Microsoft and Google have become the latest tech companies to announce they are opening new London studios, after a raft of similar pronouncements timed to coincide with the Olympic games.

Microsoft said it will open an Xbox development studio in the city, alongside the existing Xbox Soho base and its Rare and Lionhead offices.

MCV said that Microsoft is looking for senior staff for the new site, and that it will work on "developing successful new products and services for current and future consumers".

Google also announced it will open a new London facility, aimed at producing high-quality YouTube content.

The 'creator space' will be opened at Google's Soho office to help video producers make better videos.

Equipment will be provided free of charge, including green screens and HD cameras.

Google's Sara Mormino, director of YouTube content operations, said:

"Our partners from all over Europe, Middle East and Africa will be able to book time in the space to create and collaborate with other creators, learn new techniques, as well as gaining access to state-of-the-art audio visual equipment, to help them generate great new content for their channels."

The announcements follow Amazon's decision to launch a new UK studio in London

Amazon's eight-floor, 47,000 square foot Digital Media Development Centre will be built at Glasshouse Yard near the Barbican, and could open before the end of the year.

Game developers Konami have also announced they will open a London studio to help develop their Pro Evolution Soccer franchise.

Meanwhile the Tech City Investment Organisation, set up to support the development of East London's so-called 'Silicon Roundabout' near Old Street, announced a new competition for start-ups.

The Start-Up Games will see entrepreneurs and start-ups come to London for three days of training and competition.

Tech City said 300 people will be invited to participate from 29 to 31 August, during the Paralympic Games.

Applications are now open via the Start-Up Britain website.

"We’re delighted to promote the StartUp Games as it will bring together top entrepreneurs from across the UK who will inspire and learn from each other while meeting potential trading partners from across the globe," said Oli Barrett, co-founder of StartUp Britain.

Google executive chairman Eric Schmidt was also in London on Thursday to attend a business investment summit.

Britain is now mired in the longest double-dip recession since quarterly records began in 1955, and possibly since the Second World War.

In a speech the conference at Lancaster House, Prime Minister Cameron said: "My message today is very simple: Britain is back open for business, and we are committed to supporting global growth with open trade between our nations.

"So invest in Britain, partner with Britain, not just to invest in this country, but because this is the place, the hub, from which your company can grow and expand.

"So make this Olympic year a great year for your business, here in Great Britain."