Silicon Valley is located on the southern part of San Francisco Bay Area in northern California. This region holds many of the world's largest technology corporations.The term Silicon comes from the large numbers of silicon chip inivaters and manufactures.Valley comes from the Santa Clara Valley which is located at the southern end of San Francisco Bay, given the name Silicon Valley and has been called that for 41 years. Silicon Valley made the world's first microprocessor named the Intell 4004 in 1971. The importance of Silicon Valley is the chips it makes and is a major technology corporation holder.