London start-ups ‘could spawn the next Facebook’

The UK capital is the perfect place to nurture the next Mark Zuckerberg, creator of Facebook.

That is according to Jimmy Wales, the founder of Wikipedia, who has told the Evening Standard that the culture and diversity of London outstrips California’s Silicon Valley – the birthplace of technology giants Apple, Google and Yahoo – for creative inspiration.

Wales – who splits his time between London and Florida – believes that the variety of museums and galleries in the capital gives London a distinct advantage as a technological centre, describing California as “boring” by contrast. He said:

“London is…the crossroads of the world. Silicon Valley is, frankly, a dull place to live. You move down to the valley and it’s deathly boring. People don’t dream of moving to San José. It’s not like London.”

His claims are backed up by Mike Butcher, European editor of TechCrunch.com and co-founder of TechHub – a shared office space for start-ups just off Old Street’s Silicon Roundabout. He added:

“There is substance behind this. London’s start-ups reference the cultural surroundings, and fashion, music and art really influence what people are producing. We are seeing a lot of ideas that simply wouldn’t come out of Silicon Valley.”

However, Wales warned that London’s potential could be hampered by Britain’s attitude to entrepreneurs, saying that Brits “have an excessive willingness to…knock things that aren’t that bad.”

Butcher added: “Historically, people haven’t been able to fail in the UK, and it has been a problem. In Silicon Valley people often get funding because they’ve failed, and proved themselves. However, it is changing.”

The comments came as Wales prepares to lead the judging panel of December’s Tech Entrepreneurs Week. The initiative – part of a government scheme to develop Britain’s own “tech city” in East London – is expected to attract 800 delegates, including 200 investors and hundreds of start-ups and small companies looking to exchange ideas.

Google, who have pledged to support the UK government with the tech city project, recently announced plans to open a six-storey ‘technology community centre’ for start-ups near Silicon Roundabout. The area has become a hub for tech innovation, after dozens of online business set-up there.

© Crimson Publishing 2011