Frankly, any attempt to put it anywhere else would just end up with a split between the anointed location and London. There's already a strong telecoms presence in west London along with a fair few IT companies anyway. When you have a genuine choice then fine, choose another region, but when the choice has already essentially been made by the market, why introduce potentially damaging artificial distortions to try and fight it?

Having said that, Cambridge is sort of it's own little world of specialist IT outfits but it just doesn't have the scale to become much more than it already is, or to develop synergies with other industries.