Birmingham set for rapid tech growth as city embraces 5G trial
Birmingham is building on its engineering history and success in manufacturing with a new focus on digital technology, according to TechNation.
The city is seeing entrepreneurs choose to base themselves in the West Midlands region and is primed for rapid growth in the next few years, as West Midlands mayor Andy Street steps up the focus on the digital technology sector.
Earlier this month, it was announced that Birmingham had beaten off other regions to become the UK’s first large-scale test bed for 5G technology. The technology, which provides broadband speeds up to 100 x faster than 4G, could see buses, hospitals and the emergency services use 5G to better get information to customers and patients.
It will also encourage a new generation of startups to the area to take advantage of world-class streaming and broadband, the TechNation report said.
According to Tech Nation research, Birmingham’s digital tech sector grew steadily between 2006 and 2016, with a 351% increase in the number of businesses formed per year. Between 2011 and 2015, Birmingham has had an average of 557 business births a year. Turnover of the sector grew by 6% last year, outstripping the growth of the wider economy.
According to the Centre of Entrepreneurs, 12,108 businesses were started in Birmingham last year, more than in any local authority outside London. The region also boasts one of the UK’s most diverse digital tech workforces, with 26% of workers having a BAME background, compared to a UK tech workforce average of 15%.
Tech Nation on Tour arrives at Fazeley Studios today when entrepreneurs, founders and tech ecosystem experts will assemble to debate the opportunities for developing startups in the West Midlands. Tech Nation sees Birmingham as a crucial node in the development of a national network to encourage ambitious entrepreneurs and startups.
MB Christie, chief operations officer at Tech Nation, said: “Birmingham’s digital tech sector has been growing quickly but we anticipate even more growth is to come as investment is attracted to the region by new infrastructure including the trial of 5G networks. One of the most impressive stats about Birmingham is also that its talent pool is the second most diverse in the country (after London). This bodes well for companies that move or base themselves here, particularly when recruiting skilled staff is a challenge.”
One of the region’s best known digital tech companies is video games maker Codemasters, which listed on the UK AIM market in June, raising £185m. Headquartered in Leamington Spa, 28 miles from Birmingham, Codemasters is the company that creates official Formula One games and has helped to stimulate a network of gaming companies in the area.
Ross Spencer, head of marketing at Click Travel, a Birmingham next-generation travel management company which has recently attracted multi-million pound investment, said: “There’s a real confidence about the city now which is great to see. For Click Travel Birmingham is a great place to base a business that is outward looking and has ambitions to revolutionise business travel through embracing new technology.”
