startup europe parternship - digital venice conference
DESCRIPTION
This presentation was delivered at the Startup Europe Partnership workshop at the Digital Venice conference on 8 July 2014. Its aim was to provide some background data on the startup ecosystem to help set the scene for the discussion, however we know that no startup data is perfect… yet.TRANSCRIPT
Jessica Stacey, Nesta
Digital Venice, 08 July 2014
The European Startup Ecosystem A quick look at the stats
Contents
1. The big picture
2. Show me the money
3. Nurturing, networks and support
4. The wider ecosystem
1. The big picture What we know about digital startups
High growth firms matter
Source: Vital Growth (NESTA, 2011), based on the ONS Business Structure Database
2002-05 2005-08 2007-10
Firms New jobs
Job creation by existing UK businesses
Firms New jobs Firms New jobs
New enterprise creations
Source: OECD, Entrepreneurship at a Glance, 2013
50
60
70
80
90
100
110
120
130
140
Norway Netherlands Russian Federation Spain Sweden United Kingdom United States
50
60
70
80
90
100
110
120
130
140
Australia Belgium Denmark Finland Germany Italy
90
110
130
150
170
190
France
UK
Sweden
Norway US
Russian Federation
Spain
Australia
Belgium
Denmark
Italy Germany Finland
Innovation in digital tech is reaching a tipping point
Digital technologies accounted for more than 21% of GDP growth in the world’s most advanced economies in the past five years.1
Europe’s digital economy is expected to grow seven times faster than overall EU GDP in coming years. 2
The Boston Consulting Group estimates that the digital economy will contribute a total of $4.2 trillion to the G20’s total GDP by 2016, which means that if the Internet were a national economy, it would rank in the world’s top five, behind only the US, China, Japan and India – and ahead of Germany.
1 Matthieu Pélissié du Rausas et al., Internet Matters: The Net’s Sweeping Impact on Growth, Jobs, and Prosperity (San Francisco, McKinsey Global Institute, 2011). 2 European Commission, Copyright: Commission Urges Industry to Deliver Innovative Solutions for Greater Access to Online Content, IP/12/1394 (Brussels: European Commission, 2012).
European ICT Poles of Excellence
Source: European Commission JRC-IPTS
2. Show me the money The funding environment in Europe
The three main areas of early stage investment in Europe
Source: EBAN: Statistics Compendium 2014
European VC investment continues to lag the US as a share of GDP
0
0.002
0.004
0.006
0.008
0.01
0.012
0.014
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
VC investment as a share of GDP
UK US CE
Crowdfunding - it’s big business...
$2.7 Billion
$945 Million
...and it is taking off in the Europe
Raised in Europe through crowdfunding in 2012
Raised globally through crowdfunding in 2012
Source: Massolution 2012 figures
$2.7bn in 2012, predicted to have almost doubled in 2013
Source: Massolution
3. Nurturing, networks & support The rise of incubation for early stage ventures
Growth of accelerator programmes
14
• 53 programmes in Europe • 703 companies accelerated • 2034 jobs created Source: www.seed-db.com, March 2014
www.startupfactories.eu
Accelerator and Incubator Ecosystem in Europe, 2012, Telefonica
4. The wider ecosystem The impact of big corporates, universities and public policy
17
More corporate accelerators
More corporates involved in VC
Entrepreneurship & innovation in Universities
Source: Graham (2014), Creating University Based Entrepreneurial Ecosystems, MIT Skoltech Initiative
Public policy
Procurement Investment incentives
Digital single market
Education
• Atlantic Drift, 2011, Nesta, http://bit.ly/1r4Wh18
• Crowdfunding Industry Report, 2012, Massolution, http://bit.ly/1maVnj5
• European Commission, Copyright: Commission Urges Industry to Deliver Innovative Solutions for Greater Access to Online Content, IP/12/1394 (Brussels: European Commission, 2012).
• European Digital Forum, http://www.europeandigitalforum.eu
• Graham, R., Creating University Based Entrepreneurial Ecosystems, (MIT Skoltech Initiative , 2014).
• Mapping the European ICT Poles of Excellence, 2014, European Commission JRC-IPTS, http://bit.ly/Rlw0yZ
• Matthieu Pélissié du Rausas et al., Internet Matters: The Net’s Sweeping Impact on Growth, Jobs, and Prosperity (San Francisco, McKinsey Global Institute, 2011).
• OECD Entrepreneurship at a Glance, 2014, http://bit.ly/1tia9sS
• Startup Europe Partnship, http://startupeuropepartnership.eu
• Startup Factories, Nesta, http://www.startupfactories.eu
• Startup Manifesto, http://startupmanifesto.eu
• Statistics compendium 2014, EBAN, http://bit.ly/U0aCQt
• The Accelerator and Incubator Ecosystem in Europe, 2013, Telefonica, http://bit.ly/1rKXHAr
• The European Seed Accelerator Ecosystem, 2014, Jed Christiansen, http://bit.ly/1qQAwV2
• The Rise of Corporations in Tech Venture Capital Investment, 2013, CB Insights, http://bit.ly/1qFViFf
• Unchaining Investment, 2013 Nesta, http://bit.ly/1lPO6A6
• Vital Growth, 2011, Nesta, http://bit.ly/1pWcx7j
References
