San Francisco State Enrollment Plummets 22% — A Warning Sign for California’s Failing Policies
San Francisco’s economic “doom loop” continues to deepen — and now it’s reaching higher education. Over the last five years, San Francisco State University (SFSU) has lost 22% of its student enrollment, falling to just under 20,700 students for Fall 2025, according to official California State University data.
Meanwhile, just 50 miles away, San Jose State University (SJSU) is booming. With nearly 40,000 students enrolled — an 8% increase from the prior year — SJSU has hit record highs and become one of the system’s most vibrant campuses.
A Tale of Two Cities — and Two Policies
The difference between these two schools mirrors the broader divide between San Francisco and the rest of California. Once a symbol of innovation and culture, San Francisco is now defined by high taxes, out-of-control costs, and public disorder. Families, businesses, and now students are choosing to leave.
Local officials at SFSU admit that the city’s skyrocketing cost of living, weak job market, and declining quality of life are major reasons prospective students are turning elsewhere. Even with new marketing campaigns and a campus rebrand, enrollment continues to slide.
In contrast, San Jose’s pro-business environment and connection to Silicon Valley have kept its local university thriving. Strong partnerships with companies like Nvidia, Adobe, and Zoom, along with active civic leadership from Mayor Matt Mahan, have helped San Jose State attract and retain students — building a direct pipeline from education to employment.
The Broader Decline
SFSU’s enrollment drop is just one indicator of a city — and a state — in trouble.
- Businesses are relocating to lower-tax states.
- Tourism is down, and major hotels have closed.
- Commercial buildings are selling for 50% less than their previous value.
- Public school enrollment has also been in free fall.
Every sector of the city’s economy is shrinking, and California’s tax-and-spend model is driving people and investment away.
Why Reform Matters
San Francisco’s decline is not inevitable — it’s the result of policy choices. Excessive taxation, overregulation, and political neglect have hollowed out the state’s middle class and driven employers across state lines.
Ballot initiatives that lower taxes, reduce wasteful spending, and restore accountability can help turn this around. A competitive, affordable California will not only keep businesses and families in the state — it will also keep universities like SFSU from collapsing under the weight of bad policy.
San Francisco’s “doom loop” should serve as a wake-up call. Without serious reform, California’s economic engine will continue to stall — one student, one business, and one city at a time.
