Between the backwards government (cf. the dumb stuff that Fleur Pellerin regularly does/say) and the structures that are impossible to work with (a friend of mine, still in Paris, has been fighting for weeks to just get a ~bank account opened~ for his startup), France will not have its Google or Facebook (a catchphrase often used by the politicians) anytime soon.
It's a shame, because there is real engineering talent in France (you can thank Napoleon for that), and those who don't want to move abroad (typically England/Germany) end up working for shitty consulting/outsourcing companies ("SSII"), or work in small local web dev agencies. There are programmers from my small French university that I would hire over Stanford students any day of the week for a startup. (this is not a jab at Stanford or anything- I've tutored Stanford undergrads, and many of them are brilliant, but surprisingly not crazily moreso than the top students from my small no-name public university.)
People at the top just don't get it, and they come from old school élitiste backgrounds (HEC, Sciences Po Paris, ENA, etc.) that are at the complete opposite of what building an entrepreneur friendly environment would require.