Start-up investments in Germany fall by 50 percent

Young technology companies from Germany are receiving significantly less money from investors. However, the start-up scene is coming off a strong past year.

According to an evaluation by the analysis firm CB Insights, venture capitalists have recently put significantly less into German startups. This is reported by Der Spiegel. In the third quarter, it was $1.7 billion, half as much as the quarter before and almost three quarters less than in the fall of 2021, when the record sum of $6.1 billion flowed.

The German startup scene is thus cooling off again somewhat after a year-long upswing and an exceptional year in 2021. While the number of deals actually rose from 200 to 220 compared to the second quarter, large financing rounds are becoming rarer, writes Der Spiegel.

Only two technology companies received more than $100 million in the past three months: the Munich-based software company Celonis and the online insurer Wefox from Berlin, in which investors invested $400 million each.Last fall, Gorillas and Flink alone raised a combined total of nearly $1.75 billion from investors - about as much money as flowed into the entire German startup sector in the past quarter, according to Spiegel.