European Tech Landscape: Report for the First Half of 2025
Over the past three years, European tech funding has shown a significant growth in total capital invested, supported by strategic initiatives like the EU Chips Act enacted in 2023. However, the number of deals has not been explicitly detailed in the available data for H1 2023, H1 2024, and H1 2025.
Increased Investment in Strategic Sectors
The EU Chips Act, enacted in 2023, mobilized approximately €43 billion in public and private funding aimed at strengthening semiconductor and AI chip capabilities by 2030. This reflects a significant capital inflow into strategic tech sectors in Europe. Major firms such as Intel and Taiwan’s TSMC have made large-scale funding commitments to European tech manufacturing infrastructure since 2023.
Continued Government Support and Public-Private Partnerships
Broader EU funding programs like Horizon Europe continue to play a pivotal role in public-private partnerships and innovation funding, emphasizing strategic priorities such as digitization and AI. These initiatives likely bolster overall funding levels for tech.
Funding Trends in H1 2023, 2024, and 2025
While specific deal count data for European tech funding in H1 2023, 2024, and 2025 is not directly provided by the search results, the sustained investment magnitude and government policies indicate ongoing or rising capital allocation in strategic tech fields.
- In H1 2023, the total capital was €28.7 billion, the lowest among H1 2023, H1 2024, and H1 2025. The deal numbers remained around 2,300+.
- In H1 2024, the total funding reached €50.1 billion, a significant increase from €28.7 billion in H1 2023. The deal count was slightly higher than in H1 2023 but lower than in H1 2025.
- H1 2025 saw a drop in total capital, with a 30% decrease year-on-year compared to H1 2024. The funding environment appears to be more cautious and selective compared to previous periods.
Despite a slight increase in deal count, H1 2024 witnessed the highest funding compared to H1 2023 and H1 2025. H1 2025 showed a steady deal count compared to H1 2023, but a significant decrease in total capital.
A Vibrant Fintech Ecosystem
The concentration of fintech firms, with over 3,300 in the UK alone by early 2025, illustrates a vibrant ecosystem likely supporting frequent deals. However, explicit numbers of deals for those periods are not stated.
In summary, Europe’s tech funding from 2023 to 2025 reflects a trend of increasing total capital invested, particularly in strategic areas like semiconductors and AI, backed by ambitious government initiatives and major corporate investments. However, precise figures on deal counts for H1 2023, 2024, and 2025 are unavailable in the cited sources.
- The sustained investment magnitude and government policies suggest continued interest in strategic tech fields, potentially indicating the allocation of more capital for investing in European businesses focused on technology sectors like semiconductors and AI over the next few years.
- Large firms, such as Intel and TSMC, have committed significant funds to European tech manufacturing infrastructure since 2023, signifying a growing trend of global finance being channeled towards strategic business ventures in technology, further bolstering the European tech sector.
