German startup formations reach a record
More than 3,000 new startups were founded in Germany in the first half of 2026, reaching an all-time record and rising 52% from the previous six months.
Around one-third of the new companies focus on artificial intelligence, while software accounted for 28% of all newly founded startups.
German startups raised €8 billion in venture capital between January and September, exceeding the total for all of 2025. However, funding for German AI startups reached only €5.7 billion during the same period compared with nearly €308 billion in the U.S.; the German government adopted a new strategy containing 152 measures in July to improve the startup environment.
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