More Than 10 European Startups Achieve Unicorn Status in 2025

Startup funding in Europe roared back to life in 2025, with a remarkable dozen companies breaking through the unicorn barrier in just the first half of the year. While investment mega-rounds aren't as prevalent as they were during the 2021 peak, appetite for innovation remains strong, particularly in sectors like artificial intelligence, biotech, defense technology, and quantum computing. This surge signals where both capital and entrepreneurial energy are flowing in the European ecosystem.

New European Unicorns of 2025

The roster of newly-minted unicorns captures a cross-section of emerging verticals, underscoring investor enthusiasm for both AI-driven applications and companies addressing major societal needs.

IQM (Finland – Quantum Computing)

IQM, a Finnish quantum computing company, caught global attention by raising over $300 million in a Series B round. With a total of $600 million raised, IQM has become the leading seller of quantum computers worldwide. Their 54-qubit chips are already powering research labs, universities, and enterprises, and a 150-qubit upgrade is on the horizon.

Framer (Netherlands – No-Code & AI)

Netherlands-based Framer, a platform for no-code website design and building, locked in a $2 billion valuation after a $100 million Series D round. The founders, who previously sold a design studio to Facebook, plan to expand their enterprise and AI offering, competing with global platforms like Figma and Wix.

Lovable (Sweden – AI "Vibe Coding")

Sweden's Lovable sets a new speed record—becoming a unicorn only eight months after launch, thanks to a $200 million Series A led by Accel. Although formally registered in Delaware, its core team and operations are based in Stockholm, reflecting the globalization of startup models.

Fuse Energy (UK – Renewable Energy)

Fuse Energy crossed the billion-dollar threshold just three years post-founding, following a funding round led by notable British investors. The company focuses on renewable energy solutions and was started by former Revolut executives.

Mubi (UK – Media & Streaming)

Film streaming platform Mubi joined the unicorn club after a $100 million round led by Sequoia Capital. Now, Mubi not only distributes but also produces independent films, aiming to carve out its niche as an indie rival to Netflix and Amazon.

Zama (France – Data Security)

Paris-based Zama, which specializes in homomorphic encryption for secure data processing, raised a $57 million Series B, pushing its valuation above the $1 billion mark. Their technology enables data to remain encrypted, even while being computed, promising heightened security standards.

Isar Aerospace (Germany – Space Technology)

Isar Aerospace, hailing from Munich's Technical University, strengthened Europe's sovereign launch capabilities through a €150 million (approx. $173 million) convertible bond, affirming unicorn status and highlighting space tech's growing relevance.

Tekever (Portugal – Defense Drones)

Portugal’s Tekever became a unicorn with a funding round confirming its £1 billion valuation. The company develops dual-use drones and plans to invest £400 million into the UK over five years, backed by international investors including NATO’s Innovation Fund.

Quantum Systems (Germany – Drones, AI, Defense)

German startup Quantum Systems reached unicorn status after raising €160 million in a Series C to escalate its work in autonomous drone systems and AI, with participation from major European defense names like Airbus and Porsche.

Parloa (Germany – Conversational AI)

Parloa, focusing on conversational AI for customer service, hit a $1 billion valuation in 2025 with a $120 million Series C. Its rapid funding trajectory underscores the momentum behind AI-powered workflow automation.

Isomorphic Labs (UK – AI-Driven Drug Discovery)

Isomorphic Labs, spun out from DeepMind in 2021, raised $600 million in early 2025 from top-tier global investors. While the precise valuation was not disclosed, the scale cements its unicorn status and signals growing interest in AI for healthcare and drug development.

Tines (Ireland – AI & Workflow Automation)

Dublin's Tines focuses on AI-driven workflow automation, particularly in security and IT operations, and became a unicorn after a $125 million Series C in February 2025, reaching a $1.125 billion valuation. The company reported over a billion automated actions weekly for clients worldwide.

Verdiva Bio (UK – Biotech/Health)

Launched in London less than a year ago, Verdiva Bio raised $410 million in Series A to fund oral GLP-1-based drugs, joining the unicorn ranks at record speed. These innovations target major chronic conditions like obesity and diabetes.

Neko Health (Sweden – Preventative Health Tech)

Co-founded by Spotify’s Daniel Ek, Neko Health raised $260 million at a $1.8 billion valuation. By focusing on full-body preventive health scans, Neko aims for early disease detection and is rapidly expanding beyond Stockholm and London into the US market.

Deep Founder Analysis

Why it matters

The concentration of new unicorns in Europe marks a pivotal shift, demonstrating that the region can now compete globally across a spectrum of advanced sectors. For founders, this highlights both the robustness of local venture ecosystems and a broadened investor appetite for deep tech, AI, and health innovation. Startups now have more credibility, stronger benchmarking, and can attract world-class talent globally, rather than just regionally.

Risks & opportunities

Despite the positive momentum, challenges remain. Late-stage valuations may be tested if public markets remain turbulent or interest rates stay high, making continued growth funding less certain. However, Europe's strengths—such as public R&D support, technical universities, and increasing pan-European VC collaboration—create new growth opportunities in fields where regulation and infrastructure hold back US and Asian competitors (such as privacy-centric AI or sovereign tech).

Startup idea or application

A promising direction could be a platform specializing in compliance-by-design tools for AI and biotech startups, helping them navigate Europe's complex regulatory terrain with automated workflows and embedded best practices. As more unicorns scale, demand for specialized "startup infrastructure" in HR, cross-border hiring, and data governance will increase. Consider building an API-driven toolkit enabling founders to seamlessly manage pan-European operations.

European Startups Unicorns AI Venture Funding Healthtech

Reference: For regulatory challenges facing startups, see our recent article: The Growing Debate Over Age Verification Laws.

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