London and Silicon Valley are two of the world’s leading hubs for tech start-ups, according to an in-depth Innovation Mapping Report released today by intelligence platform, Quid. The two regions are often cited as top global destinations for innovation, but this comprehensive study offers concrete proof to their claims, revealing that they top the charts for start-up growth, global investment and research into the development of cutting edge technologies.
The research illustrates the attractiveness of both London and Silicon Valley to global investors, with the findings showing that the two regions tech companies are receiving significantly higher levels of total funding and more investment deals than other global tech hubs such as Paris, Berlin and Tel Aviv.
Over the past ten years, Silicon Valley has dominated the start-up investment landscape, receiving over $110bn worth of venture capital and private equity funding. London is also showing strong growth, attracting $34.2bn in growth capital, more than three times the amount of total funding received by other tech hubs such as Paris ($8.9bn), Berlin ($9.1bn) and Tel Aviv ($3.5bn). So far in 2018, London start-ups have raised $5.6bn worth of VC and private equity investment, significantly more than the total amounts raised in Paris ($2bn) and Berlin ($1.6bn)1.
Silicon Valley (32) and London (16) also lead the way for the number of start-up IPOs over the past ten years when compared with the likes of Berlin (5), Paris (4) and Tel Aviv (4).
According to the report, the two tech hubs are increasingly creating companies across some of the most exciting areas for innovation, with almost half (47%) of all start-up companies in Silicon Valley and London falling into seven fast growing technology sectors – MedTech; Fintech; AI; Gaming; AdTech; Cybersecurity and Smart Cities.
London and Silicon Valley are also at the forefront of developing new ideas and innovations, with the research showing that both hubs have seen a marked growth in the volume of patent applications for new technologies and products across the seven key sectors identified in the report (Fintech, AI, MedTech, Cybersecurity, Gaming, Smart Cities, AdTech).