This photo taken from Jingshan Hill on Aug. 12, 2024 shows the skyscrapers of the central business district (CBD) on a sunny day in Beijing, capital of China. [Photo/Xinhua]

Beijing tied with Boston for fifth place in a global ranking of startup ecosystems, making it China's sole city in the top five, according to the Global Startup Ecosystem Report 2025 released on June 12 by research firm Startup Genome.

Silicon Valley held the top spot, followed by New York, London and Tel Aviv in second through fourth place, respectively. Other Chinese hubs, including Shanghai, Shenzhen, Hangzhou, Hong Kong and Guangzhou, also ranked among the top 40, with all except Hong Kong moving up the list.

The report assessed six metrics: performance, funding, talent and expertise, market reach, AI-native transformation and knowledge supply. Beijing ranked third globally in performance and fourth in both talent and knowledge supply.

The city far exceeded the global average in ecosystem value, number of active unicorn companies, software engineer salaries and total venture capital. From 2022 to 2024, the city's startup ecosystem was valued at $533 billion, over 26 times the global average of $20.4 billion, and it boasted 61 active unicorn companies, compared to the global average of four.

The report attributes Beijing's robust innovation growth to strong government support, intellectual backing from top universities and a thriving capital market.

In terms of policy support, Beijing has encouraged major commercial banks to increase investment in non-listed firms as part of broader efforts to support its startup ecosystem. In 2024, loans to small and micro businesses and entrepreneurs in Beijing jumped, with entrepreneurship guaranteed loans rising 79.6% year on year. That same year, the city also introduced over 250 business reform measures and added 287,000 new market entities.

Beijing is home to 46 publicly listed companies focused on AI, big data and analytics, with a combined market value of $590.96 billion. The city has earned international recognition in AI-driven data analytics, life sciences and fintech, and has become a leading center for payment technology.

To attract startups, Beijing has continued to bolster its support for tech companies, financing options and advanced research infrastructure. In August 2024, officials announced plans to expand the number of specialized, innovation-driven firms in Beijing to over 10,000 and introduced new policies and funding to support digital upgrades. 

Several new investment funds have been set up targeting key technology sectors, while infrastructure initiatives such as a super-node computing power cluster and the rollout of 5G-Advanced mobile networks are expected to further support startup development.