European VC fundraising is on track to hit record levels this year, while institutional investor appetite for European tech has never been stronger and US investors continue to pour more money into the region. As Europe’s ecosystem continues to mature and a more diversified set of investors invest in tech, it becomes less reliant on funding from government agencies, which share of total funding has declined over time.
94% of LP survey respondents have either increased or maintained their appetite to invest in the European venture asset class.
As Europe’s tech ecosystem matures, the share of VC funding from government agencies declined to less than 20% in 2020.
A record number of US institutions - more than 550 - participated in >1 investment round in Europe in 2020 - up 36% since 2016.