Deeptech startups are hot right now: this year, they commanded about a third of all VC investments in Europe, according to Atomico’s latest State of European Tech report.
Yet they are remarkably absent from the Sifted 250 — a ranking of the 250 fastest-growing tech companies in Europe by revenue. The leaderboard features only 11 deeptechs, of which nine sit outside of the top 20.
Startups are ranked in order of highest compound annual growth rate (CAGR) in revenue over a three-year period — seemingly putting deeptech startups, which have a longer path to monetisation, at a disadvantage.
It’s also been a tough year for Europe’s most promising deeptechs. Swedish gigafactory Northvolt collapsed, German flying taxi Lilium filed for insolvency and UK e-van maker Arrival filed for administration. Some founders and VCs say that this is down to the funding gap that persists between Europe and the US: from 2021 to 2023, European deeptech startups picked up $54.4bn, according to Dealroom figures — less than a third of the $173.8bn raised by equivalent companies in the US during the same period.
But there is also room for optimism. So far in 2024, deeptech startups have raised $14bn, according to the same Atomico report — 85% more than in 2020 and a 450% rise compared to 10 years ago.
10 fastest-growing deeptechs in 2024
1. Orbem
HQ: Munich, Germany
CAGR: 650.97%
What it does: Orbem uses AI-powered MRI technology for scanning biological samples in the food, construction and medical industries. Its technology has already been used to determine the sex of eggs.
2. V7
HQ: London, UK
CAGR: 415.3%
What it does: V7 offers a platform designed to help businesses and researchers annotate and manage their data, in order to create more useful AI models. It is used in industries like finance, insurance, healthcare and logistics.
3. The Exploration Company
HQ: Munich, Germany
CAGR: 254.65%
What it does: SpaceX competitor The Exploration Company says that it is building the first privately-funded reusable space capsule that can fly to space stations and the moon.
4. Kinetix
HQ: Paris, France
CAGR: 230.29%
What it does: Kinetix has developed a Gen AI tool for the gaming industry that enables players to generate 3D avatars and animations directly in-game.
5. Otiv
HQ: Ghent, Belgium
CAGR: 171.71%
What it does: Otiv is building technology to enable autonomous rail vehicles. It provides assistance and remote control tools for drivers, and says that it is currently developing technology for fully autonomous rail operations.
6. Evo Human Performance
HQ: Athens, Greece
CAGR: 143.09%
What it does: Evo Human Performance provides AI-powered tools to monitor athletes’ skeleton and bones, and provides analytics that it says can improve sports performance and help them avoid injury.
7. Caracol
HQ: Milan Italy
CAGR: 132.14%
What it does: Caracol builds 3D printers for large and complex components. It works with customers in sectors ranging from art and entertainment to aerospace, as well as industrial machinery, automotive and construction.
8. Envisics
HQ: Milton Keynes, UK
CAGR: 123.61%
What it does: Augmented reality startup Envisics builds holograms for in-car displays such as windscreens, which are intended to enable drivers to see useful navigation information without lowering their eyes from the road.
9. Blackwave
HQ: Munich, Germany
CAGR: 119.61%
What it does: Blackwave manufactures lightweight, high-performance components using carbon fibre. Its products can be used in sectors like automotive, aerospace, medical technology and sports equipment.
10. Hadean
HQ: London, UK
CAGR: 101.65%
What it does: Hadean is a software company that specialises in creating AI-powered virtual environments. The technology is used by organisations in defence, space, logistics and transport to develop better situational awareness and decision making.
