China’s Zhongguancun unseats Silicon Valley to become world's top tech hub

BEIJING: Zhongguancun town, in Haidian District, Beijing has unseated San Francisco's Silicon Valley as the top technology hub in the world, according to a report published by chinadaily.com.cn.

A US-based business resource company, Expert Market conducted the study.

Beijing's Zhongguancun tech community has became the top destination for the brightest tech talents around the world, due to its favorable climate for early stage funding, good performance in startup output and the city's affordable cost of living, revealed the Top Tech cities in the World 2017 report.

About 10 data points were used to determine the rankings, such as the average salaries for software engineers, how long it takes to get a business up and running, cost of living and monthly rent prices, growth index and startup output, Forbes reported citing the methodology of the study.

Berlin ranked second, down from the top spot, which it held in 2016, and San Francisco, where Silicon Valley is located, took the third spot. Shanghai grabbed the sixth place as a new entrant to this year's list, with high growth index, relatively low monthly rent and good startup experience.

Chinese government's efforts in tech innovation and achievements of Chinese companies such as Alibaba and Tencent form the reasons for China to top the list, according to Sophia Patsikas, lead researcher at Expert Market, as reported by Forbes.

In addition to China's leading role in supercomputers and market influence in security products, messaging apps, ride-sharing services, electric cars and e-commerce, the rapid growth of China's startups and growing global presence point to big potential for other Asian economies as well, Patsikas added.