Colliers International, a global commercial real estate services organization, ranked Bangalore, Singapore, and Shenzhen as the world's top three location choices in Asia for entities who are looking to expand their technology operations.
Bangalore, which scored 68 percent, is number one because of its run growth, depth of talent pool, ample office stock, low staff costs and rests, and a low cost of living, the report outlined. The Indian city has the largest stock of Grade A office space after Tokyo. It, however, scored low on the quality of its office accommodation and infrastructure.
Singapore, which scored 63 percent, is second place for its impressive reputation as a source of talent and leading position on aspirational measures, the report stated. Colliers highlighted Singapore's financial connectivity and position as the chief communications hub for Southeast Asia and Asia Pacific region. The city is also expected to be among the first to successfully transition to the Fourth Industrial Revolution. The authors of the report said they expect Singapore to build more business park and high specification industrial space by 2030. Singapore's score was pulled down by its more expensive property costs in terms of office infrastructure.
Shenzhen, which scored 61 percent, is the third place for its demonstrated rapid growth in technology research and development. The city has also scored well on property costing, amply available offices, and high planned new supply.
For its report, titled Top Locations In Asia -Tech Sector, Colliers ranked 16 large Asian cities based on quantitative and qualitative analysis of socio-economic, property and human factors.
Among the cities at the bottom ranking but showed great potential are Beijing, Hyderabad, and Hong Kong.
Beijing and Hyderabad can be an alternative location for companies with a medium-term view while Hong Kong is showing signs that it can rise as a tech capital.
Beijing made it number 4 with a score of 60 percent. The city scored high on economic metrics, growth potential, and good talent acquisition. The city is showing strong signs that it can be the leader in Artifical Intelligence in the Asian region.
Hyderabad made it to number 7 with a score of 59 percent. The Indian city scored high on growth potential, low tax rates and cost of living but scored low on socio-economic factors.
Hong Kong was ranked number 8 although it scored the same with Hyderabad. This is because the city is not typically perceived as an innovation hub for tech companies. The city's growth potential relied heavily on its close proximity to Shenzhen and South China. The city may, however, win in the fintech sector because Facebook and Alibaba have recently expanded their investments in the city.
