2024-07-03 22:01:00
The number of funding rounds fell by a quarter in the first half of the year. Smaller markets fell particularly hard.
Investments i Austrian start-ups fell sharply in the first half of this year. In total, young local companies received funding from January to June 298 million euros and thus much less than in the same period last year, as can be seen from the initial barometer published by the management consultants at EY on Thursday.
In the first 6 months of 2023 it was 18 percent more at 365 million euros. Two deals in June ensured that the statistics remained acceptable.
Linz start-up specializing in content management systems Story block received 74 million eurosmainly from US investors. Pre-waveanother TU Vienna spin-off that uses artificial intelligence to analyze supply chains has raised a round of funding 63 million euros the Earth.
The number of funding rounds decreased
The number of funding rounds also fell by more than a quarter to 70. The number of smaller deals worth up to one million euros fell even more. While there were 57 in the first half of 2023, the number so far this year is just 38.
As in previous years we were able Emerging technologies most funding rounds completed, followed by areas Health and Energy. The energy sector was the only area with strong growth. The Viennese electrical trading start-up encouraged For example, received a financial injection from in May 26 million euros.
Most funding rounds were feasible 41 in Vienna to carry out, and after the Styria (9)as well as Lower Austria and Upper Austria with all 5.
Boom years ago
Compared to the above-average years of 2021 and 2022, investments in domestic start-ups were already declining last year. This is also an international trend, he says Florian HaasHead Start bei EY Austria. After the boom it’s “Back to Old Normal”.
The situation is challenging for the local scene. The fact that early-stage funding, which is traditionally strong in Austria, has recently declined sharply should “set off alarm bells,” says Haas. He is stirring better framework conditions for institutional and private investor investments, for example establishing a fund of funds.
Signs of recovery
There are signs of a slight improvement in the second half of the year 2025 one can “positive dynamics” to calculate. Haas sees Austrian start-ups in a good long-term position. In the last 10 years, the ecosystem has gained professional experience and is increasingly targeting international investors.
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