Cambridge, the esteemed English city celebrated for its university, scientific advancements, and burgeoning technology scene, harbors aspirations to evolve into the Silicon Valley of Europe.
In support of this vision, the British government is allocating funds for various infrastructure initiatives, including housing and transport. These endeavors aim to propel Cambridge, situated just north of London, into the distinguished status of “Europe’s science capital.”
Finance Minister Jeremy Hunt has said the goal is for the city to become “the world’s next Silicon Valley”.
This endeavor aligns with a recent report by HSBC bank, ranking the UK as the world’s third-largest “tech ecosystem,” with venture-capital investments reaching $21.3 billion in 2023.
The global leaders in this regard are the United States, boasting an impressive $150 billion, followed by China with nearly a third of that total. While the San Francisco area holds the distinction as the original global hub for technological innovation, the high cost of living in and around the city has prompted the exploration of alternative locations.
Cambridge, despite being recognized for its academic and technological prowess, faces the challenge of overpriced homes and offices. In response, the UK government is stepping in to address this issue by including provisions for “affordable” housing in the city as part of the comprehensive plan.
Innovate Cambridge, a joint venture involving the university and key entities like AstraZeneca and Microsoft, has set an ambitious goal to double the city’s “unicorns” – privately held startups valued at over $1 billion – by 2035.
Currently, Cambridge boasts 23 unicorns, a figure comparable to Berlin, while London leads with 39. Notably, the city hosts tech powerhouse Arm, known for its semiconductor design utilized in smartphones globally.
Recognized by the United Nations as the top science and technological cluster by intensity relative to its size, Cambridge stands at the forefront of innovation and aims to solidify its status as a thriving hub for groundbreaking startups.
Despite this, the 2023 Global Innovation Index designates Paris as Europe’s leading innovation cluster, considering factors like the concentration of inventors and scientific authors.
Mark Slack, co-founder of CMR Surgical, highlights the pivotal role of Cambridge in propelling his life science company to likely unicorn status in 2019. He emphasizes the unique technical expertise available in the city, stating that sourcing the necessary skills in physics, mathematics, and computer science would have been challenging elsewhere.
CMR Surgical, established in 2014, specializes in small, modular robots designed for minimal access surgery.
Cambridge is viewed as providing “access to an incredible infrastructure of talent,” according to Mark Slack, co-founder of CMR Surgical. Notably, a study by Virgin Money in the previous year ranked Cambridge as the best UK city to start a business. The city excelled in categories such as innovation, happiness, commute length, employment rates, and internet quality.
Interestingly, population size doesn’t seem to be a decisive factor in Cambridge’s potential as the next Silicon Valley.
Despite Silicon Valley’s significantly larger population of around three million compared to Cambridge’s approximately 150,000, the number of unicorns in Silicon Valley is only about three times more than in the English city.
Cambridge possesses the potential to leverage its successful history as it embarks on a reinvention, according to Michael Anstey of Cambridge Innovation Capital, a venture capital firm specializing in life science and deep tech. Over the last six to seven decades, the city has demonstrated strength in translating academic innovation into tangible commercial opportunities.
Cambridge has been at the forefront of major scientific breakthroughs, with contributions to the discovery of DNA’s structure, in vitro fertilization (IVF), and the application of stem cells for medical treatment.
