London Rated the Second Most Innovative City

Startup Genome’s comprehensive ranking of international startup hubs revealed that London is the leading destination to start a technology business outside of Silicon Valley.

For the second year in a row, the city remained tied for its ranking with New York. With a total value of $142.7 billion, the UK capital’s startup environment is by far the greatest in Europe.

According to the report, London is one of the greatest cities globally for access to funding, activity, and quality in the investment ecosystem.

London companies have access to deeper capital pools than other international tech hubs, with an average seed round of $653k. That is higher than the world’s average of $494k.

Sadiq Khan, the Mayor of London, stated that the city is an excellent location for growing and scaling a global tech business. What’s more, he is proud of the tech ecosystem’s diversity and its international nature.

Generally, the United States and China have been seen as global superpowers for tech and startups for a long time, with China having the most patents in the world.

That said, COVID-19 has hastened the startup democratization, with Europe rapidly solidifying its place on the world scene. This year alone, Europe accounts for 17% of the leading 30 ecosystems, with London the only European city in the top ten.

Furthermore, three of the top five spots for Connectedness were secured by London, Amsterdam, and Berlin, highlighting the cross-border investment and the supportive digital ecosystems in Europe.

Notably, London is also one of the leaders in the field of artificial intelligence. What’s more, according to the report, fintech and edtech are two of London’s strongest sub-sectors.

The report’s publication overlaps with London Tech Week, connecting the international tech community in discussing how technology may aid in the resolution of some of the most crucial issues worldwide.