Bottom of the Valley?
Original post by Anna Deacon via World Finance
The Silicon Valley – the world-famous bastion for technological innovation – might have passed its glory days. Facing increasing competition from emerging markets such as China and India, the tech haven is suffering a ‘brain drain’ at a worrying rate.
However, any flight of expertise would simply correct for the large influx of immigrant entrepreneurs that flooded the sun-drenched region for generations. Reports indicate that as many as 52 percent of Silicon Valley’s start-up companies were founded by immigrants, and immigrant inventors contribute to 25 percent of US global patent applications.
The immigrants who flooded Silicon Valley form an integral part of the vital region; but loyalties are shifting. Turning their backs on the renowned home of IT innovation, many entrepreneurs have decided to take their practices back to their native countries, or relocate to other attractive tech havens – be it in China, India, Germany, France or elsewhere. According to a study carried out by researchers at Berkeley, Duke, and Harvard universities, many immigrant students plan to return to domestic shores rather than settle in Silicon Valley – which up until a few years ago had been the norm.
So where will the world find its new technological nexus? Countries such as China and South Korea have a distinct headstart thanks to the vast quantity of capital being pumped into their respective technology sectors. However, experts agree that it’s difficult to determine if these destinations really have what it takes to develop environments to rival the expertise and infrastructure already in situ at Silicon Valley.




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