I used to live up in the Valley for many years until I moved down to Los Angeles about 5 years ago. Doing a startup in Los Angeles has been difficult, mostly in trying to find and network with other like minded individuals but with a little effort we're finding its not all that hard. We use meetup.com and upcoming.org a lot to find or setup local tech meet ups.
It seems to be really starting to make a difference though, there's more of a sense of a growing tech community in LA now (a welcome relief from the entertainment buzz). Hopefully it'll keep growing.
So while I agree its definately harder than it is in the Silicon Valley, its not impossible. There are other people out there doing startups, you just have to proactively try and find them and bring them together if someone else isn't doing so already in your area.
Also being in LA, I'd say the major difference is really the access to funding and to deal-making in general.
I haven't been looking for funding so much, but I've heard frustrated stories from those who have. There just isn't the kind of widespread network that includes angels and VCs like there is up north.
It is nice to see more non-entertainment-related tech startups in LA, but honestly there's a long way to go.
Also, maybe it's just me, but there's still a geographic issue. It seems like startup activity was split between Santa Monica, Irvine, Pasadena, Encino and Hollywood for the longest time.
I think we can say the Santa Monica and west-of-WeHo area has won, at least since Yahoo moved their Overture group to the Santa Monica campus. About time, but this is just the ground floor. Funding sources are still spread all around too.
It seems to be really starting to make a difference though, there's more of a sense of a growing tech community in LA now (a welcome relief from the entertainment buzz). Hopefully it'll keep growing.
So while I agree its definately harder than it is in the Silicon Valley, its not impossible. There are other people out there doing startups, you just have to proactively try and find them and bring them together if someone else isn't doing so already in your area.