[illumen]

Strangely Cambridge is the start up place in the UK. They get the most venture funding (even over London). Then tend to be in fairly hardcore technology though. I would call it Europes silicon valley, and not choke too much laughing, with ARM and related companies there.

All the giant advertising agencies are in London, so it makes sense for Google. They're also in New york and elsewhere too - so I don't think that part gains them much.

The UK is the second biggest market for Google, and they pay about 4% tax apparently on that profit. So I think this office was part of an arrangement with the government.

[pja]

Late follow up: sure, many non-software startups are elsewhere, especially in Cambridge (I used to work for a biotech startup in Cam.) Software / web startups seem to be predominantly in London though. (Maybe the London ones are just noisier?)