Top Tech Hubs in Asia
Top Tech Hubs in Asia
Top Six Cities in Asia for The Tech Sector
Technological advancements are on the rise, and several startup scenes are trying to emulate the success of Silicon Valley. According to Nikkei Asian Review, many cities in Asia are slowly competing to become the new business powerhouses.
Medium.com lists down factors in why several entrepreneurs invest in Asia. Mainly because of the low cost of living, the wider pool of talent, technology, and opportunity due to its massive population and the scale of innovation. According to Aranca Research, technology and e-commerce are leading sectors in Asia, taking up to 27% of investments in 2014.
The research that was conducted was published in Collier International’s September 2018 study. It was launched as a continuation of their “Tech Trends in Asia” study. It presented the best locations in Asia for tech firms. It’s based on 50 criteria across socioeconomic, property and human factors. About 16 cities were examined in various developed and emerging markets across Asia, however several of these cities score poorly when it comes to employment and human factors.
According to the recent study of Collier’s International, Bangalore topped the list with a 68% score. The socioeconomic factors are its greatest strengths, along with a deep and wide talent pool. Bangalore is reported to be set on the fastest growing city in Asia in 10 years. After Tokyo, it has the largest stock of Grade-A of office space in Asia. Bangalore also has low-cost staff, office rents, and living spaces. However, the city scores considerably less on the quality of office accommodation and the quality of infrastructures.
Singapore takes the second slot and a 63% score, with a high score on the socioeconomic index. This is due to the strong talent pool and other measures such as safety, personal tax rates, and living quality. These factors come from the benefits of Singapore being a well-connected, financial hub for Southeast Asia and Asia-Pacific operations.
Claiming the third spot with a 61% score is China’s technology capital. The technology has broadened due to heavy investment of R&D. When it comes to property factors, Shenzhen scores well due to moderate employer costs, the ample availability of office stock and flexible workspace, and planned new supply.
Alternative Tech Locations
Beijing scored 60% and claiming the fourth place. These include high scores on the economic scale and growth potential while having a massive talent pool. Staffs costs are moderate despite CBD rents being the highest in China. Beijing is well-placed to strengthen its position as the leading field of artificial intelligence (AI).
Placed at 7th and scoring 59%, Hyderabad has a high potential in growth. Unlike others on the list, it scores much lower when it comes to socioeconomic factors, and doesn’t have a wide talent source like Bangalore. However, tax rates and cost of living are low, and the city scores better than many other Indian cities when it comes to human factors.
AN UNEXPECTED TECH LOCALE: HONG KONG
Occupying the 8th position, with a score of 59%, Hong Kong isn’t usually viewed as a technology hub; but with its connections with South China and Shenzhen, there were recent expansions in Hong Kong by large firms such as Facebook and Alibaba. An accelerating investment in Fintech was also established, including expansion by major banks such as JP Morgan. In addition, the Hong Kong Science and Technology Park is helping nurture new tech talent.
A new ecosystem of tech startups is emerging from these cities. With potential and good socioeconomic factors, these cities would eventually have a sustainable system of tech startups that may even go head-to-head with tech giant, Silicon Valley.