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Atomico's latest State of European Tech 2024 report released Atomico's just released their latest report on the tech and #startup industry, and it's as thorough and insightful as ever. This year, they're taking a step back to reflect on the last decade and look ahead to what's in store for European #tech Headlines: ▪️ Venture capital invested in Europe has increased tenfold compared to the previous decade; ▪️ European startups raised $4.7 billion in the first three quarters of 2024, representing 14% of the total share of VC funding; ▪️ European tech companies are expected to secure $45 billion in investment in 2024, the same level as in 2023; ▪️ There are currently 35,000 early-stage start-ups in Europe; ▪️ The number of people employed in the tech sector and the number of unicorns (a vanity metric, but still!) grew at a similar rate; All this leaves Europe at about 1/4 of the US level. It's easy to get depressed about all the challenges that European technology is facing at the moment. It's clear that there's a lot of potential for growth. With the right talent, capital and strong leadership, Europe could become an $8 trillion tech ecosystem within the next decade, creating 20 million jobs. There's been a lot in the news this year about regulatory uncertainty, like the EU's AI Act, and reports like Mario Draghi's that show Europe is struggling to scale up companies. One thing that's been hanging around for a while is the $375 billion shortfall in growth funding, which has been holding back the potential of European scale-ups. For the past two years, Sifted has been full of articles about regulation and the difficulty of raising large rounds of funding. BTW, pension funds and insurers in Europe, who together manage around $9 trillion, are only putting 0.01% of that into venture capital. To put it another way, Europe needs to make some serious progress over the next decade. ▪️More capital used more efficiently (funds can be public, but use should be private with minimal interference); ▪️Better access to engineering talent (please, no cuts in the number of students at top engineering schools); ▪️A stronger entrepreneurial mindset (I have a feeling it is on the way, but still the CDI contract is preferable for the vast majority of people!); ▪️Simplified, uniform regulatory framework (EU Inc, anyone?) If European startups can get past all the red tape and high taxes, and there are ways to raise funding at the early stages, there's a chance that companies will stop fleeing to the US and something good will happen in Europe. One of the most interesting slides in the executive summary shows the six main things Europe needs to do to grow its tech ecosystem, including things like capital, talent, regulation, and commercialising research.  As the need to make a big leap forward is slowly sinking in, this is one of the most complete proposals we've seen so far.

DealRoom’s recent report highlights the remarkable value of the University of Cambridge’s tech ecosystem. The UK leads Europe in deriving value from universities through patents, venture capital funding, unicorns, and overall valuation. Cambridge ranks third globally in deep tech output, following Boston, despite being a city of just 150,000 people. This small yet powerful ecosystem contributes 18% of the UK’s overall tech ecosystem value with only 3% of the funding, producing $16.9 in value for every $1 of venture capital investment. Additionally, the University of Oxford ranks in fifth place, meaning the UK has two innovation hotspots for producing ground-breaking technologies. This underscores the huge potential when academia, entrepreneurship, and venture capital converge. Read the full report here: https://lnkd.in/eMen3-ck #cambridgeuniversity #deeptech #techinnovation #techleadership #venturecapital #vc

We’re excited to announce that Iris.ai has been featured in Sifted's article on the most active investors in the Nordics for 2024! Among the key mentions is the European Innovation Council and SMEs Executive Agency (EISMEA), which plays a significant role as one of the most active investors in AI. In 2023, the EIC Fund, the investment arm of the EIC concluded over 100 investments in deep tech companies worth around €1.2 billion. The EIC focuses on impact technologies, research, and early-stage startups, making it a critical force in fostering innovation across Europe. We’re thrilled to see Iris.ai included alongside these transformative initiatives, continuing to lead AI-driven knowledge transformation. Read the full article here: https://lnkd.in/e_xB97fw #AI #DeepTech #Innovation #NordicTech #Investment #EIC #TechForGood #AIForScience

🚀 Exciting Funding News from Europe's Startup Scene 🌍 In the past 10 days, there's been significant movement in the European venture capital space, despite an overall funding slowdown in 2024. Here are some of the standout stories that I've seen: 1️⃣ European Innovation Council and SMEs Executive Agency (EISMEA) Accelerator selected 68 #deeptech startups for a total of €411 million in funding. These companies, spread across 17 countries, will benefit from grants and equity investments to drive innovation in space tech, biotech, and AI EUROPEAN INNOVATION COUNCIL . 2️⃣ inforcer, a UK-based Microsoft 365 security policy manager, raised €17.5M in a Series A round, enabling them to expand their cybersecurity solutions . 3️⃣ Aira, a Swedish clean energy startup, secured €63 million to further their mission of growing the green energy workforce . 4️⃣ autone, an AI-powered inventory management platform, raised €15.6 million to scale its operations, with backing from major investors like General Catalyst and Speedinvest . While overall funding in Europe has declined by 16.94% year-on-year, with $45.3 billion raised so far in 2024, these success stories show that innovation and growth in key sectors are still going strong! 💪 #StartupFunding #VentureCapital #EuropeanStartups #TechInnovation #AI #CleanEnergy #P2

We published our Q3 2024 in focus report this week, examining the key trends and data points from across European tech over the past three months. The H1 overachievers, climate tech and fintech, saw growth slow significantly in Q3. Climate startups grabbed €2.9bn in funding — enough for the sector to win the quarter but sharply down on a bumper Q1 (€15.6bn). Q3 was the worst quarter of the year for fintech after a Q2 resurgence, down 72% QoQ. Other key headlines: 💸 Total funding in Q3 summed to €11.5bn from 1,206 rounds, taking the total for the year to €59bn. Funding and deal count fell by 48% and 19% respectively compared to Q2. 📉 Equity financing summed to €10.3bn, 34% lower than Q2 and down on the same period last year. Debt financing raised in Q3 was €1.2bn from 30 deals, plummeting from €12.6bn in Q1 and €6.3bn in Q2. 👼 Pre-seed, seed and Series A deals accounted for 34% (€3.9bn) of total funding. The median pre-seed round size has jumped from €0.7m to €0.8m to €0.87m over the past three quarters — averaging growth of 11.7%. Late-stage investment fell by 70% on Q2 to €2.1bn. 🇬🇧 The UK (€3bn) led Germany (€2.4bn); France finished way back in third with €1.2bn raised. UK and French investment fell by 71% and 75% respectively but Germany’s grew by 12% on Q2. Munich (€1.2bn) received the second most capital by tech hub, only beaten by London (€1.9bn). 💉 Drug discovery (€980m), biotech (€703m) and electric vehicles (€562m) stole the show; while medtech (66), biotech (65) and foodtech (58) topped the deal count ranks. 🏅 Mercia Ventures was Europe’s most active private investor in Q3 with 22 investments, followed by Antler (20) and HTGF | High-Tech Gründerfonds (16). ➡️ Read the report here: https://lnkd.in/eADhB_FS Thanks to all those who contributed! Éanna Kelly Federico Scolari Ruggero Di Spigna Hessa Alabbas Rebecca Lipman Amy Lewin Kai Nicol-Schwarz Sadia Nowshin Daphné Leprince-Ringuet Tom Matsuda Romy Schnelle #europeantech #q3 #startups

Check out the latest industry trends in the Tech.eu H1 2024 Report 1991 Ventures had the pleasure of writing the foreword, where they share insights on the evolving European tech landscape and the role of CEE startups. Here are some highlights of the report: ▪️ The fundraising game has changed completely. In the first half of 2024, European tech companies raised €50.1 billion over the course of almost 2000 deals. That's nearly twice what was raised in the same timeframe last year. This is clear evidence of the vibrant and evolving tech landscape in Europe. ▪️ Sustainability is no longer just a buzzword; it's leading the investment charge. Clean technology led the investment, with €12.9 billion raised, showcasing Europe's commitment to sustainable innovation. Key players like Northvolt and H2 Green Steel are spearheading green energy and technology efforts. ▪️ When it comes to where the action is, Sweden and the UK are still holding strong tech hotspots. In H1 2024, Swedish companies led with €12.7 billion over 89 deals, while the UK secured second place with €11.7 billion from 455 deals. For anyone connected to tech, this report is gold. It sheds light on funding trends, sectoral shifts, and how different regions are stacking up. Read the report via the link — https://lnkd.in/dqqmAFzA 

🔬New research alert – spotlight on venture investment in European Tech! The State of European Tech report from Atomico just dropped, and it paints a hopeful picture for the continent’s tech sector. What’s particularly exciting is Europe’s growing resilience and the emergence of more vibrant tech hubs. London’s rise to 2nd place globally for early-stage funding is a clear signal that the UK remains central to Europe’s tech future. The upcoming British Private Equity & Venture Capital Association (BVCA) VC report, focusing specifically on UK #venturecapital, will build upon this to provide deeper insights into the UK’s unique position as a global centre for venture. We’re looking forward to the valuable data it will reveal about the shifting dynamics of venture capital in the UK market. Europe is seeing unprecedented growth: 8x more growth companies than ten years ago. But when it comes to funding, the gap between Europe and the US remains striking. US startups are still twice as likely to raise funding rounds above $15M compared to their European counterparts. The report also found that: 📈  7x more people are working in tech today in Europe than just eight years ago—an undeniable sign of the sector’s maturation. 🥗 Sustainability is rising fast, with carbon management leading the charge in Seed-stage funding. ✨ Deeptech, especially AI, continues to attract significant investment—accounting for 33% of Europe’s total funding. Read the report here: Congratulations to Sarah Guemouri, Hanna-Stina Sonts, Tom Wehmeier and the team at Atomico. #research #venturecapital #investment #technology

𝗧𝗵𝗲 𝗙𝘂𝘁𝘂𝗿𝗲 𝗼𝗳 𝗘𝘂𝗿𝗼𝗽𝗲𝗮𝗻 𝗧𝗲𝗰𝗵 𝗙𝘂𝗻𝗱𝗶𝗻𝗴: 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗙𝗿𝗼𝗺 𝗤𝟭 𝟮𝟬𝟮𝟰 𝗗𝗮𝘁𝗮 Funding has fluctuated in recent years, but what is the data from Q1 2024 saying about how the year will unfold? The Q1 has shown encouraging investment patterns, with European tech companies raising €29.9 billion across 970 deals. For context, €14.7 billion was raised in Q1 2023, and €33.1 billion in Q1 2022— significant recovery from the previous year and suggesting a promising year ahead. 𝗗𝗶𝘃𝗶𝗻𝗴 𝗗𝗲𝗲𝗽𝗲𝗿 𝗶𝗻𝘁𝗼 𝗤𝟭 𝟮𝟬𝟮𝟰 👉 Download the full report here: https://bit.ly/4aF1ozS ▶︎ 𝗝𝗮𝗻𝘂𝗮𝗿𝘆 emerged as the standout month, amassing €17 billion in funding through 326 deals, marking a 20% increase from January 2023. ▶︎ 𝗙𝗲𝗯𝗿𝘂𝗮𝗿𝘆, though slightly challenging, secured €8.5 billion with 338 transactions, a significant 95% rise from February 2023. ▶︎ 𝗠𝗮𝗿𝗰𝗵 witnessed €4.4 billion in funding across 304 deals, echoing February's 95% growth from the previous year. 𝗧𝗼𝗽 𝗖𝗼𝗺𝗽𝗮𝗻𝗶𝗲𝘀 𝗼𝗳 𝗤𝟭 📌 Swedish battery manufacturer Northvolt (€5 billion) 📌 H2 Green Steel (€4.5 billion) 📌 French firm ACC (€4.4 billion) 📌 German Greentech unicorn Enpal (€1 billion) 𝗧𝗼𝗽 𝗖𝗼𝘂𝗻𝘁𝗿𝗶𝗲𝘀 𝗼𝗳 𝗤𝟭 📌 Sweden leads with €12.3 billion (50 deals) 📌 France follows with €5.7 billion (80 deals) 📌 Germany collected €3.6 billion (160 deals) 📌 Netherlands €1.2 billion (72 deals) 𝗧𝗼𝗽 𝗦𝗲𝗰𝘁𝗼𝗿𝘀 𝗼𝗳 𝗤𝟭 📌 Cleantech on top with €12.4 billion 📌 Transportation €6.3 billion 📌 Fintech €2.6 billion 📌 Energy €1.8 billion 📌 Software €1.3 billion The dominance of cleantech, securing €12.4 billion, signals a significant shift towards sustainability and environmental technologies. Investing in these areas aligns with global trends towards decarbonization and offers the potential for high impact and high returns. Overall, the data hints at resilience and increased willingness of investors to commit substantial resources. Get the February report: https://bit.ly/3PLOFU8 Thoughts? Credit: Tech.eu #Venturecapital #AI #Deeptech #Startups Follow us for strategies and resources for Deep Tech founders and VCs! And get access to exclusive content on deep tech startups like ATMOS Space Cargo, planqc, smedo GmbH, and SENISCA in our newsletter: 🗻 https://lnkd.in/dtTX49AF

Finger on the pulse time..... Start funding news - is early-stage startup funding is on the road to recovery? According to data from Sifted, it looks that way in Early Stage [Pre-seed to Series A in EU].... Deals are up in May versus April; ⬆️ May - €1.7bn across 407 rounds ➡️ April - €1.4bn across 307 rounds What sectors and locations are gaining traction right now? 1️⃣ France 2️⃣ Germany 3️⃣ UK And sectors taking the lions share; 📈 Climatetech (€478m) 📈 Deeptech (€377m) 📈 Healthtech (€352m) Great to see Innovate UK as one of the top 3 investors 👏 with Carbon13 and SpeedInvest. It's an early signal that investment challenges are easing for innovation across the cleantech sector. We are certainly having some very interesting conversations with clients, investors and funders, on getting the right alignment between all parties. One of the key challenges, is having the right information, the right strategy and right timing to access the right funding mechanism, and partner that the startup needs. We can help with that. Also stay tuned for more on this subject with our future online workshop.....you need the right funding strategy - great time to engage as the market starts to move more dynamically! #startupfunding #cleantechinnovation #startupecosystem

Despite a decade and a half of unprecedented access to low-cost capital and a surge of investment in technology startups, we still find ourselves confronting the sobering reality that many of the world's most pressing challenges remain unresolved. Despite the promise of technological innovation and flow of capital in adjacent fields, significant barriers persist in addressing these complex issues. Today I have listed some of the world's hardest problems that need our immediate attention and funding. As an investor, these are few areas I want to invest in - today at my current fund, and tomorrow, hopefully, at my own shop. Please see- https://lnkd.in/dGQQTfKF