No.20 Tech Hotspots 2008

, China

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What's so special about Shenzhen?
Shenzhen in the Guangdong province was designated a Special Economic Zone in 1979 by the then leader Deng Xiaoping as part of a move by communist China to seize global commercial opportunities.

Since then it has become one of the fastest growing cities in the world. Situated on the Pearl River Delta, just north of Hong Kong, the city is geographically well placed as a gateway to Japan and the West.

The city has a long established reputation as a manufacturing base for electronic equipment.

Hotspots judge John Higgins observed: "There are around 100 mobile phone manufacturers in the world. About 70 of them are in China, with a high concentration in Shenzhen."

R&D overheads are relatively cheap so many tech companies based in the city will have research departments proportionally far bigger than their US or European counterparts.

Key tech companies Huawei is a specialist in all things telecoms, from carrier-grade switches to pocket-sized 3G data cards. ZTE is a similar company focusing on all things communication, wireline or wireless. Both have presences in the UK but prefer to keep a low profile with OEM agreements with other companies, rather than building their own brand. Foxconn specialises in the fields of nanotechnology, heat transfer and wireless connectivity, with more than 15,000 patents granted worldwide. It has more than 200,000 employees across the world. Apple and IBM both have large production facilities within the city limits.

Key institutions Shenzhen University, Shenzhen Institute of Information Technology. Shenzhen is only 80km from Guangzhou, the capital of the province, where you can find dozens of tier one universities.

Local salaries Software engineer $11,000.

Famous faces Ren Zhengfei, founder of Huawei, is one of the most influential technologists in China. He owns one per cent of the company. He is a former officer of the People's Liberation Army. Ma Huateng, CEO of QQ, an instant messaging service that is hugely popular in China, is also a resident of the city.

Population 10 million.

iPod cost $180 Source: CommSec, Apple.

Time zone GMT +8 hours.

Voltage and plugs 220V.

How to get there Shenzhen is very well supported for international conduits. Shenzhen airport supports a limited number of flights to international destinations. Many travellers enter the city via Hong Kong International Airport, which is approximately 1.5 hours' drive. Shenzhen also has one of the biggest ports in China.

Watch out for Splendid China culture village.

Places to stay, eat or drink One of the best hotels in the Luo Hu District is the Shangri-La Hotel. In the same district, the Best Western Shenzhen Felicity Hotel is also five star.

What you might not know There is an element of business in Shenzhen that has traditionally prided itself on copying Western products. It has had a reputation for being a place where cheap imitations of Western goods could be had cheaply, although this may be changing.

There is also a relatively high level of petty crime in some areas and it is advisable to follow all the usual precautions with money and travel documents.