Next Stop - Swansea

When we established a presence at the Technium in Swansea back in February, there was some concern raised about the City's distance from London. The UK Government clearly listened.

On today's BBC Website, come details of a £1bn plan to electrify the main rail route between London and Swansea, to be announced by the UK government.

They say the electrification will lead to cost savings in the running of trains - and the £1bn Great Western investment, funded through Network Rail borrowing, will be repaid over 40 years.

Splendid.

Palo Alto has Attitude

The meeting in Palo Alto yesterday was upbeat. It says a lot about Americans approach to life. VC start up deals in 'the Valley' might be down by about 25% this year - but they still represent around USD 9 billion of new money. It backs up my post yesterday. It is all about size and scale.

It's also about attitude. Start ups looking for investment today have what was referred to as 'balls'. The fact that they are still actively pursuing funding in this market marks them out. Cheque books in this part of the world are certainly not closed at this point. Word on the street is that one NZ tech company is about to announce a major VC win here.

What I had not fully appreciated until my visit was the significance of the presence of Stanford University. Palo Alto is what it is because of Stanford. Tech spin outs and VCs have clustered around the University campus making this a key play in the US technology market.

The striking thing about this was how it mirrors Pingar's own engagement with the Universities of Waikato in NZ and Swansea in Wales. In both instances it might be small scale stuff by comparison, but the model is right. It reinforces my own view that this is one model that should be actively promoted in NZ. The structure is in place. It just requires significant extra funding. Is this possible?

I believe the answer is yes. Another key lesson learnt from yesterday is a changing perception and attitude towards high growth potential NZ tech companies by Valley-based VC. Our geography is no longer such an issue. The opportunity is. It's a message I will be taking back home. Right now, 'The Valley' is open for business.

Business Planning - Part 2

Professor Marc Clements - Vice Chancellor, University of Wales

As I update the Plan, I have just started working on the section 'Research & Development'.

This has always been a key part of Pingar's long term business strategy. We have invested heavily in R & D (with the support of The Foundation for Research Science & Technology) and our commitment to it is unrestrained.

Whilst, I was in the UK, I had the opportunity to spend 3 days in Wales. At the Swansea Technium, I met Professor Marc Clements. We talked about the Welsh Techniums (technology / business incubators) and their relationship with Welsh Universities. I spoke about my excellent experience of working with WaikatoLink (University of Waikato) here in NZ. I'm not sure whether it was the rugby, the sheep or the Brains beer, but I was not surprised to learn that 3 ex-University of Waikato lecturers were now based in the Computer Science Dept at the University of Swansea.

The trip to Wales was not accidental. I have been working for several months with Gareth Davies, Australasian Head of International Business Wales (IBW). We have developed a good relationship with IBW and other Welsh agencies and are looking at how to develop these relationships in the future.

The Technium concept is one that I like. It reminds me very much of the Innovation Park attached to Waikato University in Hamilton. In Wales, there are seven. In Tauranga, it would be nice to have one!