Digital economy is currently huge economy contributor for United Kingdom. In 2015, this sector contributed 97 billion pounds and provide more job growth than any other sector in the country (Tech City, 2017). Majority of UK digital economy activities is concentrated in London, specifically in the area called Silicon Roundabout. The cluster is the home of more than 3000 digital media and internet companies, most of them are newly-established and small-sized.
This essay will discuss the development of Silicon Roundabout cluster and how public policy have impact on that process. Short overview on the cluster will be discussed first as the starting point. After that the evolution of cluster will be described followed by discussion on the cluster policy impact. In the later part of the essay, challenges facing the cluster will be explained and then closed by essay conclusion. Continue reading