Why Europe Failed in Tech
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- Опубліковано 13 тра 2023
- Get ready for an enlightening deep-dive into one of the most intriguing questions of the tech industry: 'Why has Europe struggled to produce its own tech giants like Apple or Google?' This thought-provoking analysis will unravel the complexities of Europe's tech sector, shedding light on the factors contributing to Silicon Valley's dominance.
From regulatory challenges and startup culture to investment ecosystems and education, we will cover a wide range of factors that have stymied Europe's rise as a tech powerhouse. Featuring expert opinions, comprehensive research, and compelling data, this video dissects the root causes of this technological disparity.
If you're interested in technology, entrepreneurship, or global economic dynamics, you won't want to miss this. Join us as we delve into the untold story of Europe's tech industry, presenting insights that have yet to be widely discussed.
Don't forget to like, share, and comment on your views about this issue. Let's spark a conversation that might just change the future of the tech world!
Europe tech failure, Why Europe can't compete with Silicon Valley, Europe's, tech renaissance, Can Europe catch up to Silicon Valley? The future of European tech The European tech revolution Silicon Valley vs. Europe Tech giants Entrepreneurship Innovation Culture Regulation Education Government
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Mentioning airbus failing vs Boeing didn't age well😂😂
If you prefer flying with the doors closed, risk aversion may not be as bad as it seems
Airbus was never behind Boeing in any way, so it seems weird that would be given as an example.
You need far many more examples to claim Europe is a tech leader. But you're not trying that of course.
@@Nowhere-from far many more indeed.
@@Nowhere-from That was never the point based on the context. Just the Airbus in general when it comes to their products are kicking Boeing's ass big time.
I founded a patent attorney and engineering consulting firm in Israel.
I then tried to expand to London, UK. I found there, to my surprise, an anti-innovation atmosphere.
Some tend to reject, sneer at, or hinder innovation.
After incurring heavy losses, I closed that London office.
Which is especially funny since the UK is frequently ranked as the best European nation for start ups, and the one with the biggest tech sector. It's safe to assume that if you encountered those problems in the UK, it would have been far worse in Italy or France. Just goes to show how far behind Europe is.
UK and US have very conservative legal systems, including patents. They don't let outsiders in easily.
That’s an interesting story. Would you be available for a quick chat?
The UK has the third amount of tech unicorns in the world.
@@James-st9uu That's why they did the BREXIT. All their VCs come from United States.
We are constantly shooting ourselves in the foot with mostly meaningless regulations, heavy taxes on prospering businesses and so on.
Taxes (Federal and State/Regional combined!) should never be more than 35% and never lower than 20% providing the Business is reasonably successful
Personal Tax should never be more than 30% unless you start making millions a year (than can increase slowly to 50%), & no less than 15% providing you are earning enough to pay rent/mortgage food fuel insurance power water rates etc
Also no Corporate Welfare if you don't pay Fair taxes to begin with (eh not using the Double Dutch or Tax Haven Loopholes or selling stock to a national branch at a rate it makes little to no profit of the same business like Apple does!)
Corporate Headquarters must be in the Country of Founding and where most board including Ceo president Co CFO etc work/reside
Why should The Rich or Big Business make profit but not pay a fair amount of tax on the money earnt too keep the Nation Solvent with well Educated Work Force and Good Infrastructure nevermind bailouts debt defaults etc for big business when it's the tax payer's that fork out for it that stuff isn't free
@@DarthAwar You can't forget that in Europe there's also VAT (up to 25% on goods you buy) and enormous social security taxes (which go for unemployment-time salary, healthcare, pension, disease-time salary, etc), and those things add up sometimes to even 70-80% of income! The current system in Europe is broken, unsustainable, and impossible to change because now majority of voters in EU are at pension age or few years before pension age, and they won't agree for smaller pensions or working longer in return for lower taxes and better business opportunities.
There's some hope in Eastern EU countries that joined EU after 2000 (Poland, Romania, Bulgaria, Estonia, ...) - they had no time to get into the tax and social benefits trap, and still have decent tax rates, which attracts tech businesses.
Europe doesn't need apple or google ... I am happy that we've shot ourselves in the foot and did not allowed companies to make money off the exploitation of people's (data, in this case)... keep apple and google.
@@iirekm Yes but they are also some of the most EU funding reliant nations around. Poland being the second largest recipient of EU funds overall and they used to be the largest until Ireland stepped it up a few notches. Romania is a cesspool on the edge of turning into a totalitarian state at any moment with some of the worst corruption on the entire continent, Estonia still relies so heavily on Sweden and Finland it would be a miracle if they could even function without their support and lets not talk about Bulgaria. The eastern EU is looking good because their growth comes from such a low point just reaching basic standards looks like an impressive accomplishment when seen in raw numbers.
The best thing they have done is make the rest of the EU even more united and even begin to consider the possibility of adding a clause in their charters for kicking out nations not living up to the goals and promises to join the EU. Imagine what would happen to eastern EU nations if they start losing their funding and maybe even memberships it would be a total collapse on the east.
@@kenji214245 Yes, but all EU benefits come at a large price tag: competition from companies from richer EU countries that now can freely open business in newer member countries.
In '90s and early 2000s, when foreign capital was low, everyone in Poland with some decent access to capital (e.g. rich family) and good mind could create a great business, that's how most of Polish millionaires (and also russian and Ukrainian oligarchs) have started.
Now due to enormous competition from richer member countries, it's hard to repeat this "American dream". And also a lot of potential tax revenue isn't paid locally, but in country where the business comes from, bigger EU-wide companies can also do more "tax optimizations", which is bad for local economy.
Even such basic, crucial businesses like grocery stores in Poland where everyone does daily shopping, 2 decades ago were mostly Polish, now are in foreign hands.
As always, there's nothing for free in life, money inflow and access to markets from one side, but no more Polish "American dream" and lot of taxes unpaid locally from another.
It is very annoying when misusing "tech" instead of "software".
Most of the US companies mentioned are actually software.
Like which ones are just software? Even Google makes hardware, through vendors, but still. Perhaps Spotify is only seen as software or service but they barely deal with software, most of it is tech infrastructure.
@@RaineWilder Where can I buy real Google made HW? Don't bother with phone, pls.
Software is technology dodo
@@JoshuaCartetrbtv But not all technology is software, dodo
@@JoshuaCartetrbtv But not all technology is software dodo
They don’t fail in Tech; they fail in Tech market.
Was just thinking this Northern EU has some of the worlds most advanced and respected tech manufacturing and research there is but they are small scale and mostly do either speciality orders for the giants or just in general push and sell new tech solutions to them. Their goals was never to become the big money companies just to the most stable and advanced ones.
@@kenji214245 I mean who doesn't work for Ericsson in some way?
There is a simple explanation - military spending. While the biggest tech companies are not directly related to the military, the vast majority of the US tech companies innovations originated from military spending.
Darpa does a bit in startups but private capital is way more important. Darpa helps with research and big companies, not as much in silicon valley
@@jrenauardevol Darpa funds all the fundamental research then silicon valley gets the people and the technology. Private capital loves getting a headstart with free government-funded tech. The biggest tech companies are not direct beneficiaries, but darpa money underpins the entire ecosystem. Wonder why Israel is so high-tech? It's due to massive military spending. Same goes for the US.
Also think USA is nowadays monopolizing Technology and related stuff ask any tech person in the world and all they want is to work for the silicon valley giants
I think it's worth noting that "tech" companies can be very different in what they produce and who the target audience is.
Your example works well for Boeing, Space X or other tech giants that rely on government as their primary client. Companies like apple, spotify and many others, that rely on regular people don't gain that much from government and lose a lot because of the regulations. Your point is very good, just not applicable to all companies
For example?
if a small market with english as not a native language is so detrimental to tech development how come Israel, estonia or singapore achieved success? its all about regulations...
Well in the case of china, regulations banned american and most western companies from its market, which gave chinese companies an undisputed home market from which they could expand.
So you think more regulations are the solution? 🤔
I dont think thats the solution. We have a really overaged, non progressive and tech adverse population in europe. Many regulations are just a result of this situation. Regulations in general can be helpful and a certain wariness is not always wrong. Many big companies in europe are slow, but if we look at medium and small companies the situations looks a lot better. And sometimes while the us runs behind the newest trend and biggest moneymaker some europeans just try to make the best screw everyone still needs.😉
I think companies coming out of those countries you mentioned primarily built their companies around the US and English speaking market.
100%. And Taiwan and South Korea, some would have you believe are also small countries, and we all use chips and devices made in those two. There is no reward to innovating or being productive in Europe. Every institution wants to get in your way as their own little way of feeling important and relevant, from tiny activist groups and local councils all the way up to the high courts and the EU, and if you do manage to succeed they'll all come cap in hand ready to take a much larger share of the pie away from you than what happens elsewhere. Why would anyone set up here when they can just go to the US? "REGULATORY SUPERPOWER" isn't going to change its ways. Europe is too slow to keep up in tech. Tech innovation is only getting faster and Europe is not.
The problem isn’t being a small market without English as a native language-in that case, you just use English for business. The problem is being a medium-sized market that’s large and rich enough to support a sustainable business in your native language-which saps both the incentive and capacity to break through to a global company. That’s why French and German tech companies remain provincial, while Scandinavian ones occasionally break through.
@@CuriousReason I noticed you have an older video about the leopard wunderwaffe do you mind doing an update now that a good number of them have been abandoned and destroyed Beyond repair??????
From personal experience, I can say that people who have always been politicians, and EU administrative workers, are always really excited about the fact, that the EU regulates preemptively, and the hardest. From a tech-entrepreneur perspective, that meant for me that I e.G. worked quite some time in the Blockchain Industry, and was eager to fund my own useful idea in the space. Until I had a close look at MICA, and my LTD what you have to do to just be allowed to start your business (maybe), or what could come, I gave it a pass. Now I am working on AI stuff, and the exact discussions start all over again, even to ban products like chat GTP, Bard did not even make it to Europe because of this. The EU is very good at killing its new tech industries before they start. E.g. in the very beginning, Berlin was considered the Blockchain Tech hub. To put it harshly, the people in charge of the EU and most counties in the EU are often old, and run it more like a "Ludditocracy" ;-) That does naturally not go well with wanting to be a hotspot for applied tech innovation & business.
Even the EU’s Luddite pride at being a “regulatory superpower” may go down as fatal hubris. Sure, US tech giants will bend to Brussels today in order to access a very large and lucrative market. But, without innovation and productivity growth, Europe’s share of global GDP will continue its terminal decline. In a decade, India will become rich enough to give the Googles, Metas, and Open AIs of the world a massive consumer base that allows them to avoid the headaches of Europe altogether.
Regulation as stealth protectionism worked in China, where banning Google, Amazon, etc in the 1990s/2000s made room for their own domestic internet giants to sprout up. But Europe’s strategy isn’t even replacing American companies with homegrown tech champions-it’s just raging against a global economic machine that doesn’t revolve around diesel engines anymore. Sad.
A friend from France told me there was a time decades ago when France and the EU were proactive about building new things, but somehow they developed a culture where they were more concerned with how new things could hurt society rather than advance and progress it. The regulatory bias is a consequence of that.
I mean what did block chain technology give us? A gigantic pyramid scam and billions of dollars of wasted energy. Seems like europe dodged a bullet regulating that one.
This one of the many things that I loathe the EU for. I want a NEXIT, get far away from those dumb technocrats in Brussels,
@@5133937France hurt the Dutch fishing industry because we fished with electric pulses so the flat fish would get stunned and float from the surface, not requiring sea floor disturbing dragnets. But the French don’t like competition and they are terrible in innovation and engineering, so the lobbied to ban this pulse fishing. Basically killing the Dutch fishing industry because by law we are not allowed to disturb the wadden sea sea bed…
I have to say it's a logical and reasonable report.
The overall environment in Europe cannot compete with USA, Canada and Asia, especially the East Asian countries.
US is also more talk than wlalk. For example everyone talks about Hyperloop for a decade - Siemens builds the actual high speed railways in the meantime. Silicone Valley is close to Hollywood for a reason, is a big consumer show.
No one actually believes in Musk's pipe dreams and it's *the Silicon Valley. You wouldn't call it Grand Canyon, it's *the Grand Canyon.
@user-nw8zm2wu6o*you're
Read a book.
Doesn’t obviate the assertions in the documentary. All you say might be true but Europe still lags behind.
Commercial hyperloop is decades away , Siemens ain't develop hyperloop
Have you heard? The flagship product of the frontrunner of tech, the Apple 15 handset has an USB C charging port! Amazers.
Europe gave biggest innovation to iphone of latest years haha USB-C , how can it be failing in tech then ?
eu needs to have to have the same business laws in every eu country
to enable a company to more easily do business throughout the eu
Still it wouldn't reach the flow like in the US since language barriers and different working cultures occur. But at least it would make things a little easier.
Europe also needs to block US Tech companies from colonizing Europe. China was behind on tech too, they straight up blocked US companies and blocked every US takeover, now China has a thriving tech economy, while Europe is in the stone age.
@@tiyes94
We can use english though.
EUs cookie law makes it harder to make money on tech
Problem: southern europeans are lazy and having to compete with the north will bankrupt them. Like what happened to Greece.
1) On the flipside U.S. has currently major problems with having so large companies that they can sway politics, avoid taxation and local regulation. They pay 0-3% tax compared to normal 10-35%. In this aspect, EU has better diversity of small and medium sized companies.
2) There is clear trend of reshoring electronic manufacturing from Asia closer to the western markets due to geopolitical reasons. This has become possible from highly automated factories, so I wouldn't personally bet on Asia having tech manufacturing in this large percentage in 10 years time
3) EU is the most advanced market in material recycling. This will support domestic manufacturing efforts when materials can be sourced through recycling
4) Places like Silicon Valley used to attract the best and brightest from Europe, but it's attractiveness is on significant decline. I would not bet Silicon valley to be the only technological success story in 10 years time.
Despite these points, I fully agree with some others in the comments, that EU has severe problems with overburdening bureaucracy, and we would need to cull 25-30% of the rules and especially people watching over others to truly become successful in industries like tech (too many people's job is basically stamping digital papers and passing it to the next person). That and also bold investments into larger companies to scale inside the EU.
sounds like cope
@@SaxonFaustindeed it is. Lol
You think Asia is in decline, you think USA is in decline but it is the EU that would go through a downward irreversible spiral... Cope with it, and if possible Enjoy it.
@@DhrubajyotiRaja01
1) I didn't claim USA is in decline, I highlighted they have some societal problems with how large some of the companies have become.
2) Asia has major problems ahead with the rise of automation. Same happened with wool factories in the UK when steam power was invented. Less demand for low-skilled labor, more profit for factory owners. Same will happen in Asia, question is where will the next generation of high automation factories arise first: USA, Europe or Asia.
3) If you actually read my comment, I observed major problems of EU too.
This is kind of the problem with modern world, people have lost the ability of argumentation and practicing dialogue. I am not trying to change your opinion, I respect them.
If just growth is the goal, then it "failed".
Still I have a hard time seeing the explosion of empty bubbles and disposable products as a succes.
"empty bubbles" written on an american app, on a chinese-manufactured phone with a taiwanese chip 😂
@@user-ju8qg9dx9x
With a phone whose chips are of British design and whose construction was enabled by Dutch machinery.
Your take is childish. You can agree with the premise on the video and not be a clown
@@waterbloom1213 arm has negligible revenue, only ASML is a respectable semiconductor company in the EU.
ST-Infineon-NXP won't budge even under EU pressure to make something more than discretes, sensors and automotive semiconductors.
The most interesting semiconductor work done in Europe, aside from ASML, is in the design centers of american companies with bureaus in european cities (e.g Apple Munich). Even then it's often a case of a few designers in the EU collaborating with the main design team in california/israel/asia
@@user-ju8qg9dx9x
See, bringing a better answer wasn't that hard.
Do you understand that the EU is not a single country? It has a common economic market, but still they're 20+ countries.
And?
and Still failing to Innovate individually...
@@sidhantseth007 In all fairness, the USA is roughly 20 times the population of some of the smaller countries, not to mention how this relates to Asia. Statiscly this means there should be no room in the top 20, yet there is ASML... Without them most of the other companies should not even be able to exist.
We are still failing miserably even when you account for population size @@hotdognl70
What a poor excuse. 😂😂😂
I agree that complex regulatory environments would comprise a barrier to the expansion of ANY business into broader markets. However, "tech" is a very broad category --- from commercialized software (advertising and personal-data collection-cum-marketing) platforms to design and technically-challenging manufacturing in FABs. Even within semiconductor manufacture, the disparities in quality are huge --- Taiwan vs China, for example.
this channel is a scam! watch were the biggest chip manufacturer have open up new companies, all in Europe, from cars to trains and high tech, "Netherlands produces the only machine worldwide to assembly nano chips", they have take the lead in subatomic particles research, they have Airbus which in a few years has beaten Boeing and many more examples!
I couldn’t have wrote it better.
The Airbus comment did not age well. Risk version in an airplane company seems the right way to go.
Everything in this video is true, I'm finding an IT company in the US because europe has a shield of policies that have been approved to protect corporations against new businesses competition.
In Europe you need a huge amount of capital and go through a lot of government obstacles like licenses and innumerable fees to open even a simple food truck
Not really just that if you don't read up on how to get started and don't follow the rules the EU is far more punishing against mistakes. But if you use the existing support systems and science parks and what not to get going EU startups are more likely to survive the first 2 years than the US or Asian ones.
The biggest difference is that A LOT of EU startups get bought up very early by larger corporations either US or local EU ones to take advantage of their products and staff assets.
The U.S does literally the same with all businesses bar some technology and franchises to a degree. The U.S is far from a free market without regulations and barriers to entry.
A book that deals in this is The Great Reversal by Thomas Philippon
Lack of investment leads to low salaries which leads to employees not pursuing excellence and instead focusing on other things in their lives.
yoo u making so intresting and valuable content. dont stop please, humanity needs people like u!
Because we in Europe value good prosciutto and good wine more than latest gadgets.😂
and let's keep it that way. i mean there is nothing wrong with producing good tech and maybe we could and should do more, but we should never become a consumerist society where we all wait for the latest tech like zombies living in a cyberpunk dystopia. I value a good british pie, french stew, italian wine and german Bratwurst over the new IPhone20UltraMax++++SuperXXL.
@@randomdude4207 Proper priorities, I like that.
Lets be honest here, the rapidly growing technology destroys our brains, like phones and games. Over 50% of humans are addicted to these.
@@randomdude4207 you are thinking wrong if tech companies are only for personal consumption.
Then Why are you shifting to Electric Vehicles? Should be using Horse Carts.
I was wondering why👀, dude i love your videos❤, but there was something off, its because you keep going from bright picture of a office room, to a dark picture of for; example a historical event. which makes the viewer distracted. as a fellow viewer and enjoyer of your channel my contribution to advice is either make the change in making britness graduatal, or lower the brithness of some images, or just remove bright or dark images😂. hope this helps❤😃
Accenture is effectively a US company registered in RoI.
wdym the dutch have plenty of tech inventions especially computer chips
They aren't making that much money
The Netherlands just makes the fabricators nothing else
@@dylan5578 We have NXP and some photonic startups, BE semiconductors & ASMi.
The Dutch make lasers, nothing else. And it’s only the Netherlands, no other countries.
Europe is old, old people are usually more conservative aversive to change and technology
The amount of cope in the comments section is insane
"We don't need gadgets, we have wine and ham!!!" my fellow europoors type on their phones made in China on an American app
@ Well you don't like Blk ppl so this is your punishment
So true. And the 'oh but US is one big market and we smol' but if you ask them what about Taiwan, SK, Singapore, Japan, they don't know.
And the "b-b-but better wages and more regulations", "tech is a bubble anyway".
They are stuck quite back. I was surprised to learn that the top 5-6 Indian tech companies have a combined market cap of $350billion, about half of Europe but with a piss poor per capita and 5x smaller GDP size.
The cope is insane.
@@harshjain3122 ... there is something called quality of life ... try reading about it.... US can keep its higher wages... and yes, we don't need (to produce) gadgets when we can always buy them from china and US ...
It's hillarious when they mention ASML as if it's the only company needed in the chip ecosystem.
Accenture is an US company, not an European one.
I know, I seen a lot of misleading things.
You evidently don't speak English as a first language.
@@jasonhaven7170 minute 1:33 : “In stark contrast, Europe’s top tech companies: SAP, Accenture, ASML … “
So again, Accenture is not an European company…
@@wouldnt_you_like_to_know No, I mean you don't speak English as a first language because you wrote "an US"
@@wouldnt_you_like_to_know Also, "an European"? No.
4:40 what do we use to show europe in tech ?
f it, lets take a pre ww1 map
Yeah, maybe the maker of this video should show this to a Polish person.
Tax in America is not a Simple Thing apart from Federal Tax you have State Taxes and Even County Taxes
Also each state has different Regulations so the USA is not necessarily an Easier Market as a whole to move into
in order for you to create advanced tech you need really advanced machinery and Europe has almost a monopoly on that so while the world is competing to manufacture the 5nm chip, a Dutch company called ASML is the only one who produces machinery that can produce that chip so technically speaking they are an integral part of the tech industry, not to mention the market cap of companies doesn't define there real value a lot of American tech companies are overvalued and thats just because there is so much money in the us and it happens to be directed towards tech these days due to speculations on its potential.
Making wide and baseless claims, it seems that America invents first, then "occasionally" reacts with regulation later, while Europe makes regulations first, and then looks for where they can go from there. If the US was as proactive instead of reactive, we would fortunately not have to suffer under industries like Facebook, but then again we would also never develop (and tolerate) new industries like AI.
Seeing how Italy would ban it, and the EU wants to make prevent any more training data from being used, I don't think we will have any disruptive inventions from there anytime soon. No flying cars, no modifying organisms, and even no nuclear energy improvements lol.
lol oh the cope
Which Estonian firms are on the list?
europe need structural reform, also need protect our companies bcs china and usa want to stole (buy) them.
👌
💯
Most startups aim at an exit strategy (bought by someone), if you block this you kill the main reason for many startups (exit strategy, get rich and try again with something else)
Where I come from, buying and stealing are two very different things. What's more, many europeans have been buying and investing in American companies for a very long time.
It's a two-way street, or don't you know that?
The language barrier it’s not the great issue in Europe, the average European speak more than one language, in fact, it’s very common a person speak at least 3 or 4. The resistance of the innovation and the regulation is. In fact, the elite in Europe found a way to stay in power: regulation. They created a barrier to companies grow fast, and made every european think that it’s wonderful live in a Continent without big techs, while the use Chinese technology for their 5G, american + chinese technology for their smartphones, and many american softwares.
Expensive and exclusive training.
People who have money and not so much interest or perhaps not even talent are those with access.
Then, when something is given for free to the masses, it is an opportunity taken not because it's useful but only because of affordability.
Spotify just bricked their only hardware device, car thing. To add salt to the injury, the official company statement literally recommends to throw it to the garbage, a 100$ device that is just 3 years old. Would you trust this "tech" companies with anything again? This is why I like my physical products "dumb", so they don't turn into e-waste with the next "update".
Once europe is free, we will see europes true potential.
They ain't obsessed as us about beating out other countries in tech, at least not anymore
I worked in one of the Euro company on the list. Some softwares focus on very professional area, which is difficult to expand revenue. Also, they are much more difficult to write and maintain
The job is much more difficult than an average job. I have to solve some real technical problems. However, the salary is not really attractive. I guess this is one of the reasons 😂
My personal feeling is that the company is not as aggressive as USA company and China company, but it tends to not fire people.
No money in Tech in EU unless you're in a very specialized system like SAP or Siemens.
Speaking of risk aversion the EU is much less inviting to new people into markets like IT. Which means a lot of freshly educated people also move to the US and other places because they are more likely to gain an entry level job there than in europe. This means the EU is also more likely to not just loose possible good workers to other nations but also to lose them to leaving the work markets that need them the most.
Thank goodness the USA had built the Internet for it to rin on.
Which part is the main cause, I want to know.....success for "Curious.........".......Pekalongan, Central Java, Indonesia is present
What about stripe.
I'm curious, do you use AI only for your voice or also for generating the actual video content as well? Maybe you could make a video about this. You haven't said you use AI explicitly but I went through your older videos and.your voice is dramatically different.
Low salaries are the actual problem 🤐
Definitely, having one single language and one regulatory law system throughout the whole country has made things a lot easier for the USA and China. Something really hard to achieve in the EU.
Heres one of the issues: every country has different regulations. The eu attempts to unify that into a single set of laws and remove barriers. That receives alot of pushback from local governments for medling with their affairs and reducing sovereignity. Its a hopeless nimby-esque situation at the nation state level.
A great example is all the different standards of railway networks.
More regulations » less capital » smaller ecosystem » smaller capitalization. The fact Europe has a $700B market cap is a miracle. Have you started a company in EU?
Is measuring the size of tech companies important, or is the amount of well paying tech jobs more important in Europe and examining where tax revenue is going from tech companies, cause a lot does not go to the USA. To be honest I think having lots of profitable smaller tech companies could be just as much of a bonus to Europe.
as an European living in a EU country, I only came here to respond with this words: excessive regulation and stiffling of innovation
You imply that Asia’s tech advantage lies in China having a homogeneous market and regulatory regime of 1.4 billion people, but such an argument fails to explain or take into the account the global reach that the tech giants of Japan, South Korea & Taiwan have which their Chinese counterparts don’t.
Japan, South Korea, Taiwan had a close relationship to the United States and the US pumped money, research, talent development into these countries during the Cold War (being a counterweight to the Soviet Union and China in the region) and encouraged tech giants of these countries into the US market with less regulations and import tariffs etc.
Japan, Korea and Taiwan don't have tech giant.
@@umbrellastudio7481not if you're only thinking in terms of web services instead of the global supply chain. The world's supply of servers and advanced electronics would literally grind to halt overnight if TSMC & Foxconn were to stop fabricating semiconductors. The world's two largest video game platforms are owned and controlled by Sony & Nintendo of Japan. Samsung of Korea is the world's second largest smartphone producer & has a near monopoly on high end display panels & DRAM chips that even Apple has no real choice but to use them too.
@@umbrellastudio7481 Taiwan got SSMC, korea got Samsung
I personally think regulation at some level is good. Chat GPT was banned as strong arm initiative against data privacy, which obligated chat gpt to adapt its privacy rules in Europe.
To be successful in research and creation, one needs to have an open mind.
This is just conjecture. The mains reason is capital availability and regularity environment. The EU stifles innovation with burdensome regulations which benefit large corporations. This partly explains why investment is lower too - more risk of failure so better investment options. The UK is different. Cambridge and Reading are tech hubs. The UK has had a number of successes but we tend to sell them off to foreign companies once they start to grow - such as ARM.
@charlesd4572
The Rhine Valley Industrial Area has been prospering for a long time so it has bred some very big corporations which naturally stunt the growth of new and smaller companies starting up.
In the U.S.A., we had the Gilded Age but we had the good luck of thwarting legislative capture via the assassination of our President McKinley so we got antitrust laws on the books to break up monopolies.
Europe probably needs something similar to allow the new "saplings" to grow by preventing legislative capture by industrial behemoths.
Dint forget Asia is present in the US giants too.
@@solconcordia4315
You should read a book called The Great Reversal. It shows how your regulatory capture is actually greater in the U.S than in most of the EU. Not the final take on the subject but it wipes away many notions about antitrust and free competition in the U.S.
did you even watch the video? he mentions all of these things in detail.
Great video keep em coming
I home you understand that american companies mostly have foreigners, all big american companies for example have huge hubs in romania, and while in the US there have been layoffs in europe very few
What’s your point? How does that have any relevancy to the video?
@@James-bs8bd Does it matter? This video is hardly relevant for it's focus is on short term financial succes only and not on quality of life in the long run.
In case it does matter: Most of these "succesfull" companies could not exist without these foreingers and just buying all these talents does not guarantee anything.
As you mentioned Microsoft in one of your other comments, this is a perfect example. Inspite of buying the best tech and publishers they fail to produce a decent succes on their gaming platform.
@@hotdognl70Europe is nothing without the USA okay don’t be stupid , the USA spends money to defend Europe security so Europe have more money for its citizens, just like Europe have been relying on Russia gas for much of its success, and also Americans work more and are more productive and prosperous than European,
@@hotdognl70 don't you think that increasing in quality of life is driven by innovation ?
They have the happiest people in the world too. My country is a technology bastion but it sucks living here
05:10 Technological development in Europe is not limited by challenges of Europe, but European Union. Two different things. You also correctly noted that Spotify...
Eu is what allows anything at all.
@@benoregan9016 How could BASF, Philips, Olivetti, BMW or Mercedes exist and prosper before EU?
Talent will go where it pays the most
The real short answer is that the EU has this thing called strict consumer laws that companies actually follow. Which holds them back from these things that Asian and American counterparts have. There’s just more “real life” outside of the EU. Being apart of the EU is about everything and everyone is equal
TIL that the EU is a socialist state
Ah, Americans..
@@malofloryTo each their own. American was a country created for different reasons. I do not disagree much nor do I speak poorly on the way the EU do things. I have family and many friends that are European and I have learned that actually why things are they are today. We all should be pointing the finger at the UN and these proxy wars if you ask me.
Is the amount of money tech companies make really the best way to measure how advanced they are?
I don't see any advanced tech being developed by Amazon or Alibaba for example.
Africa tech industry also
Europe has more competition which is better than having one huge company dominating. Europe has problems with energy prices and allowing Ireland and Switzelrand to undercut everyone else on corporation tax.
EU removes competition lols.
As mention in The video,- EU can't compete as we fast try to ban A.I and 5G-- were money and Power will be in The Future And we will soon get a lot of People over 65 years that need expensive pension etc. We need to change big time in order to be stronger.--
Keep in mind that there's a huge difference between European countries. In some countries the bureaucracy is much less, and things like the 5G rollout/ internet speeds are way better, than the US. (like Denmark and the Netherlands)
Unlike here in Silicon Valley, most countries lack the key elements for start ups. The advent of semiconductor industries
created many venture capitalist eager to invest their new found wealth in the 'next high tech company". All you need is for 0.1% of he startup to succeed and the rest is history. This allows mavericks like Steve Jobs, who otherwise be consider too far out to flourish. Japan is so risk adverse they would shunned Steve Jobs and his consumer-oriented ideas. An open culture, not regulatory burden, is why US outshine the world.
This video is limited to the Internet and communication technology . Is only ICT is Technology you are undermining other technological innovation of Europe undermining them
Absolutely Fascinating!👍🙂
I'm in the UK. I'm trying to build a startup business. I can find funding for small innovative projects but there's no follow on. Consequently, we're hopping from one small project to another in a piecemeal fashion. I spent 8 years in France working on quantum cascade lasers. I won funding from the EU and have run numerous EU funded projects. It's a complete shit show. The bureaucracy absolutely stifling. We were ahead of the US at one point but it's all amounted to nothing after millions of euros funding.. I also started a business in France and got shot down in flames because of the bureaucracy and cultural limitations. I had a brief stint in Switzerland but did find it conducive to my business ambitions. I'm shocked at how risk adverse Europeans are. I prefer the Anglo Saxon flexibility and pragmatism but there are too many old farts running the system in the UK.
So why don’t you try in the US? Europe is too bogged down with bureaucracy and doesn’t have as a robust VC/startup ecosystem
the first web server was invented in belgium or switserland
France will have a tough time with start ups. Employees can’t be on 24/7 on call there due to labor laws.
Failing is profit to rich in.europe
The lack of a mandatory second language makes the "inner market" inefficient.
As an American from the US, never sacrifice your privacy for tomorrow's trash gadgets. American big businesses act more like crime families these days. Never envy crime. If I could leave the USA I would.
why did they fail? because they are unable to produce technological goods at low costs. there are many factors, their currency exchange rate is high, the quality of living standards is also high, they implement regulations that make it difficult for the technology industry to develop. awareness of labor rights is also high. but Europe's potential is the intelligence of its people, a high human development index. science and research are quite well developed. However, for large scale business industries and production it seems a bit difficult.
Europe must develop technology in different dimensions, there are successful examples such as ASML, their machines are the key to world chipset manufacturing. then technology in the field of public transportation, machines for cleaning river and sea rubbish are something that is truly extraordinary in Europe today.
The Austrian painter was right
Airbus is a tech company, isn't it?
05:38 show the correct map
Bc someone had to stay behind and preserve the old, so that others can build the new
What I'm wondering is why India is not as big as china, they have the highest population, many knows english, and has big CEOs with indian roots
Well most Europeans kept being fascinated by queens and royalties ruling from imaginary thrones in age of democracy , what more do you expect .
Let my algorithm see everyone, make it transparent.
The EU rules and regs stiffle quick moving high-technology. A computer that is 5 years old, is considered ancient.
""while the US and China are fighting and competing like it's a World Tech War or in chip manufacturing ... Europe is nowhere to be seen" - other than the fact that China isn't competing in anything but mid-tier chips, and any leading edge tech manufacturing - from any country - relies on ASML from the Netherlands
There is an error on your map at 5:14 Crimea is actually Ukrainian. Can you correct this please ?
That's on Geolayers 3 plugin I use. It excluded it. Will fix it next time.
whole country gonna be russian........... fuckers
Illegally transferred in 1954, recently corrected. Please correct yourself.
the guy spreads info he doesnt know alot of
@@mojrimibnharb4584 you can go back even further than that if you want
How come philips is not there?
dead company, not even a tech company anymore.
People are not open minded, Europe is like a modern socialism, there is still need to develop the communication skills. They don’t like share things, they keep themselves. That is main point not developing.
Burocracts does not pay for the extra costs then cause.
EU forced apple to adopt USB C 😁
you can watch this video because of asml witch is in the Netherlands. proof me wrong
Because people in Europe always considered them self smart
This is so wrong on every level. The innovation is high in Europe. without dutch machines, No silicon chips or tmsc. Same with most sectors. We are doing just fine. So tired of doomsday reports like these.
Yes true but only the welthiest 10 percent of Americans own 93 percent of Wallstreet, All the big tech companies microsoft, apple, nvidia, alphabet(google) amazon, meta facebook are in fact all closed software ecosystem networks. We in EU use all of them and only them, pay higher prices for the same products and services and they usually set up their European headquarters in tax havens like Luxembourg . we only provide the lithography machines and China develops the process nodes and have their own closed software ecosystem networks. datacenters and coding come on.
Regulations.
Also in Europe it seems to be legally more difficult to fire or demote bad workers
In Switzerland at least, you can be fired without name any reasons.
@@patrickganahl5126 good point about Switzerland, one of the more technically able countries in Europe
Actually Europe's problem can be summarized simply... Lack of investment in R&D.
Germany is Europe's largest economy by far but only because it reinvests in refining technologies it has been good at, primarily ICE and related vehicles. No other country can make a diesel or gasoline ICE engine like the Germans but as the EV marketplace has grown globally, German products have become less valuable and Germans have stubbornly refused to expand into industries it doesn't already have a lead
Other EU economies are generally handicapped by lack of funds and educational institutions that turn out graduates with entrepreneurial ambitions. European society is generally more into preserving wealth rather than creating. There are individuals who are exceptions but are too few to make a substantial difference
I'm keep talking to myself saying it's not possible look like false bad dreams
Not just "war in Ukraine," but "Russian invasion of Ukraine."
It makes much more sense and helps to understand the situation better.
There's a better one - "Russian liberation of Donetsk, Luhansk, and Crimea from Ukrainian genocide"
"the military operation of Russia to get back Russian part of Ukraine and make respect traitee from the last 2014 war of donbass" if you want to be precise
@@alinstlawrence3458 "the military operation of Russia to get back Russian part of Ukraine and make respect traitee from the last 2014 war of donbass, since Ukraine became independent from the Russian empire after 1989, but they existed for a long time as the Kievan Russ was founded long time before Moscow even existed, however the russians don't like their empire getting sliced up " if you want to even more precise.
The war started with the coup NATO did with Ukranian nazis in 2014. By the way there was a civil war in Ukraine since that
@@theabaddon7457Ukraine = Banderastan nazi state which shouldn't have existed.
The reasons don't really matter. Nobody knows or could even know why different markets perform differently.
People in Europe tried to copy Silicon Valley for decades and failed. I doubt that SV knows itself why it works.
What you do know it's the you can go somewhere else where things are better.
Actually some copies of Silicon Valley did work, like Ireland and Estonia.
Horribly high electricity cost.