THETI CLUB - The Hellenic Tech Investor Club’s Post

Atomico just launched State of European Tech 2024 (SOET 2024) #slush2024 ⭐ 3 Key Findings on ROI from the State of European Tech 2024 ⭐ (note: this is cross-sector, not health focused) 1️⃣ Unprecedented Investment Growth: Over the past decade, European tech has attracted $426B in investments, representing a 10x growth. With a proven track record of exits totaling $1T, Europe is now a powerhouse for delivering exceptional returns. 2️⃣ Sustainability Drives ROI:   Investors are aligning with the future, with 21% of European capital directed toward sustainability sectors like carbon management and renewable energy—an area ripe for both impact and profit. 3️⃣ Scaling Opportunities Abound:   Despite successes, a $375B growth-stage funding gap highlights untapped potential for investors. Bridging this gap could unlock massive opportunities as Europe scales its tech ecosystem toward $5T+ in value by 2034. #European HealthTech can take positive signals from this report but it also raises the limitations in capital, talent retention, and bureaucratic inefficiencies to support early-stage and scaling startups which I often hear from European founders. #TechROI #EuropeanInnovation #SustainabilityInvestment

The 2024 "State of European Tech" by Atomico reflects a decade of transformation in the European tech ecosystem, highlighting its strengths and ongoing challenges. It also underscores Europe's potential to become a global tech superpower, provided it addresses existing challenges through bold reforms and sustained innovation. ➡ Growth in capital and talent: Venture capital investment grew 10x over the past decade, reaching $426B between 2015 and 2024, despite 2024's funding of $45B being slightly below 2023 levels. Europe's tech workforce expanded to 3.5 million, with a 24% CAGR since 2015, attracting more talent than ever. ➡ Expansion: Early-stage companies surged from 7,800 in 2015 to over 35,000 in 2024, complemented by a growing number of unicorns. ➡ Funding challenges: Europe faces a $375B growth-stage funding gap compared to the U.S., partly due to limited investment from European pension funds. ➡ Sector Strengths: Europe leads in sustainability, with 21% of tech funding focused on green initiatives double the U.S. share. It remains a global leader in fintech and deep tech. ➡ Key challenges: Bureaucratic and regulatory hurdles, fragmented markets, and talent shortages remain significant barriers. Reforms to simplify cross-border operations and incentivize innovation may open new development paths. More in the full report https://lnkd.in/dQK__DQq #growingtogether #startups #angelinvestors

In a recent article for The Australian's Top 100 Innovators edition, our CEO Damian Kassabgi shared his vision for Australia's tech sector.   Damian highlighted the remarkable 18-fold increase in venture capital investment in our tech sector from 2014 to 2022. While we're catching up in early-stage funding, he emphasised the need to boost later-stage support to help our innovators scale globally.    However, to truly compete on the world stage, we need to step up our game in R&D investment. Australia invests just 60% of the OECD average in this critical area.  We know the untapped potential of superannuation funds to fuel our tech ecosystem, noting that just a 1% allocation could inject a game-changing $30 billion into Australian innovation.   𝗧𝗼 𝗱𝗶𝘃𝗲 𝗱𝗲𝗲𝗽𝗲𝗿 𝗶𝗻𝘁𝗼 𝘁𝗵𝗲𝘀𝗲 𝘁𝗼𝗽𝗶𝗰𝘀 𝗮𝗻𝗱 𝘀𝗵𝗮𝗽𝗲 𝘁𝗵𝗲 𝗳𝘂𝘁𝘂𝗿𝗲 𝗼𝗳 𝗔𝘂𝘀𝘁𝗿𝗮𝗹𝗶𝗮𝗻 𝘁𝗲𝗰𝗵, 𝗷𝗼𝗶𝗻 𝘂𝘀 𝗮𝘁 𝘁𝗵𝗲 𝗡𝗮𝘁𝗶𝗼𝗻𝗮𝗹 𝗧𝗲𝗰𝗵 𝗦𝘂𝗺𝗺𝗶𝘁 𝟮𝟬𝟮𝟰 𝗼𝗻 𝟭𝟭-𝟭𝟯 𝗡𝗼𝘃𝗲𝗺𝗯𝗲𝗿 𝗶𝗻 𝗠𝗲𝗹𝗯𝗼𝘂𝗿𝗻𝗲.   Purchase your tickets to the National Tech Summit: https://lnkd.in/gHUnMCyz   Read the full article: https://lnkd.in/gKHYNFwk

2023 was another challenging year for founders, with many of the 2022 macro challenges persisting. • Difficult Fundraising Environment Founder sentiment about fundraising conditions over the past 12 months is grim. 80% of founder respondents to the State of European Tech survey (https://lnkd.in/dS5wwJhW) say that it has become even harder to raise venture capital. Just 7% of respondents stated that conditions had eased. • Round Volumes Drifting Back To Pre-2021 Levels The investment activity has decelerated, which is reflected in a decreased count of disclosed investment rounds. Rounds involving investment amounts of $5M or less continue to represent the overwhelming majority of all activity, equating to 73% of all rounds in 2023. Over the past three years, $5M+ rounds have accounted for around 24-27% of all activity. A decade ago in 2014, that share stood at just over one-tenth (11%). • Adjusting Expectations Most founders highlighted the impact of challenging fundraising conditions on most aspects of their process. The most notable impacts cited were extended process timelines, the need to lower valuation expectations, reducing round sizes or taking more dilution than hoped. • The Average Time Between Rounds Is The Same Companies that have had to elongate the time between their funding rounds have yet to come back to the market to raise capital in sufficient volume to impact the overall numbers. As of Q3 2023, the median time between rounds for growth-stage companies has remained an average of 23 months between consecutive rounds. • An Upward Trend in Bridge Rounds 2023 saw the highest share of bridge rounds across all stages globally since 2019. Bridge rounds are more common at the earliest stages of a startup's fundraising journey when they serve to buy more time to find product-market fit. This is also reflected in the data, with Seed stage (38%) and Series A (39%) seeing the highest share of extension rounds in 2023. • Round Sizes on the Rise Round sizes are back in line with the longer-term, 5-10 year averages for the growth stages. At Seed and Series A, median round sizes have also seen a period of stabilisation following rapid increases during 2020 and 2021, but remain elevated at levels significantly above 5-10 year averages. Growth stage founders have to achieve more with less capital for an extended period, despite the ongoing inflationary pressures on wages that elevate talent costs. --------- QLA is a media-tech-enabled consulting company. Want access to exclusive dealflow? More info: https://qla.fund

🚀 **AI and Energy Propel Europe's VC Funding to $30bn in 2024!** 🚀 European tech investment is on a remarkable rise, with a significant surge in the first half of 2024! According to the latest report from Silicon Republic, Europe's venture capital (VC) funding has hit an impressive $30 billion, primarily driven by substantial deals in the Artificial Intelligence (AI) and energy sectors! 🌍💡🤖 This surge is a testament to Europe's robust and dynamic start-up ecosystem, showcasing the continent's growing influence in these cutting-edge fields. Here are some key points from the report: 1️⃣ **Massive Deals in AI**: The AI sector continues to be a powerhouse, attracting extensive VC funding as it revolutionises various industries with innovative technologies and solutions. From machine learning advancements to AI-driven automation, European startups are leading the charge! 🧠✨ 2️⃣ **Energy Sector Innovation**: The energy sector is also a significant driver of this funding boost, with investments pouring into sustainable and renewable energy solutions. Europe's commitment to combating climate change and transitioning to green energy sources is evident in these robust investments. 🌱💡 3️⃣ **Global Impact**: Europe's impressive VC funding highlights its pivotal role on the global tech stage. The synergy between AI and energy innovations is set to drive significant advancements, benefiting industries worldwide and contributing to a sustainable future. 🌏🔋 📊 This influx of funding not only fuels technological advancements but also supports job creation, economic growth, and a sustainable future for Europe. As investment in these critical sectors continues to rise, we can expect more groundbreaking innovations and transformative solutions. Well done to all the visionary entrepreneurs, tech leaders, and investors contributing to this monumental growth! Let's keep pushing the boundaries and making impactful strides towards a brighter future. Check out the full report for more insights: [Silicon Republic](https://lnkd.in/dN9Kva7Y) #TechInvestment #VCFunding #AI #Energy #Sustainability #Innovation #Europe #Startups Have a great day!

🇧🇪 Come join us at the European Angel Investment Summit in Brussels on October 15-16!  #EAIS24 is where connections flourish, expert knowledge is shared, and international deals get done. Connect and network with international investors and entrepreneurs who bring innovations to life. This year's summit will focus on: 💰 Past, Present, and Future of Angel Investing: Learn from the past to shape the future of angel investing and increase participation of women within the tech industry 💻 Deeptech: Leverage the capabilities of artificial intelligence, biotechnology, and more when investing in startups that bring about generational changes and tackle gender biases. 🛡️ DefenceTech: Discover how governments are using the tech developed by DefenceTech startups and how you can invest in its dual-use capabilities 📢 Pitching showcase: Get introduced to generation defining startups from all over Europe as they pitch directly to you for seed equity investments.  🤝 Unique networking opportunities: With over 500 investors, founders, ecosystem stakeholders and policy makers from 50 countries strengthen their network. Join the innovators and leaders shaping tomorrow. Register now for #EAIS24 and make your mark. 🔗 Link in comments! 

𝐒𝐰𝐢𝐬𝐬 𝐕𝐞𝐧𝐭𝐮𝐫𝐞 𝐂𝐚𝐩𝐢𝐭𝐚𝐥 𝐑𝐞𝐩𝐨𝐫𝐭: How are investments in Switzerland doing in 2024? 💸 At first glance, the investment figures for the first half of 2024 are broadly similar to those for last year. Around CHF 1.1 billion was raised in 138 rounds of financing, a decline of around 10% in both figures compared with 2023. These are the findings of Startupticker.ch's Swiss Venture Capital Report Update, published on Tuesday. It looks back at the various funds raised and economic news for Swiss start-ups in the first half of 2024. 🌱 Among the sectors, #biotech in particular performed well, while #ICT start-ups attracted only as much capital as in 2018. The ICT boom of 2019 onwards is therefore definitely over. 💭 The survey of around 100 investors provides an outlook for the year ahead. The vast majority expect the number of investment opportunities and the number of investments to increase over the next 12 months. More information 👉 https://lnkd.in/enHUKx8Q #VDTech #SwissTech #startupfunding #VC

The UK remains Europe’s leading destination for tech sector venture capital investment, raising £7.4bn in the first half of the year—a 16% increase from 2023. This accounts for nearly one-third of all European venture capital funding, surpassing France and Germany combined. Significant investments include Wayve (£861m), Abound (£400m), and Highview Power (£300m). London leads European tech hubs, attracting £5.3bn, followed by Paris (£2.4bn) and Stockholm (£940m). Cambridge also saw substantial growth, raising £517m, with notable contributions from Luminance (£321m). Jeannette zu Furstenberg of General Catalyst noted Europe’s potential in AI-driven productivity and growth. The British Business Bank reported that the UK has overtaken India as the third-largest venture capital market globally, behind the US and China. The UK tech sector looks for continued support, particularly in attracting skilled migrants, to maintain its competitive edge and commercialize university research. #UKTech #VentureCapital #Tech #Thesocialtalks

🚀 European Tech: Resilience, Growth and Opportunity    The latest State of European Tech report by Atomico paints a complex, yet optimistic picture of Europe’s tech ecosystem. Despite a turbulent macroeconomic environment, European tech continues to demonstrate resilience and growth potential.    The report highlights how there are now 8x more growth companies than there were ten years ago in Europe, despite an uneven playing field, but while Europe and the US start on equal footing, US start-ups are still twice as likely to raise rounds above $15M than their European counterparts.    The report highlights how:   🌍 Over the last ten years, carbon management is the theme that’s seen the greatest increase in its share of Seed-stage funding.  💻 Deeptech (including AI) has captured 33% of Europe’s total funding levels this year.  🧑💼 There are 7x more people working in funded tech companies today in Europe compared to 2015    While the funding landscape has cooled from the heights of previous years, Europe’s tech sector remains attractive due to its diverse talent pool, strong regulatory frameworks, and emerging tech hubs across the continent. However, it is particularly impressive to see that London has risen to second place on the global list of top ten hubs by funding raised for early-stage start-ups. ⬆️    In the next few days, the BVCA will publish our first in a new annual series of Venture Capital reports that will focus on the #venturecapital industry specifically in the UK.  Read the full State of European Tech report here: https://lnkd.in/dQK__DQq

4️⃣ Insights on the state of private (and quasi-private) #investment 💶 in the space sector ⬇ #ICYMI we have recently the 2023 edition of our annual #SpaceVenture report, focusing on investment data for global, European, Chinese, and African markets. As the main author of the report, João Falcão Serra, notes, "We are at a pivotal phase for Europe's investment ecosystem. Over the past two years, European space startups have raised nearly €2 billion, accounting for over half of the sector's total investments since 2014. Whether this growth continues will depend on sustained commitment to a robust investment environment by European institutions and private partners." For the key statistics, report takeaways and some playing with scenarios on the way ahead, please access https://lnkd.in/e6avxr6E