Silicon Valley businesses brace for Brexit impact

LONDON (KGO) -- Britain will be the first major country to leave the EU, which was born from the ashes of World War II as European leaders sought to build links and avert future hostility. With no precedent, the impact on the single market of 500 million people - the world's largest economy - is unclear.

The U.K.'s vote to leave the EU is sparking conversation and some consternation in Menlo Park.

"Oh my gosh, I think it's pretty scary," said Therese Maher, Menlo Park resident.

"It's more or less their business, and their problems are just beginning because the votes are the easy part," said Bob Quist, who also lives in Menlo Park.

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The hard part is how Brexit will play out in the U.S. Some Silicon Valley startups aren't sure how to react.

"Certainly there's concerns for a number of start-up companies in the area," said Greg Tarr.

Tarr's company Glympse does business in the United Kingdom.

"I still have my United Kingdom customers buying from my west coast companies, business as usual," he said.

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Tarr thinks in the long term, the inner workings of the European Union will have little impact on his company's bottom line.

"I have companies doing business in the U.K. this week...between counties," said Tarr.

Solaria Perez-Stepanov, a financial analyst at Morgan Stanley, is confident the Valley's top tech companies will ride out the political changes overseas.

"Here in San Jose, it's booming, innovative place and I think companies will continue to innovate regardless of what's going on in the EU," said Perez-Stepanov.

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One complication that could arise for Internet companies is if the U.K. passes different rules than the EU and the U.S.

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