With vibrant start-ups and several industries seeking to innovate their business processes and models, Europe has become an attractive hub for several AI-based communities. From blockchain, computer vision to more, the continent’s AI sector covers a large number of cutting-edge technologies. Within Europe, France and Germany continue to spearhead the AI and deep tech industry. However, compared to its USA and China counterparts, Europe’s AI sector still lags far behind especially in terms of investment.
Nevertheless, recent years have seen some hopeful signs with the declaration made by several EU institutions to keep AI a major priority and add to that, the large number of AI-based start-ups emerging and the investments that are pouring in. European Investment Fund has launched a new AI investment fund with an aim to boost AI companies and an investment support program will be set up to complement the same.
Burgeoning AI Sector In Europe
However, when it comes to privately owned start-ups and investment firms, we have Germany-based start-up IDnow which was able to raise around $40 million back in 2019 for its AI-driven platform that is designed to speed up online transactions. Similarly, Luxembourg-based Boundary Holding, an AI investment firm, has been investing in highly innovative AI and deep tech companies in its bid to create a dynamic AI investment ecosystem in Europe.
Thefounded firm has roped in a number of investees from various industries −facial recognition and video analytics, railway, air space, etc. Among the most recent ones is the Internest, a Paris-based start-up that provides autonomous technology and precise landing solutions for drones. The investment deal between the two was finalized after a couple of meetings between Boundary Holding’s founder Rajat Khare and a representative from the Internest.
While many start-ups and investment firms are emerging, there still exists a need for more. It is mainly due to a lack of access to funds that the AI start-up ecosystem in Europe has not been thriving as much. Thus, by incentivizing private sector investments all the while roping in banks and other public sectors, Europe can potentially lead the AI market globally.