day for the environment.”

In suspending the project, directors told district staff to research other ways to increase water storage and supply in the county, and to come back with a presentation within a few months. Irvin said she’ll be keeping an eye on future Valley Water projects and the environmental impacts. She wants the district to look for ways to reduce its reliance on the San Francisco Bay Delta.

Director Rebecca Eisenberg said this is a good opportunity to increase investments in water recycling or desalination, which could increase the district’s water supply.

“This is a long time coming, but we don’t need to look backwards,” Eisenberg said at the meeting. “We can look forward and I’m thrilled for the future.”

Story updated Aug. 27 at 7:21 p.m. Original story published Aug. 27 at 4:30 p.m.