Ecosystem value bounces back to $3 trillion One of the ‘north star’ metrics for the European tech ecosystem is its total value, as measured by the com- bined equity value of all tech companies headquartered in the region across both public and private markets. For context, after a peak of $3T in 2021, 2022 saw a reduction of total ecosystem value equivalent to around $400B. The rallying of the public markets this year, however, has helped this number bounce back to the $3T mark. This rebound in ecosystem value has also been supported by the continual in昀氀ux of new companies starting and raising private capital for the 昀椀rst time, as well as the fact that, despite a large increase in the number of down rounds, the overwhelming majority of follow-on capital deployed into the ecosystem has been through 昀氀at rounds tor uprounds. Private and public markets ecosystem value ($T), 2014 to 2023 Public Private 4 3 ) T $ ( e u l a v 2 m e t s y s o c E 1 0 4 5 6 17 8 9 0 1 2 D 1 1 1 0 1 1 2 2 2 T 0 0 0 2 0 0 0 0 0 Y 2 2 2 2 2 2 2 2 3 2 Notes: 0 Private market data from 2 Dealroom.co excludes the following: biotech, secondary transactions, debt, lending capital, and grants. Based on data up to 30 September Sources: 2023. Public markets data as per S&P Capital IQ Platform, as of date 31 October 2023, for illustrative purposes only. 37 | Executive summary