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A new report has identified that modern star-tup ecosystems have four parts to their lifecycle. The Global Startup Ecosystem Report 2017 found Activation, Globalisation, Expansion and Integration were the defining stages of development for regions nurturing start-up growth.

The first, Activation, is recognised as when a local population make efforts to ‘activate’ a connected community of entrepreneurs, leading to less than 1,000 start-ups. The second, Globalisation, describes when an area representing 2,000 or more start-ups and an exit value of US $100 million shares an objective of fostering global connectivity for its entrepreneurs that will create world-leading businesses. Expansion indicates a place on the global business stage, including utilising international resources and, finally, Integration represents an equal footing with the top tier of start-up ecosystems across the world.

The report, which questioned 10,000 founders from 100 cities across 50 countries, also revealed the technology sector is growing twice as fast as the global economy within start-up ecosystems.

The report states, “While technology always creates winners and losers, today the gap between them is widening at a rapid pace. Start-ups are the key vehicle by which regions and their citizens can take advantage of technological change, and start-ups depend on strong ecosystems. They, however, can take years, even decades, to develop.”

You can view the full report here.


The four stage lifecycle of a startup ecosystem
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