Working in the IT industry I often feel quite hopeless about Europe's prospect in tech. We are so far behind, that Horizon funding would need to be increased hundredfold to get us on track. No hardware, barely any software, and every successful company keeps relocating or selling out to the US. Serious change is needed. Anyway, thanks for another great video!
And that's exactly why industrial espionage is very important to get around the lack of innovation by "borrowing" the results of others. Evens the playing field when it seems that you have fallen too far behind. As long as goods and people are being exchanged at a high scale, this is easy enough.
European companies selling out to US and China is indeed a very sad state of affairs. If only European investors would take it into consideration to give these companies a chance then it would have ended up differently..
as a person working in tech, which one would you choose? EU: - 70-75% pay of equivalent US job - 40 hour workweek - 25-30 paid vacation days yper year - at least 10 more public holidays - paid sick leave - paid maternity leave (2 years in my country) - great employment protection vs USA: - great pay - and practically none of the above
@@graychev In my industry in the US we get 40 hr work weeks and lots of paid vacation. Also 10 holidays. The *average* net pay is over 4x Western Europe (average pay after taxes is like 165k US, or like 40k euro net if in Netherlands , less in most of Western Europe)and closer to 10x Eastern Europe. The benefits are much better in the USA (free breakfast, lunch, dinner, free gym, free transportation to and from my house, free MacBook and iPhones , free high end healthcare (including dental and eye) with *no* waiting time, good retirement plan, etc.). The benefits offered by the same company, even in Western Europe (Amsterdam), do not compare. The Ireland offices are okay It might make sense in some industries and for some people. It does not in the tech industry, especially with western Europe’s taxation.
Part of the cultural issue is not so much risk aversion as lack of "ambition". In Spain at least, it is very typical that once you have a comfortable life you do nothing to improve it (throwing away all your potential savings and investment) and if you try and it is publicly known, people show rejection and envy.
The EU doesnt suck at tech. E.g. covid vaccine. Research is one thing commercial exploitation quite another. Academia and enterprise are separate things.
I would argue that having any tech giants is a problem. Why do you want gigantic companies that literally control everything in your country/region. It’s time that those giant corporations are broken up into smaller companies.
The EU needs to desperately invest in technology and innovation like new energy sources or other technological companies. It's good they just opened a European factory to produce microchips but that's just a start
What Europe has the most is subsidies for tech. It won't work if you don't have legal warranties + less buerocratic shit. Europans have a state dependent mindset, that's another problem. We have the human resources to be a techological power house, but this was killed by the United Democratic Republics of Europe government. Our rulers are more focused on controling us, rather than doing things for european' poeple's good.
@@benchoflemons398 Are you serious? You want to sabotage Europe's future because of your ridiculous hatred of "corporate welfare"? This is why the US and China are still so much more powerful than the EU.
Europe is old and is not prone to risk. We don't invest enough in new technologies because we don't trust them, most of the innovative european companies in the 1900 died because the people never trusted them and they went to the US
I work in the US, and I’ve worked in the medtech industry for at least 18 years and worked in many successful companies that have been successfully acquired. A few years back, I tried to apply to a startup in Europe (I won’t mention the country or company name) because I believe in that technology. But the founder laughed and said that I didn’t have a Ph.D. even to try to apply😂. The more I look seems some startups in MedTech are just like Ph.D. school projects that don’t have a low chance of ever being a product.
Ii've been working in IT for 8 years in the US basically learned things from work, with only a business masters degree. I'm having very difficult time find a job in Germany..
Europe: “There’s no sense in bothering, it won’t work and it will be a waste of time and effort” US: “Why Not? Even if it doesn’t work or works partially, it’s worth a try to see what will happen” That’s pretty much why the US pulled ahead of everyone else, can’t be afraid of failure since if you don’t fail when trying to create something, you won’t strive to make your next creation better. That’s basically why many inventors and industrialists such as Thomas Edison, Henry Ford, and many others became successful. Alexander Grand Bell (inventor of the telephone) created the Bell System/AT&T which was one of the largest telecommunications and tech companies in the world before they were broken up in 1984, they invented one of the most important things in history and that was the transistor in 1948 which paved the way for modern technology, they even invented fiber optics and the laser. AT&T was mainly a telephone company, but they had all kids of stuff in their vault they developed over the years they would release to be used.
Every successful population likes to explain their success as a result of their superior mindset. It feels good to so. It is also almost always wrong. Americans had A LOT of advantages, in addition to an appetite for risk. These advantages lowered the cost of failure, enabling the risk culture to begin with. Risk-takers in Europe were less likely to recover from a crash, which is how they became extinct. PS your list of inventions is a weird way to make your point, given how the US has never had an advantage over Europe on those fields. Still doesn't.
@@darkmater4tm you’re just jealous. The United States of America has such a leg up over its European counterparts that it’s not even fair to you guys. We are so far ahead in tech alone than the Europeans and it’s not even close.
@@darkmater4tm Never had an advantage? Name anything from Europe that rivals Intel, AMD and Apple for microchips? The US has also been the world leader in laser development since it's inception as well
@@darkmater4tmI’m sorry, but your counter argument makes absolutely no sense. You basically proved the OP’s point in your second paragraph and your third was incorrect. I think you need to stop looking at it as an argument that the US is better than Europe because we’re superior, and start to look inward at why you’re not more successful. Clearly, there are some deep seeded cultural beliefs that are holding you back.
EU sucks at tech because it's divided into smaller countries.. I'm Polish and we have/had our own social media platforms and other tech companies. However on the global scale, there's no way for our tech companies to compete with huge US tech companies.
The US is divided into states. Most of the tech innovation and venture capital investment is in a handful of states not the whole country. California dominates with Washington state and the northeast states of Massachusetts and New York.
More specifically they get bought up imidegetly by large american tech companies. We swedes with the estonians and fins inventead skype and it became a dominant platform until microsoft bought it up and later ruined it. For AI tech the british deepmind company that built alpha go was a great company that got bought up by google very early on. We have plenty of companies but they are not allowed to grow since we live in a monopolistic tech industry. The best thing the EU can do is emulate what the koreans are doing in creating chebols. Basically 50% private owned and 50% EU owned. That way the company got the resources to be able to compete in the tech market.
@@CLaFongbut they’re all regulated by the same regulatory body, that’s why is easier to grow in USA than in Europe. More money, less regulations and one big cohesive market with higher purchasing power.
@@CLaFong did this american just do the common and think europe is a country, and tech depends very much on The country, americans has 0 clue in on who has invented the stuff they use, or that their american company bought it from a foreign company and sell it as their product 🤣🤣🤣🤣🤣🤣🤣
Many reasons. 1. The US is one nation, so a big domestic market. 2. The US espacially California has the most VC invesments. 3. EU big companies are old, most of them were founded in early 20th or even 19th century . Meanwhile the US big companies have more metabolism, every decade has it's own star. 4. The US is more diverse, talents from allover the world gathered to places like SilliconValley start their business and invention makes the US more competitive.
VC is more important than we think. This is acctually why California rise and become a high-tech incubator. EU relies on banks too much, which makes people hardly start thier business .
Europeans nowadays think that they still have more advanced mechanical and machinery compared to the rest of the world, in fact Japanese make better cars than most European car makers, the Chinese is more efficient in manufacturing, Singapore and Japan are more advance in robotic technology. hopefully they won't sell ASML to the US in the near future.
@@fvs666 and the problem in the USA is that very many homeless people are already living on the streets, the class differences between rich and poor are enormous, the USA today lives from the inventions of the Europeans. We have higher taxes, but more freedom that doesn't exist in the USA. The rich there hoard their money, pay little or no taxes, the normal citizen pays all the taxes. A state cannot survive like this, which is why the USA is on the verge of total national bankruptcy. On the other hand, better quality technology comes from Europe.
@@baramuth71Europe has more homeless than Europe. Also if you think the USA is on the verge of national bankruptcy then you clearly have no idea how the american economy works. The truth is Europe sucks in every aspect of invention and innovation. Europe pays its workers low wages while taxing them to death. That is what's not sustainable. But keep your head up, it will only get worse for you euros considering how your population and economy is stagnating. 😂
@@baramuth71 Europoor cope. Really taking in the social media propaganda. It really isn't like that at all. And no most of your tech is American, sorry but cope.
Another understated point is that the US government indirectly (and some cases directly) funds a lot of basic R&Ds, at a much larger scale than Europe, that many commercial companies in the US proceed to commercialize. Take NASA for example, which has a budget 5x larger than the ESA budget, helps fund SpaceX/Blue Origin. Same with DARPA, the NIH, the many US national laboratories and many others. The EU simply have not invested to the same scale as the US gov (though it is slowly narrowing the gap via things like Horizon)
i would say NASA is more of US government agency(like of like Navy) for their space program. remember the Internet was started by the US government as well. US is just have more resources other countries.
It's simple: Americans work harder, longer and earn twice as much. Europeans keep private and work more separately and there is more of a work balance. A European IT graduate will probably go to the US because he can get more opportunities and earn more there. Americans live to work, Europeans work to live.
1) you can’t scale up in Europe like you can in the US. Too complicated. I blame the EU bureaucracy in general and the French mentality in particular 2) Europe’s growing more slowly bc our working age groups are declining. Too few babies The first thing can be fixed, but won’t. The second thing can’t be fixed. However, China & the US aren’t perfect either. They will miss opportunities like Europe did. Also, Europe is a multispeed phenomenon. I don’t think you can put Sweden, Italy and Romania in one basket of development. There’s just way more variety
Different Small Countries and different Languages are not a Problem. Japan and South Korea are Small by Land and Population, they have Different Languages and Different Cultures, yet they are Great at Tech! The Problem lies somewhere else! Most Notable is lack of Money, lack of People and that Europeans start to think everyone else is better! EU must stop Brain Drain, get more Money and put one self in the First Place!
@@baamonster2 Yes thats true, most People in Japan and South Korea are overworked, but I heard many People say: "It's not important how many Hours You Work, but how much Work do You do! Some People Work for 8 Hours on 1 Thing, while other People do the same Thing in 1 Hour!"
Calling Japan and South Korea small by land seems a little bit of an overstatement. Japan is about double the population of France. And South Korea would be Europes third biggest country if they joined the EU. Also at least for South Korea: They have one Unicorn that contributes to about 20 % of their gdp. They don't have many other big tech companies
@@dk740 by Land, the Biggest Countries are Rusia, Canada, PRC, USA, ect.! By Population PRC and India, ect. Japan and South Korea or not even Near them in that! And I'm a Fan of both of them! And, Yes, South Korea is Famous for it's Chaebol: 1st Samsung 20% of GDP, 2nd LG 9% of GDP and 3rd Hyundai with 7% of GDP! And it's estmated that all Chaebol are around of 45%-50% of GDP of South Korea! The Main zhin I wanted to gove Across is that the EU must get better at Tech!
You can't want everything, in the US taxes are lower, so it's fertile ground for the birth of these companies, but if you become poor, that's the end. In Europe there are more social protections, but on the other hand the big companies are struggling to expand.
I don’t really agree with that assessment. Sweden (right above our nordic neighbors) has continually ranked as the EUs most innovative country. Sweden is the worlds third most innovative country, neck in neck with the USA but about 3 points behind Switzerland. We have extremely high taxes and a very strong welfare state.
@@Ea-pb2tu it is obvious that the matter is more complex, an economic analysis cannot be made in a comment on RU-vid. Then even within Europe there are differences, in Northern Europe there is more economic freedom than in Southern Europe.
I'm an American, the EU has brilliant minds and people. Regarding technology development and other things the EU tends be slow to adapt to changes can be tribal at times. USA companies actively recruit the most talent from around the world and is not scared of failure. I used lived in the heart of Silicon Valley and I can tell you the entrepreneurship is off the charts. I still have many friends there that are building different types of technology trying to get noticed by investors. What allows USA technology ecosystem to thrive is plain competition. If you don't invent it yourself someone who graduated with you will. Silicon Valley tech underworld is filled with sex, drugs, money, under table deal backstabbing, but also filled absolutely with brilliant ideas, inventions and mind-blowing stuff. I'm glad I left that world 😂
True EU came much later into the tech industry. I remember when AOL, Yahoo, MSN, Ebay was the go-to sites Europeans didn't care much about the internet. In fact, some people thought it's the place for rejects of society.
I think the problem is Europe's (and Japan's) fear or unwillingness to change. Hence the huge bureaucracy, the phantom fears of a new "red threat," the reluctance to develop nuclear power, and the obsession with green energy. The world is changing rapidly and countries need either to join new alliances or create something new of their own. And Europe should also stop looking only at the United States and think more broadly.
I'm from Israel a country of 9 million people. And I just realized because of this video that ventures investments last year in Israel were 50% higher than in the WHOLE European union 😮 How is this possible?? The EU must invest in innovation and R&D otherwise u have no chance against the giants in the US and China
@@mikicerise6250 Haha I love Spain! Visited 7 times already! But what's the problem? Do you believe Spaniards have less motivation?? No one is interested in science and technology?? I doubt it
You want to know the American secret for success? America has by far the most Nobel prize winners in Economics, also America has the Largest Jewish Population outside Israel. Thank you. And I am not Jewish.
In Italy there was a company named Olivetti decades ago, according to who you talk to they built the first computer, they were doing very good... after a while an important politician, under US pressure, forced olivetti to give their best patents to General Electric. The company lost competitive edge and the rest is history, we knew this only many years later when one of the top engineers in olivetti R&D said so in an interview. Now, this is only a single story, but Europe has been squeezed pretty good by the US, aspecially after WW2. Heck European countries would've been the first to have the atomic bomb, just to make another example about tech.
Almost all that you said is accurate, but the USA pressure. Olivetti sold its electronic division patents to General Motors for funding in other sectors after it tried to secure money from the government and financial institutions. Italy should be credited with building the first computer with transistors, but technology advancement is mix of entrepreneurship, finance and creativity. Most countries don't want to invest years possibly decades on technology unless it's proven.
Such a bait title 😅, I see what you did but would argue you based it on false assumptions of your 6 areas, I know this is your opinion and that you only made it to get views but still 😅 there is a difference between correlation and causation 👍
It’s ironic that Europe trumpets its social market economy over the cutthroat individualism of American capitalism, yet has such a radically individualist view of user data as private property above all else. There’s no balancing of atomized individual privacy against the collective social value of large data sets-even if the data collected is of little intrinsic functional value to the individual.
I'am from Turkey and I can say that almost all of the university students studying tech wants to go USA but not to the EU. Instead doctors and other skilled workers outside of the tech industry want to move to the EU.
Before I look at the video, let me remind the brain drain from europe to usa (the best brains are educated at the cost of europe and then go and earn their life in usa), and the fact that european entrepreneurs that I know personally often just expect their enterprise to be bought by a us company (and it has worked for at least two of them). The video won't speak of that of course 🙂
@jko jko I don't agree this is a problem for 90%+ of startups. Most if not all startups fail because they can't either find some form of product market fit, or they can't raise money to survive until they find it. However, this is my experience, and to make sure we don't just talk over each other pointlessly, could you give some examples, are you talking about specific industries, what is your personal experience working with startups?
To be honest, as a developer and a soon-to-be engineer, EU regulations are not really complicated. They are different, yes. But so are the regulations in China, in the US, or any other country. If you are speaking about GDPR, it is restrictive, but it is actually a simple regulation to follow. As long as you ask for the consent of the user, as you can clearly define who, where and for how long the data will be processed, and provide a way to retrieve and delete them, you're in. OpenAI simply ignored that and jumped right in, giving the issues that we now have (remember that confidential conversation a Samsung employee had with ChatGPT that leaked? Wouldn't have happened with a proper GDPR implementation). And since they didn't implement it, it is now too late: the data is in the model, somewhere in one of OpenAI's servers in a random cloud. We prefer in Europe to “be safe”: we are stuck between the US and China in a framework where everyone is somewhat spied on in a way. This is why we want protection for Europeans. So if ChatGPT needs to be banned for that, so be it. But if you are a startup trying to build a product, this is absolutely not complicated to build it “GDPR friendly” from scratch, with privacy and security in mind and this is how it should be done anyway. On the other hand, I definitely agree that the funding in Europe is so low and so hard to get that it makes it hard to really foster innovation with that...
Google for example could never have been started in Europe as there immediately would have been cries over copyright of the preview snippets. Everything and everyone is backwards- instead of forwards-oriented here. New things are conceived as a threat first. It may work for other areas of business but it is deadly for startups. As the video said, it's a big cultural difference to the US and parts of Asia in that regard.
@@MichelMichelMann The real question is, is this really a bad thing? The failura rate of startups is abysmal, and a lot of capital is wasted on companies that shouldn't exist in hopes of finding the one unicorn that becomes the next google. This is such a misallocation of finite resources!
@@MichelMichelMann I'm actually agreeing here. What exactly is bad here? The failure rate of startups is insane with some estimates of over 90% without ever making a single $ of profit. Even most of that "measly" 10 billion that EU funds, almost all of it just burns to the ground. You are essentially asking people to put a blindfold on and stand in-front of a furnace and throw more money. As a senior software developer myself in the EU. Pretty much every project that I've been part of or I've seen get funded US, EU or other based, are basically worthless, that excist to just make money move around. Don't get me wrong, id like to have more funding and money. But lets not pretend anything of value is lost or not built here. Companies like Tesla or Apple that occasionally innovate are 1 of 1 million failing startups.
Its not so much about being Complicated and more about not being Required to do the tedious things that are considered so Normal that nobody even thinks about them in the EU. Like making sure Your Product doesnt Randomly Catch Fire and Burn down a House. Or that it doesnt Break after 2-3 Months. In the US such stuff is more of a Voluntary thing that Larger Companies with Good Reputation will do. Because there is no Legal Requirement for a Warranty. So Smaller Companies that are Starting Up. Can Skimp ALOT on Cost for Quality Control and Obeying Safety Standards Including Testing of Product Safety etc etc. If You are a Dev/Engineer in the EU. Then this Idea of this even being a Regulation might Sound Completely Absurd to You. Because for You this is like the most Basic of Basics. But in the US it is actually not that common for there not being any Warranty whatsoever for a Product. And if You buy it. And two Months later it Breaks. Well tough Luck.
@@lucemiserlohnFinite resources for us in EU but thanks to printing dolars and amassing enormous state debt indefinite resources for US. 7th. reason why US is doing better than EU.
Here, we basically have 2 different worlds - the USA and Europe. In one world, people are more work and wealth oriented and in return, they sacrifice their overall happiness and comfort and in the other world, people are more happiness and comfort oriented and in return, they sacrifice their work and wealth. Most Americans are focused on working super hard and eventually becoming rich and being able to buy everything they want (the so called American dream) while on the other side of the Atlantic are the Europeans, who mostly want to be middle class but calm and relaxed and to just enjoy life, despite not having a Lamborghini and not living in a 20 room mansion with a personal Mexican butler. Neither side is right nor wrong. On average, Americans are significantly richer and also significantly more stressed than most Europeans and Europeans are significantly poorer and significantly less stressed than most Americans
I have lived/worked both in the US and Europe and I would never go back to the US (I had the opportunity). I'm so much happier in Europe. What you say is 90% true, in my opinion. But you forget to mention that most people in the US who follow that "wealth and success" dream never actually get there. So the American dream becomes a nightmare for many, and ends in corporate slavery. I don't think people in the US are very happy, compared to Europeans. I don't think Europe is really behind the US. In my field (Aerospace) we are not, and much of the technology developed in Europe is cutting edge and ahead of the US in some fields. It's simply not a household name but technology nevertheless
When a EU company is successfull. USA use their laws to destroy or buy it.. why EU would build something to see USA destroy it after that is the question.
The way you're saying it makes no sense at all. Rather it is common for large US companies to use their profits to buy successful European smaller or medium sized tech companies. No smart company would look to take a successful enterprise and destroy it. In fact US companies do the same thing regarding interesting smaller US companies, great ideas come from many different areas of the world.
@@bruxi78230Yes. American companies are much stronger and buy any succesful european smaller company. No chance today that europe developes any big own company. Too many american crocodiles. And I have no doubt at all that if EU shows that can make something very new and innovative american political pressure would be to give that to their companies. We saw american trade wars towards EU so we know what we would expect in future too. That's a price for being ally and dependant on american defence in EU. And also one of reasons why (only?) 58% EU citizens have a positive view about US.(EUROSTAT 2022) I think american domination and earlier start in technology and their relationship towards europe are main reasons for europe's lagging behind. US don't want competition and are in position to supress it in europe. Simple as that.
@@ruzicas.5819 ---- I'm afraid you have an incorrect view of what is happening. If a company like Google or Apple want to acquire a smart young company in Europe or anywhere else, the very last people they would ever contact are those in the US government. The US government is full of people that have zero idea of running an entrepreneurial company. There are many cases of even high officials like senators asking the dumbest questions imaginable. Trust me the companies avoid those clowns like the plague. Because that's the case no US tech company is contacting anybody in the government to discuss acquisitions. They want in fact the acquisition to remain a secret so that other companies don't jump in to make higher offers. The US government doesn't search for candidates to be acquired and then pressure them to be given to US companies, never has been that way and never will.
-EU regulations. While regulations are needed, EU does them without a thought and only hampers itself. EU cares more about environmentalism than growing industry. -Self-crippling culture. When you want to do something, then somebody else gives you an elaborate how bad this idea and tell you to just give up. -Education systems. In some EU countries education is a joke and teaches you nothing. If your exams can be passed by AI but actual person struggles with them, then your education system needs a complete rework.
I don't know who told you that exams are passed by AI, but in my country every single student coming from the USA to study at uni has the same knowledge of our 10th graders.
For a start, a common a language for 450 million people would be nice. I like Esperanto for this purpose, or as others suggested require English as the 2nd language in every country. I feel like the US is more pro-business, the EU is more pro-welfare, so it's difficult to compare them. EU lacks start-up funding and the crab mentality holding it back.
However ChatGPT is back in Italy, added only an age verification (only an accept button or not, therefore very ineffective) and new terms and conditions for privacy. In summary it returned as if it had never been banned
the accept button is not there to physically stop kids from using it but rather to protect them. TT&CC are important to use any service to inform you what you are dealing with and how your data is used
Lol. Greater risk aversion cause of the social safety net. No mate, it's because the US firms have more money. If you have more money, of course you're going to be less risk averse, you have less to lose! Do you have 5 year olds writing this or something?
Europe doesn't have to catch up to the US or China, Europe is probably doing it more collectively for technology to distribute throughout of Europe instead of individual tech companies making the call. Yes i would love to see growth in Europe's tech sector which is happening for quite a while, but the real result will be seen within a decade or so for Europe to sustain its own technological innovations for its own block and then around the world. But indeed the tech sector needs way more funding..
What makes US companies more valuable is wall street . Tesla is a great exemple of that , high value but low sells when you compared with the top European car makers .
Wishful thinking. EU sucks at innovation nowadays. Any ray of hope will definately sellout to American multinationals. EU is inclined to blame China and immigrants for everything while Americans are the largest backstabbers.
@@marcioborgesreis9066 Because sales aren't the only thing that determines value of a company. When it comes to innovation, U.S. tech giants leave everyone else in the dust. That's why people invest in them.
The European financial mindset carries 400 years worth of wisdom. The American financial mindset carries 100 years worth of wisdom. But the last 100 years are not the same as the years before. Everything about America's economy is a bubble that could burst, but won't, because Americans have been using this bubble to outrace the bubble itself.
When i used to live in germany i spent hours in bureaucratic procedures. Nothing in bureaucrocy can be done online . Goverment is nonexistent on technological things . Its still all about paper-pen work
Except for Microsoft, all these US companies are from California. So, what does California do better than the EU? That would be a more informative question to discuss.
Have 49 other areas in its union with no barriers between people allowing California to specialize in tech without economic worries, security issues and other things individual countries must deal with? Not to forget that parts of that union have states with GDP the size of Europe's best economies.
@@taylormattlock5433 That is why the term "European champions" was coined - it's supposed to lay the groundwork for more ambitious international cooperation inside the EU and to get rid of national barriers preventing much of what would theoretically be possible.
First make English as the official working language in EU. Tech is communication intensive n shouldn't have language barriers between countries. People say English is widely spoken in EU companies, but in reality hardly few multinationals have english as official language. You wont get recruited if you cant speak the local language.
@@flavio7180 When the industry is no longer competitive and people become more poorer with ever growing gdp difference with US then I believe change will happen
I use Glassdoor for estimation. entry software engineer in Netherlands makes 68k€ on average, US software engineers make 107k$ on average. Net salary, you make 46k€ in the Netherlands and 76k$ assuming you live in Cali and pays Cali tax rate. That's almost 40% lower income. And this is a generous comparision because Dutch Salary are of the highest in EU, I compare it with the median salary in the US. If you factor in compounding income, exposure to opportunities, bonuses, EU tech jobs doesn't even come close to the US. Everybody think EU is some sort of heavens, until you actually live here. Personally, I am not interested in making 40% less annually on the same job.
I have lived in both California and the Netherlands, 10 years apart from each other. €68k in The Netherlands get you much much further than $110k in California, by several. Even without counting all the benefits of living in The Netherlands (safety, public transports, health care, holidays, opportunity to travel, working rights, etc, etc).
EU is more interested in arguing which EU country is better than another EU country. There is no integration. Discrimination against other some certain EU nationals is so high. Non-EU is seen as a threat instead of potential buyers.
We have become a shame we used to be the center of Innovation think the computer tanks cars rockets radios cement and most importantly the steam engine where all modern technology came from and so much more
Another nice video! However, as a person working in tech, which one would you choose? EU: - 70-75% pay of equivalent US job - 40 hour workweek - 25-30 paid vacation days yper year - at least 10 more public holidays - paid sick leave - paid maternity leave (2 years in my country) - great employment protection vs USA: - great pay - and practically none of the above You get the point. And yeah, maybe that's what stops EU's growth but hey, I'm all fine with it.
@@corvus_monedula Because the pay is like almost double of that you earn in most EU countries. And outside of west coast US is pretty cheap to live in.
I mean. EU may not lead in tech companies but it is home to major car/furniture/clothing/aviation companies that dominate in their fields. Why compete in a field where US and Asia lead when there are so many other areas you can dominate in.
I think that logic is why we've been so hesitant to invest in tech, but these days it seems as if the industries that are being impacted by tech are continually growing, so that old logic seems to be increasingly less relevant.
Yes but those are traditional economic products created by classical industry. If you want your economy to prosper you must make your economy knowledge based. Without innovation all of these areas will be overtaken by more advance and uptodate economies.
@@jakubzov I think it has to be considered that innovation is expensive and unless you can protect it, lost as easily as it is gained. For example; take cars. What actually makes them interesting strategically is that to build them, you need a lot of parts and that takes a lot of skilled workers and machinery etc. - meaning that even a small market share can give you an advantage for your own development because it guarantees technical aso. expertise that is otherwise not available and can have a considerable impact on a state's future possibilities, regardless of the theoretical value of the car company. On the other hand, Amazon at rank Nr. 4. It's certainly an impressive company that also has a lot of interesting ideas but just like Meta on Rank Nr. 6, it's far from irreplaceable. Apple at rank Nr. 1 in terms of size for example is also a valuable company for private investors as a stock option but in terms of long-term strategic interests considering a geopolitical perspective, I think that one should be very careful about overestimating the impact software heavy innovation has IF it is not kept secret. Basically, if anyone with enough funding and skilled experts can gain access to the code Apple uses, many of the services it offers can be replicated - they aren't out of diplomatic courtesy but times are changing rapidly and China for example certainly has faced few issues replacing US services with its own products despite having such a young industry in that regard. What is therefore much more interesting are the recourses going into the finished product, be they chips or raw materials and it's not nearly as easy to answer the question of how capable the EU is to establish the necessary industrial capacities to, for example, build entirely locally manufactured chips factories etc. Key takeaway: not all innovation is equal and falling behind is not always as dangerous as it seems - the imo. more fruitful question should consequently rather be if we (EU) maintain the ability to innovate rather than if we are actually always at the forefront of innovation.
Horizon looks like a secretive organization. Browsing their projects I can't understand where they "invest" ? Once the money is over project closes, website is removed, all gone. Nothing real came out of millions or thousands spent.
Eu "sucks at tech" but US sucks at taking care of their population! US has the biggest companies and most billionaires but US also has most people living in poverty; while in US you have to work 60 hours / w just to be able to pay your bills here in EU people work 3 days and live comfortably.
I wonder how much of the venture capital and risk-taking gap would be there, if the US didn't have a reserve-currency printer and therefore virtually infinite credit. Those that have to actually live within their means cannot divert that much productivity into all-or-nothing wagers. Apples and oranges.
Start motivating and educating the next generation. I have two kids, most of their teachers have no idea what GPT is, let alone use it to advance the quality of teaching. That brings me to the following point: Upgrade the education system. We still are stuck with basically a system that dates from the1900. Designed with the purpose to create obedient factory workers. The gaping hole between that and the future required skills are ever increasing, while the ones responsible keep their heads buried deep in the sand.
Why market cap is taken a measure of a companies size when stocks are literally a speculative asset these days…Americans companies are greatly overvalued compared to EU companies…How come NVIDIA or Tesla be of several times higher value than Siemens or Bosch when they generate more profit….???
Really it's because American companies are so far ahead. The valuations are based on emerging technologies that investors believe these companies will dominate like AI.
Most europeans prefer to live close to nature and have broader social face to face contact and behaviour. They don't want to live in a fake reality, techno dystopia.
We really need to solve the language problem in the EU. Like you said: it's the reason start-ups have a hard time growing, but not only that, it also makes it so people can't move across borders, so that they get fewer job offers, so that we waste a bunch of money on translations, so that cross-country cooperation becomes more difficult, etc. It's one of the biggest things holding us back.
this is an interesting proposal, but how will the European Union differ from the United States in this case? Isn't this what Europe differs from the United States in that here everyone has their own customs and culture. I doubt that people will be able or willing to switch to a common language.
@@maYTeusas if all european nations / ancestral populations spoke latin in the past. 😅 Why no greek then, that has arguably affected both romance and slavic languages and offered the basis of the alphabet for both groups, too
No need to go that far, in my opinion enforcing English as the 2nd language across the EU, as it is done right now, is the way to go. I work for STMicroelectronics and there's no problem in communication between our European partners when using English. This way we preserve out cultural identities and improve business collaborations.
"Wealth distribution" yeah i see that when my 5000€ euro salary is 2500€ in my bank, why i'm obligated to pay for others? What's the point? My health insurance will cost maximum 1000€ high end? I should give 50% of my salary so some people can be parasitic and live from my back? No, thank you. I can pay for my insurance.
The one and only reason is the abundance of the venture capital in the US. Since the US literally prints the money and the rest of the world has to accept the USD thanks to WTO, WB etc, VCs can afford taking risks. For any business you need 3 things: Labour force, market to sell and the capital
Ah the USA prints money' lazy explanation because I don't have a comprehensive answer. First the USA doesn't print money, it issues government bonds when it wants to raise/borrow money. You do realize that other countries invest in US technology as US invest in other countries technology also? Do you actually understand Venture capitalism? So by your logic any country can print money and have better technology 😂😂 it has nothing to do with the education system or research and development over decades. Surely every country with large foreign reserves are technologically advanced because they have lots of money?
@Cypher Yeah and why do you think so? U.S. continues to be the leading economic, technological and military force that offers the best place for investors to put their money in. Has been, will be.
The EU Horizon programme is one, but digital Europe is more relevant in this regard. Horizon is more research based. Then there is the EU investment bank and other mechansims to support tech.
The Netherlands is performing better than the USA per capita but other European countries suck. We Dutchies have ASML and in the past we had a very large Philips with more than 200.000 employees. We also have Royal Dutch Shell which had in 2009 the largest revenue in the world and is now still ranked in the top by revnue. Fun fact: the largest company in history was the Dutch East India Company with a market capitalization of 7 trillion dollars when corrected for inflation. So we Dutchies always create the biggest and best companies but our fellow Europeans are really a joke. So in the end USA and China could beat the EU.
@@brb4903 I wish I could talk with pride about my European colleagues but I have to conclude they are just clowns without a significant industry. By making fun of them I hope they will feel challenged to invest more in new innovations and start-ups.
Can we just admit that you can't abuse the system or workers the same way in Europe as you can in the US and Asia. This is why the tech industry can't work out the same because start ups are predatory by nature.
Thats definitly not the issue. Estonia and sweeden have both been referred to as the lands of start ups. Being anongst the countries with the most startups per capita. And they have better labor laws than MOST of the EU. Yet their tech industires are booming. Sweeden with its defense industry and 3stonia with everything else.
@@bjjkickboxing7876 with Estonia you had a society who had to start from scratch at the dawn of the internet. Also with a small population this helped and with Sweden you have some bright spots but they are both exceptions to the rule. To grow the way this video implies they are not built on the same predatory frameworks.
@@bjjkickboxing7876 it proves the start up and technology world in incredibly predatory and refuses to work in a people centric environment. It does not disprove that it is hard to start technology companies. My position and examples just state the fact that predatory start up culture here cannot take hold as it does in china and the US. Having worked in those environments i can tell you that most fail miserably
I think a usual Socliaist perspective cannot answer everything about the world and economy much like they pretend they do, then again a huge government never did achieve much as in case of EU famous Bureaucracy. Something to think about.
Despite Europe being in the EU and having a continent wide market, the national economies of Europe are not immersed in the same way with one another in the same way the US states are.
The US spends more on defense than the EU. Defense paces innovation and change in economies. Unfortunately, innovation in private industry just ends up upsetting shareholders...i.e Meta.
funny for Americans to say this when they dont stop buying german cars like BMW and airlines like DELTA have a fleet of planes mostly composed by Airbus
Unfortunately this video is to bias and not true. A few things to point out: First, It is not particularly true to compare tech just on the bases of economy. For example, the products Apple makes are not particularly "high tech" products, but just consumer products with realy high margins, so big profits. Secundly, EU is doing quit okey as it comes on being innovative. In the innovation index from the top 10, 7 countries are from Europe (of which 5 from the EU). Thirdly, European tech companies are less visable, yet important. Take for example Ayden. It is a really big company but is being used in the background. To make a Iphones chips of NXP are being used, made on a machine of ASML. Or in health care the tech mainly comes from Philips. All code for AI is writen in Phython-format and so on (and this were only a few Dutch specific examples). In their respective fields, EU companies are doing quit oke, take for example health care technology. Although the profits their are less then in consumer goods. However, they are less visable in comparison with the US companies who are more comsumet focust rather then important on the background. Also, EU has less tech monopolies, so the tech is more distributed. Fourth, most US brands have specific tech lines in the EU. For example, Google's AI is developt in France not in the US! Also a lot of tech for American brands comes from Ireland. So, looking at the origin of brands alone is also not fair. When we take a look at the US it also are meanly California based companies.
Adyen has a market cap 30 billion less than PayPal's, an American company in a similar industry. And of course European countries would be in the top 10. America is only one country, after all. And as for NXP, literally all but 1 of the top 25 investors into that company are American owned companies. It isn't a stretch to say that it might as well be American owned. A similar story can be found in Philips, which, despite being Dutch owned, is almost entirely owned by American companies with a small minority of British ones. So Americans are just exerting their pesky influence over the European innovators and calling it their own, right? Well, not exactly. Only about 9% of global semiconductors are made in Europe. Intel, Nvidia, Micron Technology, Qualcomm, AMD, Texas Instruments, and a couple more American companies had higher revenue in 2022 than NXP, a company which supposedly is vital to the industry. If you want to argue for a country does semiconductors better than America, you'd have to look to Taiwan and Japan. TSMC alone nets more revenue than all the other companies combined, and they're the 3rd biggest company in those two countries I could find. They aren't kidding around. And sorry to say, but even in healthcare companies, American companies seem to be dominating. Johnson and Johnson made 96 billion dollars in 2022, while Philips only made 17.83 billion. Even if Philips was completely European owned, America still dominates the field. We're the ones who made the two first covid vaccines, after all. And of course, I am completely talking about money, but how else do you gauge how well innovations do other than revenue? With more money comes more factories and more leverage when it comes to hiring brainpower, as well as funding research. Even if one argues that a large sum of the net income is padded by selling to consumers, that's still money that contributes towards more innovations. Besides, I have enough Philips screwdrivers lying around in my garage to tell you that European companies are no stranger to consumerism. Yeah, the EU has less tech monopolies. I can't deny that. I hate monopolies just as much as the next guy, but when it comes to technological innovation, having all the resources spread thin between hundreds of equally sized companies is awful. A thousand companies each worth 1/1000 of Lockheed Martin will not even be close to outputting in a year what that forsaken company makes on a monthly basis. European companies innovate less than American and East Asian ones. That's just a fact. European governments made the choice to grant a better quality of life over chasing innovations and improvements to technology. If you ask me, that seems a bit short-sighted. As Europe doesn't have many natural resources or low-skilled labor to speak of, their only big exports are high-skilled manufacturing and ideas. Neglecting their main source of income doesn't seem very wise to me. Sure, European cities blow their American counterparts out of the water when it comes to pedestrianization, public transport, and low crime, but what's to say that this high quality of life will still be there in 30 years? It was only 77 years ago when Europe was being razed into the ground. Today's Italy could easily be tomorrow's Germany. A high quality of life is unfortunately something that America sacrificed in order to achieve economic dominance. Europe didn't want to do that, and that's fine. I disagree with it, but then again, we have to drive everyday to work and live in isolated suburban environments. But it's just not correct to say that Europe is beating America in any regard when it comes to innovation. You can't have your cake when you already ate it.
I think it's therefore very important to consider what the EU is actually lacking, the big tech industries themself or the potential/actual current capacity for technological progress. I think it's mainly the former but we have to stay on guard and keep pouring money in shared projects and develop our capacities.
Low quality video. CHATGPT is not banned in Italy anymore. Few days old news... And regulation of not against startups - it's against giant monopoly US companies using our valuable data as they please...
So many russia shills in the comments section. I pity them, I can't imagine the suffering they must go through every day, trying to string together a single coherent thought, it must be so difficult.
if EU is slow, look at UK ony has brexit hehehehe. Going back to the topic. Have you seen Spain sky rocketing as the next Tech Hub. Have you research Malaga Valley in google? Spain's Malaga is the next Silicon Valley and Spain is the next Busines hub like Singapore and Dubai
Back in the 1990's Bill Clinton passed some very pro-corporate legislation. So the tech startups of the day became megacorporations. They do not have to put out a great product or new patents, because they can simply use their monopolistic power to stay on top. That is why we have Windows. So much money was pumped into them at an early stage and the US government reduced regulation to zero to get them their monopolies. But when corporations reach that point, the rate of innovation slows down. It is much more profitable to keep upgrading Windows or Facebook instead of doing another product that would in essence compete with your old product. One thing to consider is that tech giants produce very little jobs and are very good at avoiding taxes. So the US GDP looks amazing, but most of the growth always comes from tech giants who in turn contribute very little to society in the form of taxes. Some of them like Amazon or Uber also find their success more from non-union cheap labour that tech innovation. Another thing is how zero regulation means that Google and Facebook can gather your personal data for their profit. It may be true Americans have more venture capital... but they also have a tremendous amount of zombie tech firms that have never generated profit. They sell a dream that this tech will be successful in the future and always need to find more investors. The current economic downturn has hit US tech sector very hard with hundreds of thousands of layoffs. Zero oversight also means you get Sam Bankman-Fried and Elizabeth Holmes. The small-and-midsize tech sector in Europe is developing rapidly. I do not buy the "Americans are more innovative" for a second. Its all about money and power. Money goes to more money. Americans have paid a high price for their tech giants. Just look at their economic numbers. US public debt has speeded by almost all the Europeans and the problem is getting worse at an exponential rate.
Croatia might become a tech hub considering it's recent success or well it might just be my wet dreams, but we have had Rimac and Infobip in recent years which is a lot considering our population, with a lot of new start-ups coming up. This is happening because of Rimac and primarily Infobip building up a start-up ecosystem.
Hrvatska izuzetno lijepo napreduje na svim poljima ! Bas me raduje ta cinjenica i volio bih da Crna Gora krene tim koracima. Gledao sam intervju sa Rimcem koji je radio za emisiju Sat, covjek je genije ! Pozdrav od komsija i nadam se da se brzo vidimo u EU !
China will beat EU to a pulp in innovation. Europe stills clings onto their past glory of Automobile and mechanical instrument manufacturing proverse. German reliability is already questionable. Polish gaming company Projekt red looked promising but failed miserably with their cyberpunk 2077 launch.
