Establishing New York as a serious competitor to Silicon Valley

With the economy in decline, New York recently led the country in number of jobless claims. The Chinese character for crisis and opportunity is the same. Can the current economic crisis be leveraged into something that will establish New York as a serious competitor to Silicon Valley?

With the world economy in decline or crisis, governments at all levels (federal, state and city) will be much more open to new ideas to bolster the high technology industry in New York. To be blunt, with the economy in decline, many expect the number of startups in Web 2.0 and social networking space to decrease dramatically- perhaps by an order of magnitude. Financial industry and advertising/media based startups are expected to fare no better. New York could be behind rather than ahead, at the end of this downturn.

Conventional approaches to bolster high technology industry are based on a “Economic Development Board” approach. Tax incentives for new businesses, Efforts by government to attract investment from within the US and abroad as well as government led recruiting initiatives to attract talent can play a key role.

However, this may not answer the coming challenge in any meaningful way. In the next blog, I will propose a different approach.





Published in: on October 31, 2008 at 12:46 pm  Leave a Comment