Analysis

October 21, 2022

Despite a stellar quarter for fundraising, is there trouble ahead for European VC?

With overall investments and rounds down year-on-year, is the comedown from 2021 hitting VCs as hard as everything else — or is there nothing to worry about?


Eleanor Warnock

5 min read

All the signals are pointing to a rocky time ahead for venture capital. Some of the industry’s flagship investments — like Swedish fintech giant Klarna — have had to take hefty cuts to their valuations. Both the number of rounds and overall investment levels are down year on year in Europe. “You’re not profitable” is the new way for VCs to say they’re not interested. 

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Eleanor Warnock

Eleanor Warnock is an advisor to VC firm Bek Ventures, and writes a newsletter on tech and writing. She was previously Sifted’s deputy editor. Find her on X and LinkedIn

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