Paris has emerged as Europe’s leading tech ecosystem, overtaking London for the first time based on several performance indicators, according to new data from Dealroom, a global startup and venture capital intelligence platform.
Paris Outpaces London in Startup Valuation Growth
Between 2017 and 2024, the enterprise value of Paris-based startups grew 5.3x, compared to London’s 4.2x increase, signalling stronger momentum in the French capital’s startup scene. Although London still secures larger funding rounds, the impact of funding on startup valuations in Paris has been significantly higher.
Paris tech startups, including standout names like Mistral AI and Poolside, raised $7.8 billion in 2023, compared to London’s $11.3 billion. However, the quality and impact of investment in Paris have been greater in terms of boosting the overall ecosystem value.
Europe’s Tech Sector Lags Behind, but Paris Leads Locally
While Europe’s share of the global tech market has dropped dramatically, from 30% in 2000 to just 7% in 2023, according to McKinsey, Paris is pushing the trend. If Europe had maintained its market share, it could have added $8 trillion in value, McKinsey’s report highlights.
Despite broader European setbacks, Paris is now the only European city on Dealroom’s Top 5 Global Tech Hubs list, which is dominated by U.S. cities such as San Francisco and New York.
Paris Set to Host VivaTech 2024: Europe’s Largest Tech Conference
This tech milestone arrives just weeks ahead of VivaTech 2024, one of the world’s biggest tech events, set to take place in Paris. The event will feature top executives from Nvidia, OpenAI, Meta, Alibaba, Anthropic, Mistral, Cohere, and more. Over 165,000 attendees joined last year’s conference, showcasing Paris’s growing influence in the global innovation space.
Government Support Fuels French Tech Ecosystem
Under President Emmanuel Macron’s leadership since 2017, France has made strategic moves to become a global AI and deep-tech leader. Initiatives like Station F, the world’s largest startup campus, have played a critical role in nurturing local talent and attracting international investment.
Why Paris Is Now Europe’s Tech Capital
According to Francois Bitouzet, managing director of VivaTech, “Paris’s success isn’t just about today’s achievements; it’s about building a sustainable ecosystem for future innovation, talent, and capital.”
