The Wall Street Journal has an interesting article today talking about Dallas-based venture funds which flopped by investing in telecom and networking companies. It explains that funds in Silicon Valley and Boston are doing better than those in Texas, Washington state or New York.

Coincidentally, today there is also news that online video company Ooyala has now raised $20 million and online video conferencing company ViVu raised $3 million. Both as you guessed it are based in Silicon Valley. Most importantly of course is the fact that wireless equipment maker Mass-based Starent Networks just got sold to Cisco for $2.9 billion.

If history is any guide and this trend continues, we can expect Mass and Silicon Valley to be parts of the country which recover more quickly from the economic downturn than the rest.