The German Startups Association and Hubraum, Deutsche Telekom’s tech incubator, have joined forces with us to present and publish the study on innovation and responsibility for AI and startups in Germany.
STARTUPS PUT AI INTO PRACTICE
For 43% of German startups, AI has a clear impact on their business model. AI startups are pioneers in the fields of Industry 4.0 and Internet of Things. This makes them one of the driving economic factors in collaboration with the established economy.
AI STARTUPS THINK BIGGER
17% of young AI companies aim at a company valuation of over € 1 billion, compared with only 9% across the ecosystem – they are also more likely to want to go public. AI startups take a leading role in the global
competition for unicorns and tech champions.
LACK OF CAPITAL
Investments per capita in AI startups in the US are currently 10 times higherthan in Germany. In Israel they are even 19 times higher. The demand for strategic and VC investments is particularly high, highlighting the German economy‘s reluctance towards AI and deep tech.
WOMEN ARE UNDERREPRESENTED
The share of female founders in the AI sector is only 12% and thus clearly below the average in the startup ecosystem (18%) – the same is true for employees (29 vs. 38%). This large gap in talent and participation must be closed.
There is consensus among German AI startups on the need for ethical guidelines. 88% want to assume social responsibility and 81% think that ethical issues must also be taken into account when developing technology.
DIVIDED VIEWS ON REGULATION
47% of the startups surveyed view European AI regulation positively as a way of establishing trust and a European USP. However, legal uncertainties and questions of practical feasibility pose major challenges for AI startups.
RESEARCH TRANSFER IS KEY
Startups with close ties to universities and research institutes account for 33% of AI startups and play a central role in the AI sector. By international comparison, however, Germany is still poorly positioned in terms of AI education and transfers.
AI STARTUPS ARE DIGITALISING OUR INDUSTRY
In terms of value creation and maturity of solutions emerging from AI startups,the greatest potential in Germany lies in industrial applications. This can only be achieved with access to relevant company data, which 64% of AI startups stated needs to be improved.