Dutch Prime Minister Dick Schoof announced plans to strengthen the Netherlands’ technical startup sector, aiming to attract more venture capital following industry concerns about slowing growth.
Speaking at TechLeap’s annual event in The Hague on Wednesday, Schoof highlighted his government’s intention to cut regulatory red tape and increase investments in artificial intelligence. However, he did not provide specific details on the proposed measures.
“The alarming thought, of course, is that as Europe, we are let down, and we cannot keep up with the United States and China. We have to do something about it,” Schoof emphasized. “We have to make sure that … we create an environment in which venture capital is going to invest.”
The Dutch economy, particularly reliant on chip equipment manufacturing and home to ASML—the world’s largest chip equipment maker—has benefited significantly from the technical startup ecosystem concentrated in Eindhoven. The city has helped bolster the economy amid economic challenges in neighboring Germany.
TechLeap’s latest research indicated that venture capital investments in Dutch startups rose by 47% to 3.1 billion euros in 2024, positioning the Netherlands as the fourth-largest market in Europe behind Britain, Germany, and France. However, the U.S. remained far ahead, with $190 billion in investments according to DealRoom data.
Despite the rise in overall venture capital, the number of Dutch startups receiving significant funding declined, with only 104 companies securing investments of over 100,000 euros in 2024, down from 172 in 2023. The majority of this funding came from foreign investors.
Two Dutch companies achieved unicorn status in 2024, attaining private market valuations exceeding 1 billion euros. These firms were Mews, a hotel software developer, and DataSnipper, which uses AI to automate auditing functions.