If you look at the voting record, the bay area is solidly democratic, the rest of california is not.
For example. here are the 2000 presidential election results:
http://www.polidata.org/en2000/ca00pcy.pdf
People like to think of the whole state as being full of granola-eaters, but in truth there are huge cities like Sacramento that are not very liberal at all.
That said, I think the recall vote was more against Gray Davis than for Arnold. We've had republicans in charge before (remember that guy named Reagan?) and I don't think this recall election is a real sign one way or another.
My sense is that California is the same as it has been. Arnold isn't much of a traditional republican, he's positively liberal in a lot of his views, so even if he creates a moderate republican vote in the state, I'm not sure how much of that rubs off on Bush.