It's quite sad, but it is what it is. If you're not white you shouldn't stay there for long. Particularly not at night or whenever there's a football match. It's gotta be hard for such a place to compete with more cosmopolitan regions, particularly with Germany's demographics. If Dresden can't attract immigrants then its semiconductor industry will have to move elsewhere as ethnic Germans retire.

EDIT: I don't mean to say you can't live there. It's not a war zone. But it's a rough place.