High confidence in Glasgow’s regional tech sector
Startups and scaleups in the Glasgow City Region are experiencing remarkable growth in venture capital investments, surpassing many of Europe's prominent and emerging ecosystems.
The Glasgow City Region Tech Ecosystem currently holds an enterprise value of Â£3.4 billion, marking an impressive 89% increase since 2018.
This positive economic performance has attracted a wave of enthusiastic investors and entrepreneurs. The encouraging news stems from a report published by Dealroom.co on behalf of Glasgow City Council's Digital Economy team, released on Wednesday, May 24, 2023.
Leading the charge in this emerging ecosystem are regional clusters focusing on healthtech, precision medicine, net zero/climate technologies, space, fintech, advanced manufacturing, and the digital and creative economy.
Councillor Susan Aitken, Leader of Glasgow City Council, stated,
"Glasgow's reputation for innovation, invention, and ambition continues to shape the city, and this report by Dealroom demonstrates that we are attracting new businesses and entrepreneurs throughout the region. This confidence in our city as a business hub is generating numerous specialised, high-value jobs across Glasgow."
Dealroom.co, a global data platform, diligently tracks the performance of regional tech businesses, ranging from startups to high-growth companies and their associated investments.
Glasgow City Council announced its collaboration with Dealroom six months ago during the 24th State of the City Conference. At the conference, they unveiled the Glasgow City Region Tech Ecosystem Platform, the UK's first standalone regional Dealroom platform designed to support local government, academia, and other public-private agencies.
This platform highlights the value of in-depth analysis of startups, scaleups, and innovation assets headquartered, founded, or significantly present in Glasgow. It provides reliable data crucial for entrepreneurs, potential investors, and facilitators operating in or considering entry into the Glasgow marketplace.
Additionally, the platform offers all startups and scaleups a valuable and free, open-source business platform and profile. Meanwhile, the data they contribute aids in shaping the overall growth landscape of Glasgow's tech ecosystem.
Key findings from the recently published inaugural annual report include:
- Startups in the Glasgow metropolitan area continue to attract increasing levels of investment, showcasing an 8% growth over the past 12 months. This growth stands in contrast to many leading and emerging ecosystems across Europe.
- Startups in the Health, Energy, Real Estate, Fintech, and Semiconductors industries have secured nearly two-thirds of the total investment rounds in Glasgow over the past five years. Notable companies benefiting from these investments include EnteroBiotix, HVS, arbnco, AlbaCo, and M Squared Lasers.
- The first quarter of 2023 marked Glasgow City Region's third-highest venture capital investment period on record. Noteworthy investments since the beginning of the year include companies such as Phlo Technologies, Causeway Therapeutics, DxCover, and IbisVision.
- Research conducted in city regional universities has led to the creation of over 100 spinout companies. Solasta Bio, Krucial, and Novosound are among the regional companies contributing to this achievement.
- This growth has generated more than 1,000 jobs and has inspired a new wave of entrepreneurial graduates to pursue careers in startups.
Anne McLister, Head of Digital Economy, commented,
"As Scotland's largest city, Glasgow offers tremendous business appeal, boasting abundant talent and collaborative networks within our thriving tech and creative communities. Our emerging tech ecosystem benefits from the resources provided by renowned higher and further education institutions, including a highly educated pool of individuals with strong research and innovation capabilities."
Glasgow's three distinct university-anchored Innovation Districts underscore the region's unparalleled allure as an attractive, high-quality, and cost-effective living environment for entrepreneurs and startups.