Key Insights Include:

• A minority of European startups and scaleups have adopted and adapted AI to create business value (around 15k startups) - nearly 200k startups have adopted AI
• AI adapters and creators represent 3% of the European startup population, but 13% of total ecosystem value
• On average, 55% of startups are seeing a net positive return on value creation activities from the use of AI.
• 60% of startups believe that AI has led to increased efficiency in their company, Data processing (58%) and Routine task automation (49%) were most frequently cited as areas where efficiency has been improved by AI
• 47% of respondents believe that AI has reduced the time taken to develop, build and release products. 59% of respondents believe that the time taken to get a product to market is up to 25% less as a result of AI, and 18% believe the time taken has been reduced by over 26%
• Startups are positive about Europe’s AI future, the majority (59%) of respondents believe that European startups can become global leaders based on the current state of the ecosystem.
• But, Data quality and availability (48%), Data ethics (48%) and Regulation (47%) are the top challenges faced by European startups developing cutting edge AI.
• Access matters to European startups: 45% of respondents felt that it was important for their companies to access AI technologies built by companies outside of Europe. 58% of respondents source AI from the North America, and 24% from Asia.
• Startups believe that changes to regulation (42%) would be of most benefit to the adoption of AI in Europe, followed by Data quality and availability (36%).

Dive into the full report to explore the trends, challenges, and opportunities that will shape the future of AI-driven innovation in Europe.
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