How to Web 2023 Venture in Eastern Europe Report Reveals Decreased Investment Volume
Entrepreneurs, founders, and investors gathered at the How to Web technology conference to launch their highly anticipated 2023 Venture in Eastern Europe report. The comprehensive analysis aims to provide valuable insights into the ever-changing landscape of the region’s startup ecosystem. What initially began as an in-depth assessment of venture deals involving Romanian startups has now expanded to showcase the dynamic nature of tech startup funding across Eastern Europe.
According to the report, the investment volume in Eastern Europe has plummeted by a staggering 57% compared to the previous year, amounting to a total worth of €1.85B. This decline reflects a broader trend observed throughout Europe. The State of European Tech report for 2023 also highlights a significant decrease in tech investments. However, PitchBook’s Hot or Not Report unveils a remarkable 378.8% increase in investment volume from 2020, indicating a dynamic evolution within the European tech ecosystem.
Interestingly, six countries—Poland, Greece, Lithuania, Czech Republic, Estonia, and Romania—have accounted for a remarkable 84% of the total investment volume, amounting to €1.65B. Notably, Romania experienced a substantial increase of 27.4% in venture deals from 2022, marking the third consecutive year of investment volumes surpassing €100M. On the other hand, Poland recorded a significant downturn in venture deals, while Greece, Lithuania, and Estonia experienced notable adjustments in investment volumes.
Delving into the investment stages, late-stage investments dominated the landscape, making up over 75% of the total investment volume in 2023. Series A and Series B rounds emerged as the frontrunners, attracting substantial activity. Notable examples include ElevenLabs from Poland, Dronamics from Bulgaria, and FlowX.AI from Romania, all securing significant investments. Greece, Poland, Lithuania, and Estonia particularly displayed robust activity in Series B rounds. Key emerging industries include the energy sector, health, and heavy industry.
Despite the challenges faced by the Eastern European tech ecosystem, the How to Web 2023 Venture in Eastern Europe report provides valuable insights and analysis that will undoubtedly support the investment community in navigating the ever-changing startup landscape. As the region continues to evolve, there is immense potential for growth and innovation, making it an exciting time for both entrepreneurs and investors in Eastern Europe.
Analyst comment
Neutral news.
As an analyst, the market is expected to face challenges due to the decreased investment volume in Eastern Europe. However, with the valuable insights and analysis provided by the report, the investment community will be better equipped to navigate the startup landscape and find opportunities for growth and innovation in the region.
