MOSCOW’S “SILICON VALLEY”

Plans to create an ultra-modern science and research complex for developing and commercialising new technologies near Moscow are well underway. Installations for this vast project are expected to take between 3 to 7 years to complete at an estimated cost of $4 to 6 billion. The project has already attracted the interest of several European companies.

The “Innograd” (Innovation City) in Skolkovo will be built just 2 km west of Moscow, in the Eastern Odintsovo district. The centre will concentrate on five priority areas of modernisation – energy, IT, telecommunications as well as biomedical and nuclear technology. 4 billion roubles (approximately $133 million) have already been spent this year in supporting and designing plans for the project, which is estimated to cost a total of $4.6 billion to complete.On the Russian side, Skolkovo’s Innovation Centre will be directed by Viktor Vekselberg, the head of Renova Holding. Former head of Intel Craig Barrett will be Co- Chairman of the Supervisory Board corporate governance project and co-chair of the Scientific and Technical Council of Skolkovo will be Nobel laureate Roger Kornberg, who is a Structural Biology professor at Stanford University.Upon seeing the project, Siguler Guff and Company Fund’s head Andrew Guff decided to participate in the project’s information infrastructure and intends to invest $250 million. He also promised to encourage other reputable funds to participate in the project. Almaz Capital Partners, one of Russia’s largest investment funds, also offered its services and Siemens has agreed to establish an energy efficiency and biology research centre. An agreement on investing in a future technology incubator is close to being reached with Cisco, an American company which produces telecommunications equipment. Analogical contracts are being negotiated with several major American, European and Asian companies as well as various research centres. Within a short period of time, the Skolkovo project has found dozens of investors; from private companies and businesses to funds. Russian President Dmitry Medvedev and President of the Swiss Confederation Doris Leuthard discussed Switzerland's participation in the project at an official visit to Sochi on August 26, 2010. A significant part of the preparatory work is already underway at Maxmakers, one of the largest companies in Switzerland, which the project’s founders selected to be Science City in Skolkovo’s principal construction consultant. Subsequently, Maxmakers will monitor the entire architectural and urban planning process, which will be selected on a competitive basis. The project is expected to involve a number of other highly skilled Swiss companies along with Italian and Finnish companies from various industries who are eager to participate as well.