Total investment levels will hit around $85B

2021 was a remarkable year for the European tech ecosystem with total investment eclipsing a landmark $100B for the first time. 2022, unsurprisingly, is on track to fall short of 2021’s record-breaking levels, but only by a relatively small margin.

Given the material slowdown experienced over the summer, a conservative estimate would be just around $85B for the full year, as it accounts for actuals up to end of October and annualised on the basis of average investment amounts between the three months of August, September, and October.

It ought to be said: this is the largest amount ever invested in the European tech ecosystem, apart from last year. It does represent a year-on-year decline of 18% – but in the face of the toughest macroeconomic environment since the Global Financial Crisis, such a minimal decrease is a noteworthy outcome.

For further context, this represents a greater than twofold increase in total capital invested compared to 2020, and more than 8x the level recorded when the first edi– tion State of European Tech report was published back in 2015.