The AI competitors is fierce — however Europe isn’t main the herd. Actually, in some ways it’s trailing behind as its rivals speed up. Final 12 months the continent’s AI startups raised $15bn in funding, whereas the US greater than doubled that determine with $33bn.
Whereas many see AI and instantly suppose “uncanny generative artwork”, the software program has makes use of far past that. Healthtech startups need to the expertise to streamline, automate and finally enhance medical care, cybersecurity groups lean on the intelligence to bolster digital safety, and for techbio corporations it might improve the potential for novel and life-changing drug discovery.
However backing this basic deeptech is simpler mentioned than finished. Listed here are 4 graphs that present how far behind Europe is in terms of AI — and if there’s any hope that the continent isn’t completely out of the sport.
AI’s main startups are virtually all American
In keeping with evaluation by AI content material writing instrument writerbuddy.ai, which checked out funding raised by over 10k startups globally that closed a spherical between 2015-23, eight out of ten of the main corporations utilizing machine studying are primarily based within the US — with not a single one hailing from Europe.
The US is taking an early lead in 2023
Throughout each 2021 and 2022, nearly all of funding into AI startups was allotted to US-based corporations. In keeping with Dealroom, the US has additionally obtained a head begin to this point in 2023, dwarfing Europe and China’s collective $1.1bn with $13bn raised already.
Its unicorn numbers are miles forward
In the case of producing AI unicorns, the US leads the best way once more, with 292 corporations passing the $1bn valuation threshold, in keeping with the State of AI report, a 2022 evaluation of the worldwide AI ecosystem. The UK is available in at third place with 24 — and mixed with the opposite two European nations on the listing (Germany and Switzerland), totals simply 46 unicorns (though, not like typical Sifted evaluation, these figures embrace corporations that are actually public).
However Europe’s forward of the sport in exits
Nevertheless, it’s not all dangerous information for Europe. The US noticed 228 AI startups exit in 2021 — by an IPO or an acquisition — beating each Europe and China mixed. However the tables turned in 2022 as Europe took the lead for exits with 163 to the US’s 141. To date in 2023, the continent seems to be to be inching out in entrance, with three extra exits than the States.
Sadia Nowshin is editorial assistant at Sifted. She tweets from @sadianowshin_
