Startups – The Information Revolution

While the most successful tech startups in the last two decades like Google, Facebook and Amazon now loom large in the global economy, it is highly likely that the powerhouses that will drive the global economy in 2025 are companies you?ve never heard of today. Many don?t even exist yet. They will be launched from?Silicon Valley, certainly, but increasingly from unexpected places like Bangalore, S?o Paulo, Singapore, and the many startup ecosystems around the globe that are increasingly in frenzied competition for the magic combination of investment dollars, founders, talent, and culture that leads to a thriving startup ecosystem. With trillions of dollars of GDP at stake, it?s no wonder governments are paying rapt attention.

With an estimated Startup Output of 3,200 to 5,400 active tech?startups and an Ecosystem Value of $44 billion, it is the fourth?largest ecosystem in the world, and the largest in Europe.?London is the second fastest growing ecosystem in?Europe, after Berlin and above Tel Aviv. Read more….

Silicon Valley has earned its reputation as the global tech mecca?with 14,000 to 19,000 startups and 1.7 to 2.2 million high-tech?workers.?Silicon Valley captures about 45% of the top 20?s?VC investments and exit value, almost 5x its closest?competitors.?Read more….

Parisian entrepreneurs have a reputation for building dominant?startups in industries such as EdTech, the sharing economy,?collaborative consumption, and artificial intelligence.?The French?capital boasts of between 2,400 and 3,200 active tech startups?and is ranked #11 amongst startup ecosystems globally. Read more….

Los Angeles is ranked the third-strongest ecosystem?in the world. At $34 billion, it ranks #5 in Ecosystem Value?(estimated value of all startups at or prior to exit). There are?between 5,500 to 8,300 active tech startups. Los Angeles boasts success stories such as Snapchat, SpaceX, and Tinder. Read more….

Bangalore, India?s third most populous city, has emerged as?the startup capital of India. The city is home to approximately?3,100 to 4,900 active tech startups and has achieved the second?highest growth rate for exit volume and VC investment among?the top 20. As a result, it moved up four positions to?#15 in 2015, advancing from #19 in the 2012 ranking. Read more….

New York has evolved into the second strongest startup?ecosystem in the world over the past three years, with?approximately 7,100 to 9,600 active tech startups and the second?highest amount of VC investments in the world.?As per ?JLL, local tech employment has?grown by as much as 40% since 2008?a slightly higher rate than?in Silicon Valley. Read more….

Sao Paulo is the economic capital of Latin America. The city has?around 20 million people and is a vibrant cultural and financial?hub with more than $2 billion in daily trade on its local stock?exchange. Although affected by Brazil?s economic downturn, this?previously fast-growing ecosystem moved up one position (from?#13 in 2012) and is currently home to around 1,500-2,700 active?tech startups.?Read more….

Berlin?s tech scene has grown?very fast since 2010 and was the fastest growing hub in 2014.?It was ranked #15 in 2012 and is now #9 in 2015. According to?data, Berlin is home to between 1,800 to 3,000 active tech?startups. By 2020, Berlin?s startups could potentially create as?many as 40,000 new jobs.?With 49% foreign and 27% female employees,?Berlin is the one of most diverse ecosystem in Europe.?Read more….

Sydney is home to 1,500 to 2,300 active tech startups and half of Australia?s 500 largest companies. The Startup ecosystem is clearly capable of producing dominant startups, as Atlassian, Campaign Monitor, and recently Freelancer.com demonstrate. Cumulatively, these three startups already add upto a market capitalization of around $3.5 billion.?Sydney? has relatively high cost of software engineers?(around $88,500),?50% above regional average, but still 33%?lower than Silicon Valley.The availability of later-stage venture capital is a key?bottleneck.?Read more ….

Singapore is known for being one of the world?s top financial?centers, and increasingly as the premier startup launchpad of?Southeast Asia. Its business friendly environment is a fertile?ground for startups, with 2,400-3,600 active tech startups calling?the city-state home. Singapore climbed seven ranks to becomeAsia-Pacific?s?1st??ecosystem to the top 10 in ranking..?Singapore enjoys a significant inflow of talent, yet it is still difficult?for startups to find experienced software engineers because of?the competition of larger companies and a culture that does not?value risk-taking.?Read more….

Boston has a long-standing history of entrepreneurship, with a significant number of tech companies that have gone public. Boston is second only to Silicon Value in Ecosystem Value with $46 billion and ranked #5 in Startup Output with 3,700 to 4,500 active tech startups. Today, the majority of Boston?s startups are science driven and B2B, so they often flow under the radar of media coverage. A notable success story highlighting that Boston is not only focused on B2B models is WayFair. The eCommerce startup raised $305 million during its IPO and is currently worth more than $3 billion. Read more

Tel Aviv is a prominent startup ecosystem in the global landscape, ranked #5 overall. The city has an exceptionally strong startup ecosystem with a well-balanced set of quality resources. It counts 3,100 to 4,200 active tech startups, making it the 7th largest overall and #2 in Europe after London. Startups in Tel Aviv traditionally focused on areas such as enterprise IT, security, and networking technology. Today?s entrepreneurs are engaged in far more diverse sectors & Tel Aviv startups attract more foreign capital than any other European ecosystem. Read more

As the largest city in America?s Midwest, Chicago has between 1,800-3,000 active tech startups and is now ranked #7 in startup ecosystems globally. Stakeholders including Mayor Rahm Emanuel, local investors, and 1871 (an incubator that is home to around 240 startups) have worked hard to measurably improve the local startup ecosystem?and they have succeeded. Chicago now has more than 40,000 tech jobs. Read more

Seattle has a deep history of software expertise due to the prominence of local companies like Microsoft and Amazon. Research suggests that Seattle?s cluster is currently home to 1,500 and 2,200 active tech startups.Based on Seattle?s geographic proximity to Silicon Valley and its lower cost for engineering talent, Seattle has become an attractive option for talented startup entrepreneurs and the tech-savvy workforce alike. Read more

Amsterdam is an attractive location for tech startup founders due to its unique lifestyle aesthetic and great startup infra, and while it?s not as big as other startup ecosystem’s in European, it certainly has the ambitions to become like them. It is ranked? at #19 with more than 1,900-2,600 tech startups. It is geographically defined by the Amsterdam – The Hague-Eindhoven triangle. Read more

Vancouver’s economy is? fueled by software development, biotechnology, aerospace, and entertainment. Vancouver is currently home to between 1,600 and 2,700 active tech startups . Recent success stories include HootSuite and Avigilon, which together created more than 1,000 jobs and became part of the Canadian ?Narwhal Club? for startups with valuations beyond $1 billion. Read more

Toronto is the most populous and economically powerful city in Canada. It is home to the world?s seventh largest stock exchange, and is a vibrant hub for innovation and entrepreneurship. It now comprises between 2,500 to 4,100 active tech startups. Software engineers in Toronto receive around half of the salary of their peers in Silicon Valley (~$55,000 vs. ~$120,000). Read more…

With its cultural diversity and high quality of life, Montreal has proven to be a fertile ground for entrepreneurs and innovative startups. Analysis suggests that Montreal is home to around 1,800 to 2,600 active tech startups. it has the lowest engineering salaries among North America?s top 20, and additionally benefit from Canada?s generous R&D tax credits of up to 70%. Read more

Startups – Biggest Creator Of Jobs

Beyond wealth, startups also bring jobs. Lots of jobs. In fact, they?re the only ones who bring new net job growth. The highly influential Kauffman study demonstrated that over the past 28 years, startups were responsible for all net new job creation in the U.S. On average over that period, Industrial Era companies?shed more jobs than they created, while startups added to the total. Moreover, this stunning finding held up even when looking at individual years. In 21 out of 28 years (75%), startups were the only net job creators. Together, these circumstances make for a very simple equation: In the coming decades, the ecosystems with the most thriving startups will enjoy the most thriving economies.