As somebody who founded and ran R&D-heavy companies in Czech Republic and in Bay Area - this is complete bullshit. Arguably the per-capita amount engineering talent is much higher in Eastern Europe, and it is untapped because the target market is small and there's lack of entrepreneurship tradition.

Sure, if you take 300M market like US and pool all the best talent to west-coast, there is a lot of engineers. But the market is saturated, and it's nigh-impossible to hire a team of the magnitude you can get in Eastern Europe. Canada? Oh please...