Innovation Works partner says Chinese tech developers catching up to overseas counterparts

Technology experts in Silicon Valley are misjudging the competitive threat posed by the mainland's tech industry, says a partner of Innovation Works, a leading mainland business incubator.

"Primarily in Beijing, but also in several other first and second-tier cities, the tech scene is buzzing with unprecedented activity, a wealth of talent and considerable innovation," said Chris Evdemon, who early this year set up the San Francisco arm of the firm, founded by former Google China chief Dr Lee Kai-fu.

"Chinese developers are already beginning to leapfrog their foreign counterparts in consumer mobile internet products, and they are catching up fast in many other tech sectors."

Evdemon's comments coincided with a recent study by research and advisory firm Strategy Analytics, which says China is eroding Silicon Valley's pre-eminent position as the home of the world's largest internet businesses. Michael Goodman, who led the study, said US companies could no longer afford to ignore their Chinese competitors.

"A red-hot Chinese internet market is challenging the historical dominance of US companies," Goodman said. "The big question, and the key threat to US global dominance, is whether they can translate this success outside of China."

The mainland's tech scene was being underestimated partly due to the language barrier - there was a lack of credible English-language media covering the sector, Evdemon said.