FlashVision hopes to take advantage of the already skilled work force that has been developed by this critical mass with its recent announcement. The flash memory semiconductor manufacturer is spending $700 million to add equipment and tools to Dominion Semiconductor's currently unused Module II, a 275,000-sq.-ft. (25,548-sq.-m.) portion of the Manassas facility.

Manassas won out over other locations in Taiwan and Japan. "SanDisk visited our facilities here and in addition to seeing the Dominion facility and the amount of product going through the manufacturing process, they were able to hear from us what attracted the original IBM/Toshiba joint venture to Virginia in the first place," says Holcomb.

Donovan notes that one of Northern Virginia's strong points is its air service, which is provided by two international airports. One of those, Dulles, is the second-fastest growing airport in the nation. Recently, the Washington Dulles International Airport Authority approved a $3.4 billion investment to continue that growth.

On the downside, however, available space in Northern Virginia is hard to come by. "There's a lot of spec space going up, but it's consumed before its finished," Donovan adds -- but that's good news for developers.

Bethesda, Md.-based Clark Realty Capital and Pomeroy Investments of Fairfax, Va., are currently developing 2 million sq. ft. (185,806 sq. m.) of office space in the Dulles Access and Toll Road technology corridor. As part of the project, eight to 10 buildings, ranging from 150,000 to 250,000 sq. ft. (13,935 to 23,226 sq. m.), will be developed.

In Prince William County, a group called Data Centers Now is developing product specifically for the area's rapidly growing data center industry. Data Centers Now purchased 10 acres (4-hectares) of land, where it plans to build 275,000 sq. ft. (25,548 sq. m.) of data center space.

"The absorption is so rapid that we're now fast-tracking our development community as well as the corporate community," says Martin Briley, director of Prince William County Economic Development. "We currently have 10 projects under way to deliver 450,000 sq. ft. (41,806 sq. m.) over the next 12 months -- all speculative."

Fast tracking is crucial to the highly time-sensitive high-tech companies looking to take advantage of Northern Virginia's high-tech assets. Holder Construction, which developed AOL's $520 million facility in Prince William County, was able to get the facility up and running within nine months of the announcement.

Holder is also developing another high-tech newcomer's facility in Prince William. Covad Communications is investing $35 million to build its 100,000-sq.-ft. (9,290-sq.-m.) technology center, where it will employ 1,000 workers. Covad is the nation's leading supplier of digital subscriber line (DSL) technology whose services will add to the region's high-tech appeal.

"Prince William County provides our company with a favorable business environment," said Cathy Hemmber, COO of Covad. "Virginia's technology leadership, combined with Prince William County's low tax rate for programmable computer equipment and peripherals, reasonable land and site costs and rapid review and approval process for our building plans, were instrumental in our decision to locate in Prince William County."

The low tax rate for computer equipment that Hemmber mentions has been a major draw for many a high-tech company to Prince William, says Briley. "Effective July 1, 1999, we slashed our computer tax by two-thirds; we're the lowest in all of Virginia," he adds. "Previously, our tax rate was $3.70 per every $100 of value, with an 80-70-60-50-40 depreciation. We reduced it to $1.50 per $100 of value, and accelerated the depreciation to 50-40-30-20-10."

Neighboring Loudoun County also touts a low-tax environment. "We have rates as much as 20 percent lower than surrounding jurisdictions," reports Sandy Denham, communications and special projects coordinator for the Loudoun County Dept. of Economic Development. "And additional tax incentives are available to manufacturing, R&D, software development and the aerospace businesses. The county also offers an accelerated depreciation schedule on personal property."

Several Internet and technology-based companies are finding these low taxes extremely appealing. In the past year, Network Solutions Registry, the world leader in Internet name registration and global registry services, leased a 100,000-plus-sq.-ft. (9,290-sq.-m.) office in Dulles, where it will employ 300 to 400. Verio, the world's largest operator of Web sites for businesses and a provider of Internet services, also announced a new operation in the market. Verio occupied an 80,000-sq.-ft. (7,432-sq.-m.) foot data center, bringing 30 new jobs to the area, and TUSi Cabling Solutions opened an office for its subsidiary Total Upgrade Solutions, which will employ 100 workers. Sterling Semiconductor also decided to expand its operation with a $30 million investment.

In Fredericksburg, labor is the big draw. In addition to being the fastest growing region in the state, it is near two major military bases. "Those two bases have a high concentration of Ph.D.s," says Gene Bailey, president with the Fredericksburg Regional Alliance. "So we have a strong labor market here."