A panel of entrepreneurial thinkers consider the interplay between the big and the small in London's tech city
Providing a local focus at Internet Week 2011, the "What do big companies mean for London?" panel looked specifically at the tech powerhouses that are moving into East London and the effect that this might have on the established startup community that has built up around the "Silicon Roundabout". Will they crush them or complement them?
Big Companies Panel
The panel acknowledged that there are disadvantages to big companies migrating east — negotiations for thousands of square feet of building space, for example, are pushing prices beyond the reach of tech startups — but the speakers agreed that budding relationships between the big and small could be mutually beneficial.
Hiring (and poaching) talent was the hot topic. Sherry Coutu, VC/Angel Investor, said: "We need the big companies so that graduates can develop the relevant skillsets with them — and then we can poach them."
However, according to these entrepreneurs, this works both ways: small companies need the industry knowledge practical skills nurtured in big networks, and big companies need the innovative spirit that is essential to making a success of a bootstrapped startup.
As Coutu continued, "London is developing a healthy ecosystem that has big business people bumping into little business people bumping into students - not dissimilar to the depth of relationships that you get in Silicon Valley."
Each speaker concluded with one policy change that they thought would help London's tech ecosystem thrive.
Sherry Coutu, VC/Angel Investor: "I'm concerned about broadband. If we can't get good broadband throughout London, and especially tech city, it will be a big stumbling block."
Matt Elek, Publisher of Vice Magazine UK: "The government needs to be careful that we're not hampered in ten years time by the austerity measure that they're undertaking now."
Carlos Espinal, Manager/Partner, Seepcamp: "We need tax breaks for angel investment."
Rebecca Quinn, Director of EU Strategy and Operations, Wildfire: "It would be ideal if the government were to make it easier to hire senior management across borders."
-- Fiona McKenzie
Fiona McKenzie is a freelance writer in London and a contributor to Contagious magazine.
