With the recent announcement that tech firms in London’s Silicon Roundabout have brought in a record $1.02 billion this year, it is clear that Tech City is thriving.
The billion dollar investment is more than 10 times the amount London’s technology groups raised in 2010 and marks a 30% increase compared to the $719 million raised in 2013. But what has caused this rapid growth in this once rundown area of East London?
Initially it was gaming and start-ups that drove the area up, bringing with them technically skilled workforces. The lure of affordable office space and the vibrant, artistic culture of this small area in East London became a huge attraction for younger, technically skilled workforces.
Combine a buzzing neighbourhood of likeminded people generating digitally creative ideas, a pool of technically skilled workforces and great transport links and it is easy to see what attracted the bigger companies to this area. Today, more and more tech firms feel confident in investing in the area, and this has been evident in the migration of Amazon to Principal Place.
But how can we sustain this growth?
For Interxion it’s about maintaining a commitment to the local area. Whilst the presence of these large organisations has undoubtedly contributed hugely to the £1 billion investment, smaller organisations have an extremely important part to play.
As a large data centre with a long-standing presence in the heart of Brick Lane, we are committed to supporting the next generation of talent. Whilst Interxion has some of the biggest media names in the world as clients, we realise that it is not just about providing infrastructure to large multinationals, but is about supporting smaller organisations in their journey to become the future giants as well. To see this in action, check out our Evolution of Gaming event.
Educating start-ups in their early stages of development, in particular about the affordable infrastructure options available to them, is something we are committed to. Most start-ups do not have their own infrastructure, preferring to use a cloud based infrastructure in order to keep overhead costs low.
Investment in smaller companies is just as important as investment in larger organisations if Tech City is to reach its predicted $12 billion target in the next decade. Creative companies need the investment for their ideas to become reality, and entrepreneurs need creatives to breathe life into their ideas. Therefore, as well as providing education to these start-ups, Tech City need to realise the importance of affordable office space to the future generation of talent.
We are committed to cultivating and supporting this part of the Tech City media community. We look forward to seeing who becomes the next Facebook, Uber or Zynga