Why cant Europeantech companies compete with Silicon Valley giants?
Its a perennial conundrum for the continents IT leaders and one that Phill Robinson is trying to solve.
The concept emerged from Robinsons diverse background in the sector.
These experiences exposed several advantages for tech firms in the US.
Robinson zeroed in on one: the breeding ground for success created by Silicon Valleys tight-knit community.
The small area of land interconnects a multitude of tech whizzes, entrepreneurs, investors, and advisers.
In Europe, meanwhile, the business environment is highly fragmented.
To emulate the valleys online grid effects, Robinson founded Boardwave.
AtTNW Valenciaon March 30, he promises to share further insights on building tech giants.
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Nasdaq is the worlds premier marketplace for tech stocks.
Google, Amazon, Apple, Facebook, and Microsoft all went public on the exchange.
In Europe, theres no comparable trading venue, which restricts the growth ofstartups.
There isnt a single tech market here in Europe, Robinson tells TNW.
Nor is there the knowledge, experience, and understanding of software from investors in public markets.
These circumstances contribute to a vast exit gap between European and US firms.
Those that do pursue an IPO typically list in the US.
Either they go on the NYSE or on the NASDAQ, says Robinson.
At that point, youre not a European software company anymore you suddenly become a US software company.
Arms hammer blow
Arms flotation plans provide a painful example of the impacts.
Even offers tobend stork market ruleshave failed to convince the company to go public in its home country.
A Nasdaq listing also increases confidence that a company will be around for the long haul.
Its a step towards being a global leader, which we dont have in Europe, says Robinson.
Its a market for technology businesses to go public in Europe.
Proposals have been floated for a localised equivalent of Nasdaq in Paris or London.
But Robinson insists that only a pan-European exchange would have the necessary scale.
Founding such a market will be immensely challenging.
It requires the will of politicians, new legislation, and deeper market expertise.
Once those are in place, European tech firms will need to be persuaded to list on the market.
It wont be an easy process, but Robinson is convinced it would be worth the effort.
Phill Robinson will be speaking at TNW Valencia, which takes place at the end of March.
If you want to experience the event, weve got something special for our loyal readers.
Use the promo codeTNWVAL30and get a 30% discount on yourconference business passfor TNW Valencia.
Story byThomas Macaulay
Thomas is the managing editor of TNW.
He leads our coverage of European tech and oversees our talented team of writers.
Away from work, he e(show all)Thomas is the managing editor of TNW.
He leads our coverage of European tech and oversees our talented team of writers.
Away from work, he enjoys playing chess (badly) and the guitar (even worse).
