Ryan Patel’s Post

Our report on the EU scale-up gap is finally out!

Unlocking Tomorrow's Giants: Europe's Rally for Tech Dominance through a Unified Start-Up Renaissance (From Start-Up Symphony to Tech Symphony) In recent years, Europe, despite being an economic powerhouse, has trailed behind the United States, particularly in technology and innovation. To reclaim dominance, a crucial element of the European strategy involves fostering the start-up landscape by fostering collaboration and creating a more entrepreneur-friendly environment. According to McKinsey & Company, a united European effort to stimulate entrepreneurship could potentially unlock $3.3 trillion in additional market capitalization and create 3.6 to 8.1 million jobs. While certain countries have showcased success stories in start-up activity, Europe must consolidate its efforts to compete globally. The current economic gap between the US and Europe is substantial, with a 20% difference in GDP. Europe's lag in technology and innovation, especially in areas like automation, 5G connectivity, quantum computing, and composite materials, further widens this gap. Diversity reigns in Europe's business environments, with each country having its own regulations, funding access, and labor pools. From scale-ups in Sweden to start-ups in Ireland, the landscape is varied. A united approach, focusing on standardizing rules for taxation, incorporation, and labor laws, could stimulate growth, as suggested by McKinsey's report (https://lnkd.in/du2XGEfq). This orchestrated strategy aims to not only create a more favorable environment for start-ups but also enhance the competitiveness of European start-ups on the international stage. Standardization could lead to an additional 200,000 start-ups, fostering job creation and substantial economic value across Europe. #EuropeanInnovation #StartupUnity #TechRevolution #EntrepreneurshipCollaboration #InnovationGap #McKinseyInsights #EconomicDominance #TechInnovation #BusinessUnity #EUStartupStrategy #FutureEconomy #GlobalCompetition #SustainableGrowth McKinsey & Company #DigitalTransformation

European Investment Bank (EIB) scale-up gap report is finally out, highlighting the financial challenges EU scale-ups face as they expand globally. The report recommends strengthening the Capital Markets Union to boost private investments,as emphasized by President Nadia Calviño. Explore how Europe can close this gap and enhance its innovation landscape. #innovation #eib #euscaleup

Thrilled to join the conversation, European Investment Bank (EIB)! At Finvx.io we're pioneering innovative ways for scale-ups to access capital markets. Leveraging the latest predictive machine learning tools and our Luxembourg-based SPV, we empower businesses to make smarter, faster financial decisions. #Fintech #ScaleUp #Innovation #CapitalMarkets #EIB [Read more about Europe's scale-up gap](https://lnkd.in/dx3X3SrE)

first time I see objectives and authorative arguments to support the claim (seen in my own experience) that greentech have even more difficulties to raise funding + idea that compared to other tech, the gap with the US is less big, see p.28-29 and recommendations p 37-39 Also in the EIB 2023 sustainability report « The acute lack of capital for late-stage growth and scaling of climate and environmental technologies has also been a point of focus, with the EIF supporting a number of new fund initiatives in this critical market segment.” (p26) https://lnkd.in/eYC-vBzf

“The problem is not that Europe lacks ideas or ambition. We have many talented researchers and entrepreneurs filing patents. But innovation is blocked at the next stage: we are failing to translate innovation into commercialisation, and innovative companies that want to scale up in Europe are hindered at every stage by inconsistent and restrictive regulations. As a result, many European entrepreneurs prefer to seek financing from US venture capitalists and scale up in the US market.” Mario Draghi, in The future of European competitiveness (Part A), page 2, September 2024

The gift of @atomico to business angels is here: The State of the European Tech executive summary is out! This comprehensive overview encapsulates the most crucial data points of the year, delving into key indicators of the ecosystem's health and spotlighting both challenges and favorable aspects. 📊 Key findings indicate a global decline in investment levels, marking a market reset that extends far beyond European borders. Projections for 2023 suggest a decrease to less than half of the peak seen in 2021 across all global regions. 🚀 Despite a global slowdown, Europe stands out as a leader in producing new tech founders, consistently surpassing the United States over the past five years. The resilience of European entrepreneurs shines through, even with a heightened threshold for entering entrepreneurship. 💰 Following a downturn resulting in a $400 billion reduction in ecosystem value, there's exciting news of a significant rebound, bringing the total ecosystem value back to an impressive $3 trillion. This resurgence is attributed to a robust recovery in public markets, elevating Europe's value to its historical peak. 📖 Curious to explore further? Read the full report here: https://lnkd.in/dinKKdaD

In light of the insightful article "How middle-income countries can learn from the U.S. innovation system" I would like to highlight three significant lessons:          1) Innovation today is primarily driven by large established companies, highlighting the shift away from small inventors.          2) Talent attraction and development are critical, regardless of background, emphasizing the importance of nurturing a skilled workforce.          3) Establishing a market for innovation diffusion, through mechanisms like patent licensing, is crucial for economic progress. For my dear Brazil, a upper-middle income nation, drawing inspiration from successful U.S. innovation models and working collaboratively with global partners can significantly enhance its innovation ecosystem. By empowering established companies, enhancing talent and people strategies, and fostering efficient markets for innovation, Brazil could elevate its global competitiveness, economic relevance, and develop technologies that resonate on the international stage. #Innovation #EconomicGrowth #GlobalCompetitiveness #TalentDevelopment #MiddleIncomeCountries #Brazil #WorldBank #SustainableDevelopment #InnovationEcosystem #GlobalPartnerships #EconomicDevelopment #CollaborativeInnovation #MarketTrends

Appointed by Ursula von der Leyen, Ekaterina Zaharieva steps into a pivotal role as the new EU Commissioner for #Startups, #Research, and #Innovation at a time where the intersection of politics, science, and technological advancement is increasingly crucial to Europe's future 🇪🇺 An important task is driving #Europe's leadership in technologies that support the #GreenTransition and #DigitalTransition, with a particular focus on #BioTech, #LifeSciences, and #AdvancedMaterials. These strategic sectors will be pivotal in adressing the global #WickedProblems and ensuring that Europe remains a hub of cutting-edge innovation. ❓How can we unlock transformative technologies and foster international cooperation at a time when #science and #policy must work hand-in-hand? And how can we create more European #ScaleUps? Ekaterina Zaharieva's role will also include expanding key EU initiatives such as the European Innovation Council and SMEs Executive Agency (EISMEA), the European Research Council (ERC), and the University Alliances initiative. A cornerstone of these efforts will be proposing a European Research Area Act, designed to ensure the free movement of research, scientific knowledge, and technology transfer across member states, breaking down barriers to collaboration. Across the R&D communities, #DeepTech-startups, and industry leaders, our European ambitions and ideas will be instrumental in shaping a future where innovation, sustainability, and cross-nation collaboration drive Europe forward 🇪🇺🚀 TNW by Ioanna Lykiardopoulou https://lnkd.in/dx6Xb9sC

🇩🇪 The German government is rolling out a hefty £1.75 billion booster for its tech start-ups in AI, climate tech, quantum, and biotech. Aiming to catapult German innovation a bit closer to the US (although still very far away). 🌍💡 🚀 Economic Affairs Minister Robert Habeck highlighted, "We're investing not only public funds but expecting a matching private investment, bringing the total pot to around £3.5 billion." The plan also includes slashing red tape and making Germany a magnet for skilled talent to attract even more investment. 🛠️💼 However, experts chime in that while the investment is a step in the right direction, it's but a drop in the ocean compared to the venture capital firepower of global leaders like the UK and the US. 📉💰 Despite the commitment, Germany's venture capital per capita pales in comparison to its neighbours and far behind the titan investments of the UK (£438) and the USA (£691) per capita in 2022. 🌐💸 The push for more efficient private capital markets and the government as a pioneering client for tech innovations is seen as crucial for keeping pace with global innovation hubs. Yet, the question looms if this financial infusion is enough to keep Germany's tech scene competitive. 🤔🌱 Lets just say that tech funding in Germany can't get any worse. Hopefully better times ahead. #TechTrends #GermanInnovation #StartupSupport #FutureFund #GlobalCompetition #TechStartups #AI #ClimateTech #QuantumComputing #Biotechnology