<div id="readability-page-1">  <p><time datetime="2026-02-02T03:06:00+00:00">    Monday 02 February 2026 3:06 am  </time>      <span> | </span><span> Updated: </span>   <time datetime="2026-01-31T15:20:03+00:00">    Saturday 31 January 2026 3:20 pm  </time></p>         <div>    <div>             <div>             <p>            <span>        Politics and Economics Reporter      </span>                </p>          </div>  </div>    </div>    <figure>    <div>       </div> <img width="742" height="495" src="https://imageproxy.pbkrs.com/https://www.cityam.com/wp-content/uploads/2026/01/01K8K7FQ3AXB8G0K8KCSRSSNGV-e1767797290274.jpg/query-dz03NDI?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" original-src="https://imageproxy.pbkrs.com/https://www.cityam.com/wp-content/uploads/2026/01/01K8K7FQ3AXB8G0K8KCSRSSNGV-e1767797290274.jpg/query-dz03NDI"/>  <figcaption>Starmer has been urged to help entrepreneurs take risks. Stefan Rousseau/PA Wire</figcaption> </figure> <p>Entrepreneurs in the UK can’t handle failure and making mistakes whereas it is often a “badge of honour” in Silicon Valley, the chief executive of British semiconductor company Arm has said. </p><p>Speaking on the Master Investor Podcast with Wilfred Frost, Rene Hass, who leads the Nasdaq-listed firm Arm holdings, said startups in the UK struggled to grow because of scale opportunities in the UK arising from the dearth of investors willing to bet on entrepreneurs. </p><p>He suggested the UK’s lack of risk appetite held businesses back. He suggested that he aimed to “inject some of that Silicon Valley appetite for risk” at the tech company’s headquarters in Cambridge. </p><p>“Scale matters – unfortunately, in this world, the UK is not at the scale that the US or China is,” Hass said. </p><p>“I’ve been very encouraged by some folks inside in the government, Peter Kyle [and] Liz Kendall. They’ve been very aggressive on this point, looking to do some things around data centres in the north.</p><p>“I think if we could get more venture capital inside the UK and then access even to secondary capital where people who want to start companies can do so in the UK and have their companies thrive in the UK, and obviously go public in the UK, that would be a home run on all levels.”</p><p>“There definitely is less appetite for risk and maybe that comes from less of an appetite for failing – whereas in Silicon Valley, if you fail to some degree, it’s a badge of honour.”</p><h2 id="h-entrepreneurs-to-lose-to-tech-giants-in-ai-race">Entrepreneurs to lose to tech giants in AI race</h2><p>Hass also weighed in on AI bubble debates, playing down the risks posed to US tech giants such as Apple and Microsoft. </p><p>He suggested there may be some “overinvestment” in AI technology but added that models could “top out in terms of their efficiency”. </p><p>“One thing that may be a little different this time is that the past winners may still be the next set of winners just because of the size of their scale.”</p><p>However, Hass warned that China was better than the US at “building things really fast and moving through a lot of red tape”. </p><p>The microchip designer, which is owned by Masayoshi Son’s investment firm SoftBank, opted to snub the London Stock Exchange for New York in early 2023. </p><p>The decision came after intense negotiations between Hass, Rishi Sunak and the Financial Conduct Authority, dealing a blow to the UK’s ambitions of keeping its fastest growing companies at home.</p> </div>

SOXX

ARMU

ARMW

ARMG

SOXL

<p>The CEO of Arm, Rene Hass, criticized the UK’s entrepreneurial culture for its aversion to failure, contrasting it with Silicon Valley's acceptance of mistakes as a learning opportunity. He emphasized the need for increased venture capital in the UK to foster startup growth and suggested that the UK lacks the scale of the US and China. Hass also commented on the AI sector, noting potential overinvestment but suggesting established tech giants may continue to dominate due to their scale. He highlighted the challenges posed by China's rapid development compared to the US.</p>

- Rene Hass, CEO of Arm, highlighted a cultural issue in the UK regarding risk-taking among entrepreneurs, contrasting it with the Silicon Valley mentality where failure is often seen as a learning opportunity.  
- He expressed concern over the UK's lack of venture capital and investment appetite, which hinders startup growth compared to the US and China, while calling for government support to enhance investment in tech.  
- Additionally, he remarked on the competitive edge of China in fast-tracking technological advancements, noting Arm’s decision to list in New York instead of London as a setback for the UK's economy.

UK entrepreneurs can’t handle failure, Arm boss says