It has more than temples and green teas.
It has been a year since Plug and Play Kyoto has been launched. When Plug and Play Japan announced the opening of the second office in the country following the Tokyo office, everyone asked us the same question.
“Why Kyoto?”
In general, when a company looks for an opportunity in western Japan, it would seem more reasonable to pick Osaka for a location, in terms of the size of the industry and the population. Osaka, which is considered a business hub in western Japan, has 8 million of the population, whereas Kyoto has only 2.5 million.
But we chose Kyoto as our second foothold in Japan. It’s not that we were lured by beautiful temples and good food in the ancient capital — although those are big pluses, we admit — it’s because we saw potential in Kyoto to be a unique ecosystem for startups. Here’s why.
A City of Universities: High population of students and researchers
Startups are all about new ideas and people who dare to pursue them. Innovative technologies and groundbreaking ideas often come from academia. Kyoto has 37 universities, including Kyoto University which has been awarded 6 Nobel Prize laureates and produced many spin-out companies. Also, it is the highest percentage of universities per 100,000 population in the country. One in every ten Kyoto residents is a student in higher education.
The high density of the student population means more advantages in hiring newly grads and interns. In other big cities such as Tokyo or Osaka, hiring at startups is in general more competitive since large companies also want a skilled workforce.
Also, Kyoto has quite a number of people who came from outside of Japan. Not only teachers, researchers, or students, but also tech developers or entrepreneurs sojourn in this city for research or product development. For example, the founder of a recent fast-grown startup Notion Labs Inc, has spent a few months in Kyoto in order to save expensive rent in Silicon Valley and to focus on initial product design.
Spirit of Artists and Craftsmen: Meet international hard-tech companies.
It is a little known fact that Kyoto has a number of notable hard-tech companies that have been leading figures in the industry.
Take an iPhone. Most of its parts are manufactured in China, but its core technologies built in those parts are actually from hard tech companies based in Kyoto.
As it has been the capital of Japan from the 8th to 17th century, Kyoto culture has excelled at arts and crafts, which nurtured artistry and meticulous craftsmanship passed down generations. Consequentially, it led to its advancement of the hard tech industry. To this day, Kyoto is proud of its high standard of manufacturing, and the local government supports hardware startups to maintain its legacy of craftsmanship.
Epitome of Japanese Culture: Source of inspiration.
When you google “things to do in Japan”, there are four suggestions: Fushimi-Inari Shrine, Kinkakuji Temple, Kiyomizu Temple, and Mount Fuji. Three out of four are located in Kyoto. And it is not only of tourist value, but it means you can access the time-tested beauty and philosophy just around the corner of your block. It is a great environment for those who want to contemplate business ideas from a different perspective, away from the mundane routine in big cities. (However, even if you need to visit Tokyo, it only takes 2.5 hours by Shinkansen. And Osaka is just a half an hour away. )
When you are away from the touristic attractions, Kyoto would look much serene with little noise. The city regulates the sizes and colors of signboards and buildings, which protects its beautiful cityscape and streets. Putting yourself in a quiet environment will certainly help you to concentrate on what you really need to work on. In terms of work-life balance, Kyoto has an ideal balance as it is surrounded by beautiful mountains, which are only 20 minutes away by car from CBD. Lake Biwako and Hozukyo Gorge are less than an hour’s drive.
Surely Kyoto is a small city and doesn’t offer the glamour of a metropolis. But it has a character: It is not only historically important but also known for its individualism or detachment from other cities in Japan. It attracts people who pursue their own goals, who do not follow the masses, who want to be an originator. We believe that Kyoto is a place for true innovators.
Last but not least… Kyoto has the highest consumption rate of coffee in Japan. There are hundreds of local coffee roasteries and cafes, which would certainly perk you up!
