2022 has been a bumpy year for the European tech industry. Covering total investments, to unicorns, workforce layoffs, IPOs, and gender disparity among others, the State of European Tech 2022 report published by Atomico, Orrick, Lazard, Silicon Valley Bank, and Slush features a survey of more than 4,000 VCs, founders, and start-up operators and sheds a light on how the tech industry is doing.
High interest rates, inflation, geopolitics, and public market sentiment are ranked by most as the main macroeconomic factors which might slow down VC activity in Europe over the next few years.
Despite the gloomy headlines and the macroeconomic shake up, there seems to be optimisim about the future among the community of VCs, LPs, founders, and policy makers among others. Tech spending has more than doubled in the last two decades and will continue to transform industries and our day-to-day lives.
Europe has more than 160,000 start-ups accounting about 9M ICT specialists across the European Union (representing 4.5% of the total workforce in the EU in 2021).
We picked out 7 takeaways from the report: