Greater Manchester’s AI companies are now valued at £3.14bn, more than five times their 2020 valuation, and the city region is on a path of considerable growth, according to a new report from the Turing Innovation Catalyst Manchester (TIC).
The report says that the region’s AI businesses are punching above their weight internationally.
Greater Manchester is ranked 13th in Europe for AI talent, and home to AI companies employing 13,500 people.
Greater Manchester has a balanced AI enterprise value pipeline with early, mid and late-stage AI companies (30% early, 31% mid, and 39% late stage), creating the conditions for a flywheel effect of talent, capital and scaling knowledge recycling in the ecosystem.
Central to Greater Manchester’s transformation into a globally recognised AI hub says the report is the power of collaboration.
The intersection of higher education, the private sector, and local and national government has become the foundation of the city region’s success. This tri-sector approach has unlocked unprecedented opportunities for innovation, economic growth, and social progress.
The city region’s AI ecosystem has the potential to be worth £11.2bn by 2035, increasing the number of AI jobs to 25,000 and achieving an economic impact contribution of £18.67bn gross value added (GVA).
The road ahead is a challenging one adds the report with the city region attempting something that no other city region in the UK is committing itself to.
But through strategic investment, continued collaboration between the public and private sectors, and a clear, unwavering vision, Greater Manchester is on the path to becoming a leader in the fourth industrial revolution.
Liz Scott, executive director at the Turing Innovation Catalyst Manchester, said: “Manchester has long been recognised as the UK’s second city, in terms of the resilience, maturity and potential of its digital economy in a broad sense – but the growing strength of its AI cluster is what really sets it apart.
“The work we’re doing at the Turing Innovation Catalyst, in partnership with organisations across the public and private sectors, is about making purposeful investments that create the right conditions for innovation to thrive in all corners of society – from our universities to SMEs and large corporates, and with individuals who want to work with this expansive technology.”
She added: “Collaboration is critical to unlocking that, and this new report really highlights that as a priority for the city region.
“We have a lot to be proud of – from the levels of investment our AI companies are attracting to our global standing in comparison to other cities – but now we need to work together to realise our growth potential and lead the future of AI innovation.
“Greater Manchester is on a clear path of growth and our ambition is for the city region to be a leading destination for AI innovation globally.
“I hope that with the release of this report and a clear agenda for the future, the Turing Innovation Catalyst and partners can drive forward that growth – fostering an ecosystem that is inclusive, resilient and globally impactful.”
