The EY Swiss Startup Barometer 2025: A Year of Investment Decline Yet Resilience in Innovation
The EY Swiss Startup Barometer 2025 has unveiled some concerning yet insightful findings. For the second consecutive year, investments in Swiss startups have experienced a decline, sparking discussions about the state of the startup ecosystem in Switzerland.
Investment Trends: A Decrease in Funding Rounds
In 2024, Switzerland saw a total of 513 funding rounds, a decrease of 6.7% from the 550 rounds in 2023. The total investment volume also took a hit, declining by 15% to CHF 2.3 billion compared to CHF 2.71 billion the previous year. While these numbers may sound alarming, the overall sentiment within the startup community remains optimistic.
Resilience of the Swiss Startup Ecosystem
Despite the drop in numbers, the Swiss startup ecosystem continues to demonstrate resilience. Alexander Schatt, head of startups and failures at EY Switzerland, noted that while financing and volume rounds are down, the situation is not as dire as it was in 2023. The recorded 513 funding rounds in 2024 still represent the fourth highest in the last decade, indicating a robust underlying vitality.
AI Startups Surge: A Sign of Changing Investor Preferences
One of the standout trends has been the doubling of investments directed towards AI startups. In 2023, AI-centric startups accounted for one out of every ten funding rounds, but that figure surged to 22% in 2024. Schatt elaborated, stating that despite an overall decline in startup investments, the interest in AI startups reflects growing confidence in Switzerland as a prime destination for AI investments.
Sector Breakdown: Health and Software Leading the Charge
By sector, the Software & Analytics domain led the number of transactions with 153 funding rounds, while the health sector closely followed with 134 rounds. The health sector dominated in terms of investment volume, securing CHF 1.039 billion, which accounted for 45% of total startup investments. Notably, biotechnological startups attracted CHF 703 million, showcasing the sector’s vitality and growth potential.
The Top Funded Swiss Startups of 2024
When examining the top ten funded startups in 2024, the health sector showcased remarkable strength, with biotechnology startups claiming the first four spots. Alenis Therapeutics led with CHF 158 million, followed by Asceneron and Bright Peak Therapeutics, highlighting the sector’s pivotal role in the Swiss startup landscape.
Inclusivity in Startups: Growing Representation of Women Founders
Another significant insight from the barometer is the increase in fully female-founded teams. Of the 431 startups recorded, 30 (7%) were founded by entirely female teams, a notable rise from 2% in 2023. While men still dominate the startup scene, the growing presence of women signals positive progress toward greater inclusivity.
Geographic Insights and International Comparisons
Regionally, the canton of Zurich led in funding rounds, with 194 recorded, followed by Romandie with 151. However, in terms of investment volume, Romandie emerged victorious with CHF 751 million. Comparatively, Switzerland’s decline in funding rounds (-6.7%) was less severe than that of Germany (-12.3%) and Austria (-19%), suggesting a relative stability in the Swiss startup landscape. Schatt concluded with optimism, highlighting that favorable trends, especially in biotechnology and AI startups, may pave the way for future growth.