This DLD25 session highlights the challenges and opportunities for deep tech in Europe, focusing on funding, regulation, and ecosystem development.
In conversation with moderator Mike Butcher (TechCrunch), Heike Freund (Marvel Fusion) and Philipp Herkelmann (EU Inc Petition) address Europe strengths in science and technology, but also point to significant hurdles in competing with the U.S. and, increasingly, Asia.
Funding remains a big challenge. In 2024, Mike Butcher notes, “U.S. deep tech firms raised $52 billion, compared to just $14 billion in Europe and $13 billion in Asia.”
This drives many talented deep-tech researchers to seek their fortunes across the Atlantic, he says. “Every time you see a deep tech in the U.S., there’s usually a European involved.”
Philipp Herkelmann agrees. “Europe is really exporting its future”, he warns. “Every year, we lose 6% of our founders to the U.S.” Part of the reason is the EU’s fragmented legal system, he argues, and proposes EU Inc as a solution: “a new pan-European entity – streamlined, digital first, acceptable for founders, no headache anymore, and operatable from day one across all of Europe.”
Marvel Fusion’s Heike Freund illustrates deep tech challenges in the fusion energy sector. Globally, more than $6 billion in private capital have been invested in the groundbreaking technology, she says, “and less than 2% here in the EU.”
In addition, Europe lacks both sufficient regulatory frameworks and governmental commitment, compared to its competitors, Heike Freund argues. “Currently it’s only the U.S. and the U.K. that have issued standards”, she says, which explains why companies choose to build facilities abroad despite Europe’s talent pool.
