The geography of digital

Here’s more proof that despite the digital world appearing to be sitting solely in cyberspace, geography matters for digital businesses – perhaps even more than ever.

In his article “When G,M. Was Google” in The New Yorker of 1 December 2014, Nicholas Lemann writes:

One of the ironies of the tech economy, duly noted by Schmidt and Rosenberg, is that while the products and the users are geographically untethered, the businesses that supply them are increasingly clustered in one physical location, Silicon Valley. That’s because of the unusual, and apparently non-replicable, infrastructure of support there: the Stanford engineering school, the Sand Hill Road venture-capital firms, the angel investors, the talent pool of coders and engineers, the technical-infrastructure providers.

Did you get that phrase – “increasingly clustered”?

So much for the work from anywhere, do all work from home concept. People still need – and indeed want – to be physically proximate to each other.

The reference to “Schmidt and Rosenberg” above comes from the book How Google Works, by Eric Schmidt (former Google CEO) and Jonathan Rosenberg (former Head of Product Development).

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