Comparison between Silicon Valley of the USA (Silicon Valley in California) and technology hub of China (Zhongguancun in Haidian district of Beijing)

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Introduction.

The importance of technology hubs is very high. It is the concentration of high technologies, investments, education, science etc.

The Silicon Valley of the USA is the leader of the world`s technology hubs. This is the home to many of the world's largest technology corporations.

Zhongguancun is a very important Chinese “silicon valley”. Its future prospects are very optimistic. Looking at the US experience, Zhongguancun still has its own original way of development.

Silicon Valley, the USA

Silicon Valley is the southern region of the San Francisco Bay Area in Northern California, United States. The region occupies roughly the same area as the Santa Clara Valley where it is centered. It is home to many of the world's largest technology corporations as well as thousands of small startups. The term originally referred to the region's large number of silicon chip innovators and manufacturers, but eventually came to refer to all high-tech businesses in the area, and is now generally used as a metonym for the American high-technology sector.

Despite the development of other high-tech economic centers throughout the United States and the world, Silicon Valley continues to be a leading hub for high-tech innovation and development, accounting for one-third of all of the venture capital investment in the United States.

Zhongguancun, China.

Zhongguancun is a technology hub in Haidian District, Beijing, China. Similar to Silicon Valley in the United States, Zhongguancun is a product of the development of the market economy. The Chinese Academy of Sciences, as well as a dozen famous colleges and universities, including Beijing and Qinghua Universities are located in Zhongguancun. The area has a dynamic economy that focuses on the knowledge and information industries. The area of Zhongguancun is popularly known as the Silicon Valley of China.

History of creation and development.

Silicon Valley, the USA

A very powerful sense of regional solidarity accompanied the rise of Silicon Valley. From the 1890s, Stanford University's leaders saw its mission as service to the West and shaped the school accordingly. At the same time, the perceived exploitation of the West at the hands of eastern interests fueled booster-like attempts to build self-sufficient indigenous local industry. Thus, regionalism helped align Stanford's interests with those of the area's high-tech firms for the first fifty years of Silicon Valley's development.

During the 1940s and 1950s, Frederick Terman, as Stanford's dean of engineering and provost, encouraged faculty and graduates to start their own companies. He is credited with nurturing Hewlett-Packard, Varian Associates, and other high-tech firms, until what would become Silicon Valley grew up around the Stanford campus. Terman is often called "the father of Silicon Valley".

During 1955-85, solid state technology research and development at Stanford University followed three waves of industrial innovation made possible by support from private corporations, mainly Bell Telephone Laboratories, Shockley Semiconductor, Fairchild Semiconductor, and Xerox PARC. In 1969, the Stanford Research Institute (now SRI International), operated one of the four original nodes that comprised ARPANET, predecessor to the Internet.

It was in Silicon Valley that the silicon-based integrated circuit, the microprocessor, the microcomputer, among other key technologies, were developed. The region employs about a quarter of a million information technology workers. Silicon Valley was formed as a milieu of innovations by the convergence on one site of new technological knowledge; a large pool of skilled engineers and scientists from major universities in the area; generous funding from an assured market with the Defense Department; the development of an efficient network of venture capital firms; and, in the very early stage, the institutional leadership of Stanford University.

In 1953, William Shockley left Bell Labs in a disagreement over the handling of the invention of the transistor. Unlike many other researchers who used germanium as the semiconductor material, Shockley believed that silicon was the better material for making transistors. Shockley intended to replace the current transistor with a new three-element design (today known as the Shockley diode), but the design was considerably more difficult to build than the "simple" transistor. In 1957, Shockley decided to end research on the silicon transistor.

According to a 2008 study by AeA (formerly the American Electronics Association) in 2006, Silicon Valley was the third largest high-tech center (cybercity) in the United States, behind the New York metropolitan area and Washington metropolitan area, with 225,300 high-tech jobs.

Zhongguancun, China.

In order to accelerate its development, the densely populated Zhongguancun Garden designed a new development pattern and established five subsidiary scientific and technological gardens. The Haidian Garden, where the Zhongguancun Electronics Street is located, is responsible for the research and development of hi-tech products. It has set up the 1.8-square-kilometer Shangdi Information Industry Base and the 4-square-kilometer Yongfeng Experiment Base. The other four subsidiaries are the Fengtai Garden, the Changping Garden, the Yizhuang Scientific and Technological Garden in the southern suburb, and the Electronics Garden in the northeastern suburb.

Notable education and research centers; notable companies; notable persons.

Silicon Valley, the USA. technology research silicon notable

Universities and colleges. The Art Institute of California - Sunnyvale, California College of the Arts, Carnegie Mellon University (Silicon Valley campus), California State University, Chabot College, Cogswell Polytechnical College, De Anza College, Evergreen Valley College, Foothill College, Golden Gate University Silicon Valley Campus etc.

Notable government facilitie: Moffett Federal Airfield, NASA Ames Research Center (Located inside Moffett), Onizuka Air Force Station.

Notable companies. Thousands of high technology companies are headquartered in Silicon Valley. Among those, the following are in the Fortune 1000: Adobe Systems, Advanced Micro Devices (AMD), Agilent Technologies, Apple Inc., Applied Materials, Brocade Communications Systems, Cisco Systems, eBay,Facebook, Google, Hewlett-Packard, Intel, Oracle Corporation.

Silicon Valley is also home to the high-tech superstore retail chain Fry's Electronics.

Zhongguancun, China.

Due to the proximity and participation of China's two most prestigious universities, Peking University and Tsinghua University, along with the Chinese Academy of Sciences, many analysts elsewhere are optimistic about Zhongguancun's future prospects.

Notable high schools in Zhongguancun include High School Affiliated to Renmin University of China.

Notable companies. The most famous companies that grew up in Zhongguancun are Stone Group, Founder Group, and Lenovo Group. They were all founded in 1984-85. Stone was the first successful technology company to be operated by individuals outside the government in China. Founder is a technology company that spun off Peking University. Lenovo Group spun off from Chinese Academy of Sciences with Liu Chuanzhi, a hero of Zhongguancun and current Chairmain, eventually taking the helm. Lenovo purchased IBM's PC division with $1.75 billion in 2005, making it the world's third-largest PC maker. Both Founder and Lenovo Group maintain strong connections to their academic backers, who are significant shareholders.

Many world renowned technology companies built their Chinese headquarters and research centers in Zhongguancun Technology Park, such as Google, Intel, AMD, Oracle Corporation, Motorola, Sony, and Ericsson. Microsoft has built its Chinese research headquarters in the park that costs $280 million and can accommodate 5000 employees, which is completed in April, 2011. Microsoft Research Asia is in that building.

The development center of Longson, which is China's first general-purpose microprocessor design, is also in the Zhongguancun area.

Prospect of development; contribution to development of the country.

The contribution to development of the country of technology hubs is very high. It is the concentration of high technologies, investments, education, science etc. So the leading innovations are created there.

Government of the USA and China promote their high-tech parks, because both of the countries are leaders in world arena.

As the result of very fast economic development in China, the prospects of Zhongguancun are very optimistic. More and more world leading companies start their innovation institutes there.

Silicon Valley of the USA is the first in the world and that is why the most highly developed. The main goals of it are the main goals of technology's world, as the leading companies of the world have base there.

Conclusion.

Every advance country should have its own high technology hub as a concentration of leading innovation. As it shows how strong country is and what influence in the world it has.

Altogether, if we compare these two high-tech centers, the main differences are in creation and development. Silicon Valley began with interest of science leaders of the country, but Zhongguancun with interest of government leaders.

References

1. "San Francisco--Silicon Valley North from The Wall Street Journal.

2. "Cities and Towns by County". Bay Area Census. 2010.

3. Timothy J. Sturgeon, Massachusetts Institute of Technology| Timothy J. Sturgeon, Massachusetts Institute of Technology SV Globalization.

4. Markoff John (2009-04-17). "Searching for Silicon Valley".New York Times (The New York Times Company). Retrieved 2009-04-17.

5. Stephen B. Adams, "Regionalism in Stanford's Contribution to the Rise of Silicon Valley", Enterprise & Society 2003 4(3): 521-543

6. Сhristophe Lйcuyer, "What Do Universities Really Owe Industry? The Case of Solid State Electronics at Stanford,"Minerva: a Review of Science, Learning & Policy 2005.

7. "Monthly employment continues upward climb". Silicon Valley Index. Retrieved 24 September 2013.

8. The Information Technology Revolution by Marvel Castells (On the history of formation of Silicon Valley by Rogers and Larsen 1984 and Malone 1985).

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