London has reigned undisputed as Europe’s digital startup king since the first rise of the digital economy in the old continent. However, Berlin has recently established itself as London’s chief rival, even before the UK’s EU referendum. According to UK Prime Minister Theresa May, the implementation of Brexit will not occur until 2017. However, will the uncertainty of a Post-Brexit world cause more digital startups to choose Berlin over London?
Certainly, the power brokers in Berlin have felt a shift is coming ever since 2014, when the city surpassed London in venture capital investment. Now, the city’s senate has actually taken the time to approach businesses with London headquarters, in a bid to persuade them to up sticks and move to the German capital of cool.
It is possible that British venture capital funds will lose out on cash received from the European Investment Fund (EIF) once Brexit is implemented. In 2015, VCs received over £550 million from the EIF.
Clearly, Berlin believes this potential loss of money could be one of the final tipping points in terms of startups choosing to move to Silicon Allee over Silicon Roundabout. However, how does the German capital actually compare to London in terms of startup ecosystem, taxation, cost of living and other important factors? 99designs sets the (still) European juggernauts side by side in the infographic below.
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Who takes the startup city crown?
Clearly, our startup heart beats for our home and Vaterland, Berlin. However, we want to know which city you believe will claim the title. Where do you think all the tech talent will move to in the foreseeable future? Where would you take your startup dream to make it a reality? Leave us a comment down below.
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