Part of the problem is probably that LA is so close to the Bay Area - it's easy for tech talent to move up the coast or even semi-commute there instead of building a new hub.
A lot of talent starts in LA, but it gets immediately poached by literally every other city. If you don't have a Hollywood tech job, it's grim. I really want to stay, but can see a realistic/near future where I leave. (But I'm not going back to Irvine ever again)
In my case, I ended up just not working in LA itself for half the time I've lived here. I've spent at least as much time working in the Bay Area, Austin, Seattle, Irvine, and now Portland as I have working in LA because the companies and compensation are just so much better elsewhere.
Admittedly, I don't know what the OC startup scene is like, I've got student loans that can't be paid with equity...