Tech Weekly Update from Europe: Over €3.1B flowing into tech sector within the initial week of July
European tech companies raised a significant amount of funding in June 2021, with a total of €6.5 billion across 323 deals. This marks an 18% increase in funding amount compared to May 2021, which saw €5.5 billion raised.
The growth in funding indicates a heightened level of investor confidence and larger deal sizes in June. However, the specific top performing tech sectors for these months are not explicitly detailed in the search results.
One sector that stood out in June was fintech, with €957.1 million raised. Despite a decrease in funding for software, the total value of deals in the fintech sector in June was lower than the total value of deals in the software sector in May.
The location of the deals in June was not specified. Last week, more than 85 tech funding deals and over 15 other significant tech events were tracked across various locations in Europe.
The UK was a major contributor to the increased funding, with €1.8 billion raised in June, an increase from €1.4 billion in May.
Looking ahead, climate tech and AI are highlighted as major focus areas by 2024, with Europe having leadership in battery technology, e-aviation, energy management, and deep tech climate solutions. AI-driven funding notably increased within climate tech in the years following 2021.
Infrastructure-related investments, including semiconductors, data centers, and telecoms, have also seen increased scrutiny and strategic investment importance, potentially reflecting growth in hard tech sectors.
Early-stage deals (pre-seed to Series A) historically made up a large number of transactions but a smaller share of total funding, with most capital flowing to later-stage ventures.
Last week, more than €3.1 billion was invested in tech funding deals across Europe, and over 100 significant tech events and news stories were tracked. However, the total value of the exits, M&A transactions, rumors, and related news stories in June was not specified.
In conclusion, June was a strong month for European tech funding, with a significant increase in overall funding volume. While the specific top performing tech sectors for these months are not detailed, the growth in funding suggests a positive outlook for the European tech industry.
Fintech and software are two sectors within the technology and finance businesses that saw considerable investments in June 2021. While fintech garnered €957.1 million, the total value of deals in the software sector in May surpassed that of June, demonstrating a shift in focus for investors.
The surge in infrastructure-related investments, such as semiconductors, data centers, and telecoms, signifies the growth of hard tech sectors, potentially reflecting an increasing strategic importance in Europe's tech landscape.
