Singapore better than Silicon Valley for hardware startups. What?

Photo: Marcin Wichary

Renowned hardware hacker Bunnie Huang gave a talk recently at the Singapore Mini Maker Faire on why Singapore is a better place for hardware startups than Silicon Valley. His controversial assertion drew a wide-ranging and passionate discussion online from members of the startup community. Here are some of the best reactions:

Calvin Cheng, Python consultant

He is wrong. Singapore is not better for hardware startups. I very much want to work with and learn from the best from Silicon Valley; and of course, if I was manufacturing hardware products, China is the place to go to to do that. That’s exactly what I did 7 years ago before I went into software (I was a freezer engineer under the employ of a local company before I started my own and ventured into software). We learnt from the States (Marietta, Ohio is the world capital of refrigeration technology where you find the best minds there) and sourced components from China.

Bernard Leong, co-founder of SGE

The “better place” argument is the wrong debate to have. I became exhausted after exchanges with other entrepreneurs about the non-existence of Series A funding in Southeast Asia because the arguments are wasted on which place is better and such. The most important thing, in fact, is to settle down somewhere not because it’s a better place, but rather because the economics and the environment allows me to maximise my chances of success and impact.

When I lived in Cambridge for seven years, I found meaning in working on tough scientific problems and enjoyed the environment where a scientist is well-respected and gets good career opportunities. That environment and economics do not exist in Singapore which is where I am now. It’s just that Asia arbitrages technology and so a scientist is less respected than the engineer with the exception of Japan.

Having a family also made me think about where my children will get maximum opportunities for their lives. For some, particularly the expats, it may be in Singapore because they enjoy the low taxes and great careers, but I prefer to be in the US because I share the principles of innovation and opportunities which is not only offered to me but to my children in the future. I have started working on how I can move to US within the next few years because I want to go somewhere that can maximise my chances of success and make my dreams come true. I do not want to move a place because the argument is about “Silicon Valley is better than [X].”

Excerpted from here.

Jason Ong, Rails developer

Silicon Valley is a special place, an oddball even when compared to the rest of US. People from all over the country and the globe have self-selected themselves to relocate there to be a part of it. These people, are inspired by what they have encountered in the place; for some it’s the all year round weather, for others the almost risk-free venture capital backed roller coaster ride. I was inspired by her people and the conversations I had during a three month visit in 2011, thus the decision to make this place my base for the next few years.

Likewise, Singapore is a special place in her own right. She has attracted many folks who self-select themselves to be a part of her for whatever reasons; maybe tax incentives, proximity to asian countries, comfortable living, or even cheap kopi-o? Who knows? Whatever your inspiration or incentives.

Although I agree with Bunny’s points on all the practical advantages from a business perspective, I chose Silicon Valley for now because of the incentives that I get so I’m willing to bear with all the inconveniences as rightly pointed out by Bunny. Many generations of folks from all over felt the same and went through a lot of trouble to relocate here.

This self selection process is what makes a place great. It’s a factor of people over a long period. To say a place is better than [x] because of [y] is a short-sighted approach. If Singapore is really great for doing hardware then people will naturally come set up shop and make the place vibrant.