Characteristics of the Top 100
An overview of company characteristics.
The majority of companies in the top 100 are from the UK (26%), France (24%) and Germany (23%).
This is broadly reflective of the population of business software companies in Europe, where of the 75,900 firms, just under 21,000 are in the UK (27%), yet Germany and France appear to be punching above their weight in the top 100, with German companies representing just 11% of business software firms in Europe (just over 8,000) and French firms just 7.2% (5,400 companies).
The number of UK companies has dropped significantly from the 2022 cohort to now. There were 40 companies from the UK in both the 2021 and 2022 cohorts, which has decreased to 26. Germany has seen a steady rise in the number of companies in the top 100, from 12 in 2021, to 22, up to 23 in the 2023 cohort. France has recorded an increase over the three cohorts, from 18 in 2021, to 13, to 24 companies in 2024.
This hints at increasing quality of companies in France and Germany, who are creating a higher proportion of Europe-leading business software firms.
Location of top 100 Cloud Challengers
This is broadly reflective of the population of business software companies in Europe, where of the 75,900 firms, just under 21,000 are in the UK (27%), yet Germany and France appear to be punching above their weight in the top 100, with German companies representing just 11% of business software firms in Europe (just over 8,000) and French firms just 7.2% (5,400 companies).
The number of UK companies has dropped significantly from the 2022 cohort to now. There were 40 companies from the UK in both the 2021 and 2022 cohorts, which has decreased to 26. Germany has seen a steady rise in the number of companies in the top 100, from 12 in 2021, to 22, up to 23 in the 2023 cohort. France has recorded an increase over the three cohorts, from 18 in 2021, to 13, to 24 companies in 2024.
This hints at increasing quality of companies in France and Germany, who are creating a higher proportion of Europe-leading business software firms.
Location of top 100 Cloud Challengers
Source: Notion Capital, Dealroom, 2024
These companies are operating across a range of sectors, the most common being sustainability (15%), developer tools/ infrastructure (12%), and fintech (12%).
The top 100 over index on sustainability, with just 4% of European business software companies responding to one of the 17 UN Sustainable Development Goals.
In 2021 and 2022 cohorts, there were 24 companies each utilising artificial intelligence, while in 2023 we see that the number of companies leveraging AI has risen to 30 companies.
Sectors operated in by top 100 Cloud Challengers
The top 100 over index on sustainability, with just 4% of European business software companies responding to one of the 17 UN Sustainable Development Goals.
In 2021 and 2022 cohorts, there were 24 companies each utilising artificial intelligence, while in 2023 we see that the number of companies leveraging AI has risen to 30 companies.
Sectors operated in by top 100 Cloud Challengers
Source: Notion Capital, Dealroom, 2024
All companies are less than five years of age, with most companies either one or two years old.
Looking at the age distribution of business software companies in Europe, 69% were founded after 2010, and 16% were founded after 2020. 7.5% of all companies raised their seed round after 2020.
Age of top 100 Cloud Challengers
Looking at the age distribution of business software companies in Europe, 69% were founded after 2010, and 16% were founded after 2020. 7.5% of all companies raised their seed round after 2020.
Age of top 100 Cloud Challengers
Source: Notion Capital, Dealroom, 2024
