Bengaluru Beats London, Becomes World’s Fastest Growing Tech Hub | Mumbai At #6
According to new research released in London on Thursday, Bengaluru has emerged as the world’s fastest-growing mature tech ecosystem in the world since 2016. The Silicon Valley of India is followed by European cities of London, Munich, Berlin and Paris and Mumbai.
The Karnataka capital saw investments growing by 5.4 times from $1.3 billion in 2016 to $7.2 billion in 2020, whereas the Maharashtra capital saw it growing 1.7 times from $0.7 billion to $1.2 billion in the same period. London saw it growing 3 times 2016 and 2020, rising from USD 3.5 billion to $10.5 billion.
Bengaluru : The Fastest Growing Global Tech Hubs For VC Investment:-
Hemin Bharucha, chief representative of India at London & Partners said that “It’s fantastic to see that Bengaluru and London ranked as the top two fastest growing global tech hubs for VC investment. Our two great cities share mutual strengths in entrepreneurship and innovation – creating lots of opportunities for tech investors and companies to do business across both regions”.
He added that this would that there are potential trade and investment relationship with cities across India. Despite the pandemic, technology companies in London and India have done well and are also leading the way creating game changing technologies – especially in high growth sectors such as EdTech and Fintech. Also UK’s exit for European Union brings certainty for Indian companies and investors looking to London, which could mean more Indian businesses being welcomed in UK.
In a global list topped by Beijing and San Francisco, New York, Shanghai and London making up the top five, Bengaluru ranks sixth for the world’s tech venture capitalist (VC) investments, whereas Mumbai comes 21 in rank at the list. Behind these two, cities of Munich, Berlin and Paris has seen the investments double in the period of 2016-2020.
Investor Confidence In London:-
London Mayor Sadiq Khan said that London has an important role to play in the city’s economic recovery. He added that London is already home to some of the world’s best technology companies and will remain open to international investment and tech talent from all over the world.
Laura Citron, CEO of London & Partners said that despite the global pandemic, the investment activities have not stopped, rather have shown the other trend with London tech firms raising $10.5 billion in 2020 – significantly more than the total amount raised in 2017 ($7 billion) and 2018 ($5.9 billion). This reflects the investor confidence in London.
Following the outbreak of the global pandemic and an increase in remote working in 2020, enterprise software technologies emerged as a top sector for VC investors.