In the midst of geopolitical tensions and volatile markets, the issue of Europe’s ability to overcome thunderstorms, especially as President Trump seems to be intending to have the pound of his invoices from Epirus, is great.
But an extensive new report claims that Deep Tech is ready to become a key pillar of Europe’s security, defense and future autonomy, especially by the US
Deep Tech attracted 15 billion euros ($ 16.3 billion) in business investment in 2024, according to an 184 -page report by Lakestar, Walden Catalyst, Dealoom and Deep Tech Conference Hello tomorrow. The report also found that almost a third of all business capital invested in Europe is now going into deep technology.
The M&A activity on site increased to $ 12.2 billion last year, the report said, but also found that European deep technology companies are still based on the US for exits. In addition, 50% of the growth capital derived from the newly established Deep Tech companies comes from outside Epirus.
Still, deep technology could also be regarded as compensation against the normal “momentum investment” between business capital, the report said.
The co-author of the exhibition, Lukas Leitner, also a profound technology investor in Lakestar, told Techcrunch that while geopolitical tensions create significant challenges, Europe must embrace the moment and deep technology could be the key that unlocks future resilience.
However, the road ahead is not without challenges. The United States has a “thrille phenomenon” in Deep Tech, while Europe’s ecosystem is still immature, Leitner notes. “We have a flywheel in the ‘shallow’ technological scene. You see many second -time founders, coming out of Revolut and so on, creating large companies. But not yet from deep technology companies.”
“Europe has powerful research institutions, engineering talent and supportive public feeling for deep technology, but there must be policy changes to promote a culture that supports risk taking,” he added.
Arnaud de la Tour, Hello Tomorrow’s chief executive, said the idea that the Europe would have been late to delay AI was recently challenged by the appearance of the open source Deepseek: “It is a huge opportunity for Europe, because we have a great deal of talent …
Leitner pointed out that Europe’s relative weakness in computing power is offset by its advantages in Photonics Computing, which offers significant advantages in speed and efficiency. “We are very good in Europe with Photonics, because we have good laser systems and have a good fundamental research on the photon side,” he said.
De la Tour added that Europe could also benefit from a brain drainage in the US as science is valued by Trump’s administration. “The National Science Foundation, which is the largest supporter of the research implemented by the US founder, had reduced its budget by half. Many of these great scientists no longer have a job and many could come to Europe,” he said.