Canada-based global commercial real estate services organization, Colliers International has made a report based on 50 different criteria involving socio-economic, property and human factors.
A total of 16 cities were examined and their workability index for the tech sector was determined. While emerging cities show high growth potential and low operating costs, they tend to score less in employment criteria and human aspirational metrics.
According to the recent ‘Top Locations in Asia: Technology sector’ report, Bangalore, Singapore and Shenzhen have come out as the best choices for starting and expanding technology operations in Asia.
Bangalore’s greatest strengths are socio-economic, set to be the fastest-growing city in Asia over the next five to 10 years. Bangalore also has the largest number of Grade A office space in Asia after Tokyo. Low employee costs and office rents and quality of infrastructure have made the city to be on the top.
Singapore comes in second place because of its strong talent pool and other measures including personal tax rate, safety and living quality. Singapore is expected to continue this growth as it has as a well-connected financial and communications hub for South East Asia and APAC operations.
Shenzhen’s high ranking isn’t a surprise as it is China’s technology capital. Investment in R&D has helped the city’s tech base beyond hardware manufacturing. Shenzhen offers flexible workspace and well-planned outcomes.
After these top 3, Beijing and Hyderabad have shown the best numbers for tech companies in the continent. Beijing is well-placed to strengthen its position as a leading location of Artificial Intelligence.
Hyderabad, on the other hand, has very low tax rates and cost of living as compared to others. Also, the city is considered one of the best in Asia on human factors.
Acquiring talented workers for tech firms is a key challenge in Asia. Talent is mainly available in specific markets such as China and India and these are growing quicker than others. To retain talent, tech firms need to increase their innovation skills. Also, AI is creating threats for demand in workforce space by increasing the productivity of workers. These conclusions show that people who are updated with technology can earn high while those who are ignoring it, will face problems.