The global landscape of innovation showcases fierce competition among local ecosystems, prompting attention toward a handful of prominent global hotspots, such as Silicon Valley and Israel. For regions aspiring to gain recognition on the innovation map, rapid scaling and establishing international connections are vital to attracting capital and talent, leading to prospective economic growth. Barcelona stands as a prime example, positioning itself as a gateway to Southern Europe’s Tech and Digital Ecosystem, according to the main highlights from the “The Barcelona Startup Ecosystem Digital, Tech, and Open Innovation” Report presented at “Tech Spirit Barcelona”, including also data from ACCIO and Crunchbase and insights from Tech Scaleup Spain 2023 Report sponsored by ACCIONA.
“It is not surprising that we chose Barcelona as our primary European hub, with 90% of our workforce in Barcelona comprising talented individuals who have converged here from every corner of the globe”, commented Marco Marinucci, CEO of Mind the Bridge – Initiatives like Tech Barcelona, celebrating its 10th anniversary, have significantly contributed to nurturing Barcelona’s ecosystem growth. Our collaboration aims to continue fostering this dynamic landscape, facilitating the ecosystem’s evolution and shared success in the forthcoming decade.”
Today, Barcelona is uniquely positioned as a gateway to the Tech and Digital Ecosystems of Southern Europe. This status is bolstered by Barcelona’s international appeal, which has transformed Catalonia’s capital into a hub for foreign founders and startup employees as well as a chosen location for international companies.
“Over the last decade, Barcelona’s tech ecosystem evolved into a hub of innovation and entrepreneurship in Europe. Transitioning from local imitations to diverse international ventures, it transformed from an e-commerce hub to a dynamic network of tech and science-based startups, corporations, and research institutions. This shift redefined the city’s identity, establishing it as a global tech powerhouse attracting investment and driving innovation”, commented Miguel Vicente, President of Tech Barcelona.
THE ECOSYSTEM
With 409 mature scaleups – startups that have each raised over $1 million since inception – Barcelona’s tech scene has collectively attracted $8.7 billion in funding. It hosts 42% of Spain’s total scaleup ecosystem and accounts for 46% of the total capital raised by Spanish scaleups, positioning Barcelona at the forefront among other Spanish startup cities. The city also hosts 7 unicorn companies and holds the 7th position within the EU in terms of the number of tech giants with the potential to evolve into future unicorns.
These numbers place the city as the 5th largest innovation hub in Europe in terms of number of scaleups in the 2023 Tech Scaleup City Hub Index, just behind Stockholm (with 680 scaleups) and Berlin (870). The city’s early-stage startup environment is equally impressive, featuring over 1,700 companies swelling to over 2,000 when considering the broader Catalonia region.
“HOUSE SPECIALTIES”
Currently, Scaleup Barcelona features three primary verticals: Business & Productivity Software (51 scaleups for a total funding of $0.7B), Healthtech and Fintech (39 scaleups each, with $0.5B and $0.4B raised, respectively). However, several other industry verticals exhibit substantial growth potential, from FoodTech to TravelTech and Energy & Cleantech.
THE LIFE CYCLE
Barcelona currently stands at the ‘Early Scaleup’ stage in the global Innovation Ecosystem Life Cycle – a fairly exclusive club consisting of 21 innovation ecosystems worldwide – ranking 30th globally.
“In the future, we’ll see if Barcelona can maximize its potential. Based on our analysis we estimate Barcelona might move into the ‘Late Scaleup’ phase over the next 2-3 years and narrow the gap with other global hubs like Sao Paulo and Sydney. This progression hinges on leveraging its international presence to propel local startups towards broader funding and strategic opportunities beyond their immediate reach and turn Barcelona into a global hub, transcending national and European borders.”, added Alberto Onetti, Chairman of Mind the Bridge.
AN ATTRACTIVE GLOBAL INNOVATION HUB
Moreover, Barcelona has earned the distinction of being the most international city in Spain. It has become a magnet for foreign founders and startup employees, making up 19% and 23% of the total, respectively. The city’s international allure is further reinforced by the presence of 96 international companies that have chosen Barcelona as the location for their digital and innovation hubs. Notably, 29 of these are Fortune 500 / Forbes 2000 corporate leaders, each having established an innovation presence in Barcelona through various means, including R&D facilities and corporate-startup collaboration initiatives such as innovation challenges, investments, and participation in third-party accelerator programs.
“Barcelona’s tech scene is not just buzzing; it’s booming with a purpose. The city’s tech ecosystem is a melting pot of innovation, where startups and corporates dance in a tango of technology and creativity. With sustainability at its heart, and technology as its language, Barcelona is not just building businesses, it’s crafting the future. It’s a vibrant testament to how open innovation can be a game-changer, turning challenges into opportunities and ideas into realities. This is not just growth; it’s growth with a conscience.” – ended Miquel Martí, CEO of Tech Barcelona.