Feeds

Move over Silicon Valley, the Chinese are coming

KPMG report says PRC will be innovation leader by 2016

High performance access to file storage

Over 40 per cent of technology leaders think that Silicon Valley will be supplanted by China as the world’s leading tech innovation hub, according to a new report from KPMG.

The consultancy interviewed hundreds of tech execs from start-ups to multi-nationals across the globe and found that 44 per cent believe China will replace Silicon Valley, with the tipping point coming as early as 2016.

India got 22 per cent of the vote as “most likely new Silicon Valley” followed by Japan and South Korea.

“The key takeaway from this survey isn’t that Silicon Valley is becoming less of a force, but that other areas of the world are becoming important technology innovation hubs,” said KPMG partner Gary Matuszak.

The report will be music to the Communist Party’s ears as it tries to achieve a recent goal to transform the People’s Republic an “innovation-oriented country” by 2020 and a “world technological power” by 2049.

Yet despite boasting some big name global tech firms such as Lenovo and Huawei, Chinese firms are sparsely represented in the report’s table of “top companies driving disruptive innovation”. Apple was way out in front with 37 per cent, while Google (23 per cent) and Microsoft (15 per cent) rounded out the top three.

Lenovo was the only ranked Chinese firm, coming in fifth place with 11 per cent of the vote.

However, one area where China is leading, and innovating, is cloud computing.

The Asia Cloud Computing Association last year revealed the Chinese government is set to invest $154 billion to grow the industry and has ascribed five Cloud Computing Service Innovation Pilot Cities to help lead the way.

EMC’s president of Greater China, Denis Yip argued back in June that the country is leading the world in cloud deployments – helped by the fact that most organisations don’t have the 50-60 years of legacy systems holding them back that US and European firms have to deal with.

The Silicon Valley Bank certainly thinks there's potential in the PRC, having announced a joint venture with Shanghai Pudong Development Bank (SPDB) which will see it lend to local start-ups. ®

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.