Europe’s AI startups are losing ground to the US — and their own investors are to blame. Only 5% of global venture capital is raised in the EU, according to the European Commission. The US, by contrast, attracts more than half, while China takes 40%. Yet Europe isn’t capital-poor: households save €1.4tn a year, nearly twice as much as in America. Still, very little of that money finds its way into startups, despite a plethora of incentives like the UK’s EIS tax relief for business angels.   Even when funding is available, Europe’s venture capital firms are slow and cautious. Funds…

This story continues at The Next Web

Venture capital investment surged to a 10-quarter high of €108.3bn in Q1 2025, fuelled by artificial intelligence, which accounted for over  €44.6bn raised. In recent years, AI has felt like a money-printing machine. Investors, eager to avoid missing out on the next big thing, were quick to back almost any startup that mentioned AI in their pitch deck. The idea didn’t need to be particularly well-implemented or useful. In some cases, even the illusion of innovation was enough to earn a unicorn valuation. But investors are now wising up to AI-washing. As the CEO of Gradient Labs — an AI…

This story continues at The Next Web

The full-scale war has reshaped priorities for Ukraine’s tech sector. Innovative military technologies and advanced defence solutions are not only essential for the country’s security — they’re also among the most promising vectors for business growth. Ukrainian defence tech is tested directly on the battlefield, under the most challenging conditions. These circumstances allow products to prove their effectiveness, attracting interest from international partners, investors, and allied countries looking to strengthen their own defence capabilities. From my position at the heart of Ukraine’s tech ecosystem, I’ve seen how quickly the sector has shifted towards defence — and how global attention is now…

This story continues at The Next Web

Startup wisdom is a new TNW series offering practical lessons from experts who’ve helped build great companies. This week, global traction strategist Nina Aziz Justin — founder of The Resilience Mentor — shares her approach to building resilience. In the startup world, we’re taught to obsess over metrics. Burn rate, CAC, MRR — they dominate the dashboards and drive the decisions. And yes, data matters. But there’s something quietly more essential that rarely gets the same spotlight: resilience. This piece offers a balanced perspective — one that holds space for both sides. While execution metrics are essential for traction and…

This story continues at The Next Web

Left unchecked, Europe’s narrow focus on AI investment will come at the health of half its population. As venture capital floods disproportionately into the AI sector, women’s health innovation — the definition of essential infrastructure — is once again left fighting for scraps. In 2021, global femtech investment peaked at €1.89bn before plunging to just €1.1bn the next year, amid a tech funding apocalypse and capital making a headlong dash towards AI. Several factors contributed to this decline — broader market conditions, withering investor risk appetite, and natural sector maturation. But the surge in AI funding coinciding with a plunge…

This story continues at The Next Web