TheSPREAD OF INNOVATION

An Ever Increasing Appetite for Innovation Centers

Note: 88 innovation centers opened or announced to be opened between March 2016 and October 2016

Silicon Valley’s Leadership is Contested…

…As Asia Becomes the New Innovation Magnet

321 4No. of Centers 5 6 7

Legend*Maps not to scale

Asia

Bangalore (3)

Abu Dhabi (1)Dubai (1)

Hyderabad (2)

Nanjing (1)

Busan (1)

Shanghai (2)

Tokyo (2)

Hung Hom (1)

Makati (1)

Singapore (4)

Tel Aviv (2)

Pune (2)

Jaipur (2)

North America

Toronto (2)Waterloo (1) Philadelphia (2)

Cinnaminson (1)Baltimore (1)New Jersey (1)Pittsburgh (1)

Atlanta (3)

Melbourne, Florida(1)Orlando(1)

Silicon Valley (7)Ione (1)Salt Lake City, Utah (1)

Australia

Melbourne (1)

Johannesburg (2)Cape Town (1)

Lagos (1)

AfricaWestern Europe

Paris (2) Kemptthal (1)

Wetzlar (1)London (2)Kettering (1)Surrey (1)Telford (1)

Manchester (1)

Spread across Trondheim, Ålesund and Gjøvik (1)

Greenfield (1)

15% 13%13%

30%29%

26%

30% 31% 32%

25%27%

29%

Jul-15 Feb-16 Oct-16

Rest of the World

Europe

US

Asia

Asia Overtakes Europe and Becomes the Second Biggest Innovation Destination....

4 out of top tencountries are from

Asia

Half of top ten citiesare based in Asia

56% of world’s totalpatent grants

India is the Number 1 Innovation Destination in Asia and Number 2 in the World for New

Innovation Centers

July 2015 February 2016 October 2016

Silicon Valley’s Share of Innovation Centers

18% 16% 14%

301368

456

2

3

3

3

3

4

5

7

9

33US

India

UK

China

Singapore

Canada

Indonesia

Israel

South Africa

France

Newly Opened Innovation Centers (March – October 2016) - Top 10 Countries

Europe is Losing Ground Barring UK

How Asia Now Rivals Silicon Valley as New Home to Global Innovation Centers

Europe - % of Total Innovation Centers

RoW Europe

Major European Countries - % of EuropeanInnovation Centers

Europe continues to fall as a % of total innovation centers even as the number of centers rise

Despite Brexit, UK is growing as a fraction of the �European centers

Rest of Europe UK France Germany

Innovation Center Heatmap

Total Innovation Centers and Growth - Major Sectors

Growth rate for the period March 2016 – October 2016 (Total)

180

88

64

31 28 28

Manufacturing Telecom FinancialServices

Automotive Electronicsand IT

ConsumerProducts and

Retail

11%

5%

31%

15%100% 17%

Manufacturing Firms Lead

Innovation centers should be a part of the innovation strategy and not the sole source

of innovation

What innovation centers should be...

Built in a way that they are scalable

...And what they should avoid being

A node in the organizational innovation stratergy

Ecosystems builders Bottomless pit for investment

Just another silo

Looking inwards into their sector

July 2015 February 2016 October 2016

Total Innovation Centers

301368

456

Tokyo, Shanghai and Atlanta Share the same rank | Tel Aviv and Toronto Share the same rank

around the World:

https://www.capgemini-consulting.com/resources/rise-in-asia-innovation-centers

http://www.slideshare.net/capgemini/rise-in-asia-innovation-centers

R

R

02

03

04

05

06

07

08

09

01

10

Top 10 LocationsIn June 2015

Silicon Valley

London

Singapore

Tokyo

Shanghai

Berlin

Munich

Tel Aviv

Chicago

Paris

Silicon Valley

London

Paris

Singapore

Bangalore

Tokyo

Shanghai

Berlin

Munich

Boston

Silicon Valley

London

Singapore

Tokyo

Atlanta

Tel Aviv

Toronto

Bangalore

Shanghai

Paris

Top 10 Locations in February 2016

Top 10 LocationsIn October 2016

July 2015

February 2016

October 2016

211 15 20 1990

260 22 22 21106

337 29 24 22

17% 22% 21%

21% 21% 20%

24% 20% 18%

26%

29%

30%

119

36

41

44