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May 21, 2024 Graphics/Design:
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The Top Startup Cities Around the World
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A richly connected network of founders, venture capital firms, and tech talent are some of the key ingredients driving a startup ecosystem.
As engines of growth, these tech clusters are evolving on a global scale. While the worldโs leading startup cities are concentrated in America, several ecosystems, such as Beijing and Seoul, are growing in prominence as countries focus on technological advancement to spur innovation.
This graphic shows the best startup cities worldwide, based on data from Pitchbook.
The Global Startup Ecosystem Rankings
To determine the rankings, each city was analyzed based on the scale and maturity of their startup ecosystem over a six-year period ending in the second quarter of 2023.
Among the inputs analyzed and used to calculate the overall development score were fundraising activity, venture capital deals, and exit value:
RankCityDevelopment ScoreCapital RaisedDeal CountExit Value 1๐บ๐ธ San Francisco90$427.6B19,898$766.3B 2๐บ๐ธ New York76$179.9B13,594$171.7B 3๐จ๐ณ Beijing76$161.2B8,835$279.2B 4๐จ๐ณ Shanghai73$130.3B7,422$186.8B 5๐บ๐ธ Los Angeles71$144.6B9,781$181.4B 6๐บ๐ธ Boston70$117.0B6,044$172.8B 7๐ฌ๐ง London64$99.0B11,533$71.9B 8๐จ๐ณ Shenzhen63$46.4B5,020$66.3B 9๐ฐ๐ท Seoul61$31.1B6,196$71.0B 10๐ฏ๐ต Tokyo60$26.2B5,590$28.0B 11๐จ๐ณ Hangzhou59$50.7B3,361$88.7B 12๐บ๐ธ Washington D.C.55$43.7B2,706$28.2B 13๐บ๐ธ Seattle54$31.7B2,693$35.6B 14๐ธ๐ฌ Singapore52$45.7B4,507$38.0B 15๐บ๐ธ San Diego52$33.5B2,023$44.7B 16๐บ๐ธ Austin52$26.4B2,636$22.9B 17๐จ๐ณ Guangzhou52$24.7B1,700$24.0B 18๐ฎ๐ฑ Tel Aviv51$21.0B1,936$32.2B 19๐บ๐ธ Denver51$26.8B2,489$29.9B 20๐ฉ๐ช Berlin50$31.2B2,469$15.9B
San Francisco dominates the pack, with $427.6 billion in capital raised over the six-year period.
Despite a challenging funding environment, nearly 20,000 deals closed, highlighting its outsized role in launching tech startups. Both OpenAI and rival Anthropic are headquartered in the city, thanks to its broad pool of tech talent and venture capital firms. Overall, 11,812 startups were based in the San Francisco Bay Area in 2023, equal to about 20% of startups in America.
Falling next in line is New York City, which raised $179.9 billion over the same time period. Crypto firm Gemini and machine learning company, Hugging