16% more start-ups in 2023

New startups in Germany rose by 16% in the first half of 2023, with Berlin standing out particularly positively with an increase of 40%, while Munich remains close to the top.

Berlin - In the first six months of 2023, the Federal Republic of Germany recorded a 16% increase in new start-ups. This is according to the current report series "Next Generation - Startups in Germany", which was conducted by the Startup Association and startupdetector.

Significantly more startups were founded again in the first half of 2023. After the slump in start-ups in 2022, this is an important signal for the economic and innovative strength of our country.

Christian Miele, Chairman of the Board of the Startup Association

4 Key findings of the report

Firstly, the number of start-ups has risen to almost 1,300 compared to the second half of 2022. This increase of 16% signals a positive development and marks a trend reversal following last year's slump in start-ups.

The second finding of the report is particularly pleasing: A particularly high number of start-ups were founded in June 2023. This sign of a return to the positive momentum of previous years is a further indication that the start-up scene is recovering.

Thirdly, Berlin is growing significantly, while Munich remains close to the top. After a massive slump in start-ups last year, the start-up hotspot Berlin is back with a strong increase of 40%. Munich, on the other hand, is currently stagnating, but has remained at the top in terms of start-ups per capita over the last 12 months.

The report also shows that there is an upward trend in almost all sectors. The clear winner is the tourism industry with an increase of 111%. In contrast, the blockchain and crypto sector recorded a decline of 62%, making it the clear loser.

During the pandemic, new ideas in e-commerce flourished, last year green technologies bucked the negative trend and now potential is emerging in the tourism and mobility sectors.

Dr. Felix Engelmann, co-founder of startupdetector

Last year, the number of new start-ups fell sharply due to economic uncertainties. The increase of 16% in the first half of 2023 halts this downward trend and gives the sector a new boost. Nevertheless, the number of start-ups is still well below the record levels of 2021.

Berlin first, Munich remains at the top

In terms of regional distribution, it is clear that the Berlin startup ecosystem is back on the road to recovery after the slump in 2022. Although Munich remains close to the top in relation to the population, the positive trend in most other regions is not reflected here. It is particularly noteworthy that Karlsruhe, Darmstadt and Heidelberg, three research-related start-up locations, are among the top 5 start-ups per capita. This illustrates the great potential of the strong research landscape for the local startup ecosystem.

Despite the general recovery, there is a clear negative trend in the blockchain and crypto sector, which points to the current crisis in this area. In contrast, the tourism (+111%), mobility (+30%), food (+29%) and software (+23%) sectors are showing the strongest growth.

The current figures suggest that the German startup scene is picking up speed again and recovering from the challenges of the past year. The positive developments in Berlin and other regions show that the start-up dynamic in Germany remains strong and offers a promising environment for start-ups. You can download the entire report here.