European Tech Leaders Describe Method To Create Tech Giants
A group of 200 founders of startups, traders, associations and members of the authorities are supporting a manifesto and a set of suggestions with the aim of creating the next wave of tech giants in Europe. Right now, French President Emmanuel Macron is hosting an internet meeting in Paris with some of the members of this group called Expanding Europe.
The companies, traders and associations that signed the manifesto include Alan, Axel Springer, Bpifrance, Darktrace, Deutsche Startups, Doctolib, Eurazeo, Flixbus, France Digitale, Glovo, La French Tech, N26, OVHcloud, Shift Expertise, Stripe, UiPath and Smart.
âTo achieve all of this, I will respect your ambition – 10 know-how companies that could be worth â¬ 100 billion or more by 2030,â Macron said.
This is a bold goal – this is why Scale-Up Europe has defined a roadmap and is publishing a report. While it is supported by each of the personal actors and public institutions, it can very well be seen as a kind of lobbying effort with the European Fee and European governments.
There are a handful of key topics in these suggestions. And it starts with funding. In particular, the group believes that Europe is lagging behind when it comes to late phase investments. The largest venture capital funds are not as important as the largest venture capital funds in the United States or China.
The French authorities have embarked on an approach aimed at promoting funds and late stage investments in public technology companies in France. âIn terms of funding, we have seen the success of the Tibi initiative on the French diploma. We predict that we must always conform to this model at European level, âa supplier close to Macron told me.
This implies that Europe should think about using public funding as a multiplier effect for venture capital funds. the European investment fund is already pouring huge amounts of cash into venture capital funds. However, Scale-Up Europe recommends combining personal funds of funds, sharing the threat and pooling public finance banks for high collaboration.
The second subject is expertise abroad. Some international sites have already obtained a technical employee visa. The group believes that it should be standardized across the European Union with a certain degree of portability of social rights.
A few years ago an open letter called “Not optional” also highlighted certain divergences with the inventory possibility systems. Right now, the report says once again that some governments should adopt more favorable guidelines with inventory choices.
The third subject revolves around deep tech startups. According to the report, Europe is not doing enough to favor high-tech startups and traders. Suggestions include standardization of patent switching frameworks. These diagrams are necessary if you want to transform an analytics business into an organization. He also indicated that the European Innovation Council could also take on a more important function in defining a deep technology roadmap.
Scale-Up Europe then highlights some suggestions for improving relations between large companies and startups. These are mainly tax breaks, tax advantages for R&D and various tax incentives. (Personally, I’m not convinced that there will likely be additional European tech giants if we encourage acquisitions with tax breaks.)
Finally, the group of traders, founders and members of authorities behind Scale-Up Europe assumes that there must be a European technological mission that functions much like French Tech In France. This tech mission could remove regulatory hurdles, promote startups and more.
In general, these suggestions are largely aimed at simplifying the creation and development of a startup in Europe. Buyers besides the start-up staff who maintain inventory picks will likely be quite happy to see that it will be easier to make a living quickly. It will be interesting to see whether or not the European tax reuses some of these suggestions.
To be honest, these are actionable suggestions. And yet, building great technology is an advanced process. Tech giants tend to control much of their tech stack, including in areas like cloud hosting, funds, analytics, promotion, and artificial intelligence.
Many European startups are currently built on APIs, frameworks and platforms that could be built in the United States or China. Scale-Up Europe misses the purpose of this entry. Developing European startups is not a gold rush. It’s a protracted process that requires constant investment that starts at the bottom of the tech stack and hits the top.