Introduction to the Global Tech Ecosystem Index
This year’s Global Tech Ecosystem Index has crowned Paris as the top tech hub on the continent. The report analysed tech talent, innovation and investment in 288 cities and 69 countries. The French capital also placed fourth in the global ranking, while London ranked 6th. Cambridge, Munich, Stockholm and Grenoble were the only other European cities to make it to the global top 20.
Top Tech Hubs in Europe
The UK has been attracting fewer funds in recent years, with its startups raising just slightly more than €19 billion in 2024, reportedly the lowest amount since 2020. Nonetheless, the UK remains a driving force of Europe’s tech scene. Cambridge has the highest concentration of tech talent in Europe, with an enterprise value of over €162 billion, and a population of just around 150,000 people. Density leaders are "ecosystems that outperform relative to their population size, showing exceptional innovation output per capita." These hubs are marked by high startup activity, research intensity, and strong university linkages, proving that world-class ecosystems can emerge anywhere.
What Makes a Top Tech Hub?
According to the report, the key factors that make a top tech hub include a high concentration of tech talent, innovation, and investment. Cities like Cambridge, Munich, and Stockholm have shown exceptional innovation output per capita, with a strong presence of startups, research institutions, and universities. These factors combined create a thriving ecosystem that fosters growth and development in the tech industry.
Rising Stars in the Tech World
The report also ranks the top rising stars in Europe, depending on growth in enterprise value and unicorns, which are privately-owned startups valued at over $1 billion, adjusted to local GDP per capita and cost of living. Lagos in Nigeria is on top of this list globally, having created five unicorns and grown its ecosystem value by more than 11 times since 2017, despite being a smaller economy. In Europe, the top rising star is Kyiv, followed by Vilnius, Zagreb, Prague, Warsaw, and Athens.
Kyiv: The Booming Tech Hub
Experts say Ukraine’s tech hub is booming, with tech professionals growing from an estimated 75,000 in 2014 to over 300,000 in 2023. The Ukrainian capital is home to over 1,000 tech firms, including Ajax Systems and Grammarly. A few months ago, the World Economic Forum chose Kyiv to open its new GovTech centre, to exchange best GovTech practices and innovative solutions. This recognition is a testament to Kyiv’s growing influence in the tech world.
Conclusion
In conclusion, the Global Tech Ecosystem Index has highlighted the top tech hubs in Europe, with Paris taking the top spot. The report also identified rising stars in the tech world, including Kyiv, which is booming with growth and innovation. These cities are driving forces in the tech industry, with a high concentration of tech talent, innovation, and investment. As the tech industry continues to evolve, it will be exciting to see how these cities adapt and grow, and which new rising stars will emerge in the future.
