The agglomeration of high-tech industry is one of the hot issues in the field of management research in recent years. Using Shenzhen as a case study, this paper finds that government can play a critical role in accelerating high-tech industry agglomeration by way of encouraging investment, increasing return on capital, building attractive environment, and providing or improving various public services. We also find that government functions should vary in different development stages. The three types of governance modes in the literature are: market-leading type, government-leading type and mixed type. We suggest in the paper the government- leading type adapt to the early industrial development, and the mixed type more adapt to the development of industry cluster.