Tech Roundup, Aug. 23, 2019 | Brazil’s Silicon Valley

You’re reading The Brazilian Report‘s weekly tech roundup, a digest of the most important news on technology and innovation in Brazil. This week’s topics: How Florianópolis became one of the most important tech hubs in Latin America, earning the nickname “Brazil’s Silicon Valley.” Brazilian hackers have become malware exporters. Brazilian science still resists. Happy reading!

How Florianópolis became one of the most important tech hubs in Brazil

The island city of Florianópolis, in Brazil’s South, is known for its idyllic beaches and marvelous seafood. But in recent years, the city has also crafted its image as a major innovation hub, with 4,000 startups popping up since 2015. Now, Floripa (as the city is affectionately known) is home to 20 percent of Brazil’s startups—São Paulo leads the way on 28 percent.

In 2018 alone, the island’s startups raised BRL 6.7 billion in revenue—earning it the nickname “Brazil’s Silicon Valley.”

Recently, many major players, such as online-discount company Peixe Urbano, have decided to move their headquarters to Florianópolis. American firms are following the trend, such as app developer ArcTouch—whose clients include Audi, Yahoo!, Salesforce, and Adidas.

What made Floripa Brazil’s Silicon Valley?

Education. Florianópolis is home to the Federal University of Santa Catarina (UFSC), a highly-rated institution which has developed numerous research partnerships with companies. However, the city also benefits from the overall high education levels of the state. Santa Catarina also has the highest levels of productivity in the country: companies earn, on average, BRL 100,000 per worker, way above the national average of BRL 72,000.

Synergy. In places such as São Paulo, the startup ecosystem can quickly become a cut-throat environment. Not in Florianópolis, as digital marketing specialist Marta Buyolo writes. “Entrepreneurs in Floripa are willing to share and exchange knowledge with anyone who asks for it. In that sense, cooperation among professionals has created a network that has mostly helped the ecosystem grow, becoming an example to follow for...