Italy’s startup ecosystem is experiencing a significant surge in investment activity, with new data showing a record-breaking start to 2025. So far this year, startups across the country have raised a total of €655 million – already surpassing the full-year total of €623 million recorded in 2020.
That’s a 5% increase, and we’re not even into Q4.
This acceleration is spread across several verticals. The standout rounds of 2025 to date include a hefty €88 million raised by manufacturing firm PRIMA Industries, €70 million secured by cybersecurity-focused Exein, and €29 million by energy player Innovo Renewables.
Among sectors, HealthTech is leading the charge with €107 million raised already – on pace to match or surpass last year’s total of €216 million. FinTech is also performing strongly, pulling in €78.2 million so far and potentially on track to outpace the €123 million raised in 2024.
Meanwhile, the energy sector continues to play a crucial role in Italy’s tech story. With €67.3 million raised year-to-date, it is demonstrating both investor appetite and the country’s long-term commitment to the green transition. This builds on an impressive €135 million raised by EnergyTech startups in 2023. In parallel, the enterprise software segment is gaining real momentum – this year’s €77.4 million raised marks a doubling compared to €38.6 million in 2021, an indicator of Italy’s growing influence as a European tech hub.
Also contributing to this momentum is the Italian Founders Fund (IFF), which recently secured an additional €35 million from CDP Venture Capital’s Digital Transition Fund, lifting its assets under management to €90 million. IFF, launched in June 2024, has become a cornerstone of Italy’s early-stage ecosystem – having already invested in 14 Italian-founded startups operating across Italy, the UK, the US, and Singapore. According to partner Lorenzo Franzi, the expanded capital will allow IFF to support Founders across the full early-stage lifecycle and continue attracting top-tier international talent to build in Italy.
As funding rounds grow in size and frequency, global interest in Italy’s tech scene is mounting. Founders, investors and ecosystem builders are increasingly looking at Italy not just as a destination for ideas, but as a serious contender in Europe’s startup landscape.
Diyala D’Aveni, CEO of Vento, the early-stage VC, noted: “The remarkable data we’re seeing this year proves that Italy is a burgeoning hub of innovation. Italian tech isn’t just growing in isolation; it’s an integral part of a thriving and dynamic European tech ecosystem. […] We aim to inspire not only the next generation of Italian Founders but also the entire European tech community and beyond.”
Investor sentiment is shifting too. With the recent wave of innovation emerging across sectors – from green energy to AI-powered enterprise solutions – Italy is drawing increased attention from European and international VCs. That shift is not only driving up investment volumes but also helping Italian startups tap into deeper global networks.
This latest surge also underscores the importance of Italy’s growing support infrastructure for startups. From improved access to venture funding to a maturing pool of accelerators, co-working hubs and talent networks, the Italian tech scene looks to no longer operate in silos. There’s a clear push toward greater connectivity – both within the country and across Europe.
It’s worth noting that many of these themes will come under the spotlight at Italian Tech Week when the event returns to Turin from 1–3 October 2025.
Last year’s edition drew over 15,000 attendees and has featured speakers including Sam Altman, Peter Thiel, and Daniel Ek. This year’s lineup is set to feature figures such as Jeff Bezos, Kevin Scott, and Luciana Lixandru.
