New York is not used to being second at anything. And yet Silicon Valley is undoubtedly the leading tech hub in the nation. It was there first and has birthed start-up after amazing start-up and as a breeding ground for tech innovation it is still the leader.
It might look as though New York has no hope of every catching up, and yet… The thing is New York’s superiority in a range of fields: media, communications, fashion, finance and all the advanced service industries like banking, accountancy and management has to count for something.
Putting together all that expertise plus the free wheeling tech culture should produce winners?
Perhaps it will, but there are difficulties. The very free wheeling, let’s try everything, approach of the innovative tech guys and gals is at odds with all those established industries that New York is so good at. The new tech innovators are also massive disruptors. What happens when industries kind of want to be in the forefront of tech innovation without there being too much disruption?
It’s too soon to say what will happen but in the meantime New Yokr is grabbing more and more Venture Capital (VC), the lifeblood of tech innovation.
For years Silicon Valley has hoovered up the bulk of all the VC available. Now that is changing.
In the second quarter of 2014 New York wracked up a billion dollars in VC investment in both start-ups and in tech companies of various sorts.
SIlicon Valley still gets 4 billion dollars to New York’s one billion but the 86% growth in VC funds coming to the tech innovators in New York is a significant level of investment not seen before.
Never discount the committment to succeed that has New Yorkers always striving to be the best not matter what. This is as true in tech industries as it is in any other New York field.
There is currently tremendous energy in the New York tech area so look out Silicon Valley you have a big competitor.
And don’t forget the New tech hub currently being built on Roosevelt Island. Supported by both Cornell University and Israel’s Technion it is going to start graduating the kind of tech talent that has long made Silicon Valley the leader in tech innovation.
How long will it be before Silicon Alley has made up the difference and it can be said that New York is the tech leader as well as the leader in so many other fields? Not long that’s for sure.