Global Innovation Clusters: Lessons and Policy Recommendations for Thailand

About Documents

Innovation clusters are at the core of modern innovation systems. Cities and regions where entrepreneurs, researchers, universities, technology companies, and venture capital are highly concentrated tend to generate new knowledge, turn research into products, and attract investment more effectively than other areas.

The Global Innovation Index (GII) by the World Intellectual Property Organization (WIPO) ranks the world’s top innovation clusters each year. The 2025 ranking shows that leading cities continue to excel at linking scientific knowledge, intellectual property, and venture capital investment. This year’s top 10 clusters are Shenzhen–Hong Kong–Guangzhou, Tokyo–Yokohama, San Jose–San Francisco, Beijing, Seoul, Shanghai–Suzhou, New York, London, Boston–Cambridge, and Los Angeles. Each of these clusters consistently demonstrates high levels of scientific publication, international patent applications (PCT), and investment activity.

In 2025, the GII places greater emphasis on the dimension of “innovation finance,” by including venture capital deals alongside patent filings and academic publications. This approach led to higher rankings for clusters in the U.S. and U.K., such as New York, Los Angeles, and London. In contrast, some clusters in East Asia saw a decline in rankings due to weaker performance in investment deals, reflecting differences in the structure of innovation capital markets across regions.

When looking at specific indicators, clusters in Asia—particularly China, Japan, and South Korea—lead in scientific publications. In terms of patents, both Asia and the U.S. perform strongly. The U.S. leads in venture capital activity, with San Jose–San Francisco and New York ranking at the top. In Europe, London stands out for its investment activity. These patterns suggest that there is no single formula for success; rather, strong clusters effectively combine different strengths.

Top innovation clusters around the world tend to share at least three key factors:

1. Leading research institutions that serve as central sources of knowledge and skilled personnel.
2. Top-tier technology companies that define research needs, employ highly skilled labor, and drive innovation value chains.
3. Liquid capital markets, especially investors who can support the full innovation cycle from upstream research to downstream startups.

For Thailand, the GII report notes that Bangkok is listed as a potential innovation cluster outside the global top 100 and is recognized as a leading cluster among middle-income countries, alongside cities such as Buenos Aires and Belgrade. This means that Bangkok has a noteworthy base of science, technology, and innovation finance, but still needs to strengthen its intensity and system-wide linkages to become a top-tier innovation cluster.

To strengthen Thailand’s innovation clusters, three key areas should be prioritized:

1. Promoting venture capital investment by creating a supportive environment for funding new startups, similar to the strengths seen in U.S. and European clusters.
2. Developing high-potential innovation zones where universities, research organizations, and entrepreneurs collaborate closely.
3. Learning from diverse cluster development models, recognizing that it is not necessary to excel in all areas. Instead, Thailand should focus on building specific strengths, such as supporting high-potential industries to boost patent activity and visibility.

Author:
Mr. Kamol Panmuang
Senior Researcher
International Institute for Trade and Development (Public Organization)
www.itd.or.th
Publication: Bangkok BIZ Newspaper
Section: First Section/World Beat
Volume: 38 Issue: 12986
Date: Wednesday, Sep. 10, 2025
Page: 8 (left)
Column: “Asean Insight”