INVESTMENT CHALLENGES AND RISKS

Portugal Market entry barriers

Portugal’s Venture Capital Landscape: Key Industries and Investment Trends

In Portugal, there are 76 registered venture capital (VC) investors as of 2023. 

Industries of interest.

  • Artificial Intelligence (AI): There is significant interest in startups focusing on AI technologies, including applications in natural language processing, real-time decision-making, and AI for software development.
  • Fintech: The financial technology sector is a major area of investment, with numerous startups developing innovative solutions to enhance financial services and improve customer experiences.
  • Healthtech: Startups in the health technology space are gaining traction, particularly those that offer digital health solutions, telemedicine, and health management platforms.
  • Cybersecurity: As digital threats increase, investments in cybersecurity startups are vital to protect data and secure online transactions.
  • Blockchain and IoT (Internet of Things): These technologies are also attracting funding, with startups exploring applications that improve connectivity and data security across devices.
  • Clean Technology (Cleantech): There is a growing focus on startups that develop sustainable energy solutions and environmentally friendly technologies.
  • Engineering & Manufacturing: Innovations in new materials, robotics, and advanced manufacturing processes are also key areas for investment.

Total Number of Funding Rounds:

In 2023, there were 1,599 funding rounds reported, reflecting a vibrant investment environment across various stages, although late-stage rounds are particularly prominent.

Growth in Total VC Funding:

The total venture capital funding invested in the Portuguese startup ecosystem has experienced a remarkable increase, growing approximately 15 times from 2017 to 2021.

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