There's no competition between the south and the rest of the country. They care more and will spend a higher % of their discretionary time and income on college sports than I do. It's a market like any other.
It's worth noting that, of PG's top 10 California recruits in the '22 class, 7 are committed to non-west coast schools. 2x to Texas, 2x to Duke, 2x to LSU and one to TCU.
I know a couple of these kids. Money (NIL), facilities and exposure seem to be the factors. Smaller contributing factor is political and cultural comfort zone (i.e., conservative parents wanting their kids in a red to reddish state).