Europe Tech Update – Q1 2025

Check in on the European venture ecosystem activity for Q1 2025. Historical and international benchmarks, sector trends and biggest rounds.

Key findings

• European startups raised $13.9B in Q1 2025, up 2% year on year.
• Series B and C rounds took the largest share of European VC investment in Q1 2025, with Series C alone at 24%.
• European AI startups raised $3.4B in Q1 2025, up 55% year on year and the second highest Q1 on record, behind 2022's $4.5B.
• The UK led European countries with $4.2B of VC investment in Q1 2025, more than double Germany's $1.8B in second place.
• US investors supplied 32% of European startup funding in Q1 2025, more than the 30% that came from domestic European investors.