High-Tech Centre in the Periphery: The Political,Economic and Cultural Factors behind the Emergence and Development of the Oulu ICT Phenomenon in Northern Finland

The Oulu region in Northern Finland has witnessed a remarkable growth of ICT industries since the 1980s. A town near the Arctic Circle with only 140,000 people (2012) created a high-tech business that employed at its best nearly 16,000 people in the region at the millennium. This article investigates the historical background of this phenomenon, which is not so much an imitation of Silicon Valley, but rather a result of special Finnish and northern characteristics. The most important contributing factors were the University of Oulu, governmental support and the success of the Nokia Corporation. Oulu's strength was the early clustering of the focal actors. Oulu established the first Technology Park in the Nordic countries in 1982. The northern mental environment, Oulu's traditions and many exceptionally active persons also contributed to the phenomenon. The case of Oulu is presented in a larger international context with the help of studies on regional high-tech clusters and the development of the information society. Present and future challenges are also addressed.