Vienna Startup Hub: Growth for Investors and Founders

Data from the Austrian Startup Monitor indicates that over 2,200 startups have been established in Austria since 2008. These new businesses, particularly those in the technology sector, are experiencing growth at a rate of 12% annually, a pace considerably higher than the 3% growth observed in more traditional companies.

Vienna serves as the hub for approximately half of Austria’s startups and benefits from a robust network of venture capital firms, corporate investors, and university funding sources. Prominent VC companies operating within the region include 3TS Capital Partners, Hansmen Group, i5invest, next.march, primeCROWD, Speedinvest, Calm/Storm, Apex, AWS Gründerfonds, Capital300, and Venionaire Capital, among others.

The strength of the local entrepreneurial environment is further enhanced by various support programs, such as the Social Impact Awards, Vienna Startup Awards, Design Week, Climate KIC Stage, Innovation Incubation Center, and INiTS Accelerator. The Pioneers Festival played a significant role in nurturing the ecosystem for several years, expanding from a simple TechCrunch meetup following encouragement from a TechCrunch editor-at-large. However, the festival ceased operations last year after its acquisition by a local accelerator led to a decline in momentum. This may have been fortuitous, considering the challenges presented by this year’s pandemic.

The Austrian government also actively supports startups, having launched a comprehensive program in 2016 designed to increase the country’s appeal as a location for new business ventures.

Successful exits from the Austrian startup scene include Runtastic, a fitness application developer acquired by Adidas for $240 million in 2015, and Shpock, a listings marketplace purchased by Norwegian media group Schibsted in the same year. Other Vienna-based startups of note are mySugr, wikifolio, kompany, and Codeship. Notably, Bitpanda, a platform for crypto assets, secured $52 million in Series A funding this year through Valar Ventures, a venture capital firm with backing from Peter Thiel.

Despite overall progress, some concerns have emerged. A 2019 report by the Austrian Private Equity and Venture Capital Organization revealed that investment in Austrian startups decreased by 8.2% from €237.6 million in 2018 to €218 million in 2019. The number of deals exceeding €500,000 also experienced a reduction of 8.7%. Furthermore, foreign investment slowed down in 2019 following a period of growth—between 40% and 63% of deals ranging from €0.25 to €1.99 million had substantial funding from international investors in 2018.

However, local investors have begun to compensate for this decline, increasing the number of funding rounds exceeding €5 million to 12 in 2019, up from 11 in 2018. In both years, nearly all of these deals received significant funding contributions from foreign investors.

Further growth is anticipated from Vienna’s technology sector in the future. The Pioneers Festival (now defunct) demonstrated Vienna’s unique position as a connection point between Western European capital and entrepreneurial spirit, and the talent and entrepreneurs of Eastern Europe, a benefit that is expected to continue. However, the loss of this major conference, combined with the current pandemic, could potentially have a moderating effect on growth over the next few years, similar to the impact of Web Summit’s departure on Lisbon this year.

Notable Vienna startups:

Newsadoo: Employs artificial intelligence to deliver a personalized news experience.
Cashpresso: Connects consumers, retailers, and financial institutions to provide flexible financing solutions.
Jobrocker: An online platform designed to match job seekers’ qualifications with available employment opportunities.
Storyblok: A headless content management system offering enhanced flexibility and control.
Byrd: A first-mile shipping service simplifying the logistics process for customers.
Music Traveler: A marketplace connecting individuals with spaces equipped with musical instruments and equipment.
PAYUCA: Facilitates convenient access to parking spaces in private office and residential buildings.
Refurbed: A rapidly expanding marketplace specializing in refurbished electronics throughout the German-speaking region.
Presono: A web-based platform for the creation, management, and presentation of company materials.
Blockpit: Develops software solutions for tracking cryptocurrency portfolios, calculating taxes, and ensuring regulatory compliance.
Robo Wunderkind: A robotic construction and programming kit designed for children.
Medicus: Transforms complex health data into easily understandable visual representations.
Cybershoes: A VR accessory enabling users to physically walk within their favorite virtual reality games.

Here’s who we interviewed:

Eva Arh, principal, Capital 300
Andreas Nemeth, partner, UNIQA Ventures GmbH
Laurenz Simbruner, partner, PUSH Ventures
Oliver Holle, partner and founder, Speedinvest
Michael Ströck, partner, Calm/Storm Ventures
Peter Lasinger, partner, Capital 300
Christoph Kanneberger, partner, APEX Ventures
Philipp Thurn und Taxis, partner, CNB Capital
Markus Wanko, partner, IST cube

Eva Arh, principal, Capital 300

What investment trends currently excite you the most?
We are particularly interested in B2B software, robotics, no/low-code automation technologies, AI-powered solutions tailored to specific industries, digital health innovations, and companies that facilitate remote talent acquisition and engagement.

What is your firm’s most recent and compelling investment?
Our latest investment is in Lokalise.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
We are seeking companies that further streamline and automate billing processes, potentially through API integrations. Next-generation video conferencing solutions, support for women navigating menopause, services assisting companies in providing mental health resources to distributed teams, and advancements in cloud kitchen concepts beyond centralized operations are all areas of interest.

What qualities do you prioritize when considering a new investment?
We consistently seek ambitious, intelligent, and dedicated teams with a clear vision for establishing themselves as leaders in a substantial market.

Are there any product or service categories that raise concerns for you?
We are cautious about solutions that utilize behavioral data to manipulate individuals for profit optimization, the proliferation of sales and marketing technologies, and the abundance of chatbot providers. Competing with established players benefiting from significant network effects, such as food delivery services, also presents a challenge.

What is your firm’s geographic investment focus?
We primarily concentrate on the German-speaking region and Central and Eastern Europe, but will opportunistically consider investments outside of this area within Europe.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
Austria demonstrates strength in the biotech sector. In Central and Eastern Europe, the region’s robust IT outsourcing capabilities position it well for developing solutions in business process automation and developer tools. We are enthusiastic about Storyblok (a portfolio company), as well as Anyline, Adverity, Bitpanda, PlanRadar, and Refurbed.

How should investors from other cities view the investment landscape and opportunities in your city?
Vienna is witnessing the emergence of a first generation of entrepreneurs building globally-focused companies. Their experience and the expertise of their teams will be invaluable in fostering a new wave of technology companies capable of competing on a global scale.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
Yes, we are already observing this trend, with promising companies emerging from smaller cities in Poland, Germany, and elsewhere, alongside the rise of remote work arrangements.

Which investment segments appear weaker or more vulnerable to changes in consumer and business behavior due to COVID-19? What opportunities might startups capitalize on during these unprecedented times?
Telemedicine and online education have experienced accelerated growth. We are witnessing a shift that would have otherwise taken years, particularly in the traditionally conservative German-speaking region. Mental health solutions and remote hiring/employment services represent additional opportunities highlighted by the pandemic. Companies heavily reliant on small businesses, local merchants, or those forced to close during the pandemic are particularly sensitive to cost pressures and may discontinue non-essential services.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
We have consistently maintained a selective and focused investment strategy, partnering with three to four companies annually. We continue at the same pace. We are helping our portfolio companies secure sufficient runway and discussing how the current situation impacts their offerings and go-to-market strategies. Some companies may need to re-evaluate their value propositions or target audiences to adapt to slower sales cycles or capitalize on new opportunities.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Yes, Lokalise is experiencing substantial growth as its customer base expands into new markets, potentially offsetting slower revenue growth in existing markets. Nethone (fraud prevention) is also benefiting from the surge in e-commerce, as online fraud and transactions increase with greater online activity.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
It is encouraging to see founders navigating the current situation with resilience and proactive problem-solving, particularly in countries with limited government support. Personally, I am pleased to see individuals using remote work time to prioritize healthier habits.

Are there any additional thoughts you’d like to share with TechCrunch readers?
As the world becomes increasingly digital and location becomes less critical, there is an opportunity to distribute value and wealth more equitably—whether through companies founded in non-traditional tech hubs or through remote talent acquisition.

Andreas Nemeth, partner, UNIQA Ventures GmbH

What investment trends currently excite you the most?
We are focused on investments in insurtech, fintech, and digital health at the late seed and early-growth stages.

What is your firm’s most recent and compelling investment?
Our latest investment is in Omnius.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
Bsurance represents an area we would like to see further development in.

What qualities do you prioritize when considering a new investment?
We look for insurtech companies with revenues exceeding $5 million ARR.

Are there any product or service categories that raise concerns for you?
The fintech payment and factoring sectors appear crowded. We are wary of solutions that leverage behavioral data to influence people for the sake of optimizing profit, and the overload of sales and marketing tech and chatbot providers.

What is your firm’s geographic investment focus?
We focus on less than 50% of our investments locally, approximately 25%-30%.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
Vienna is a strong hub for health tech startups. We admire Eversports and mySugr.

How should investors from other cities view the investment landscape and opportunities in your city?
Vienna is still catching up to other startup hubs, but has cultivated a vibrant startup community of companies that are typically built to be global from the outset.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
London has demonstrated resilience despite Brexit and COVID, and appears to remain strong. We expect the major hubs (London, Berlin, Paris) to benefit, while peripheral areas may struggle.

Which investment segments appear weaker or more vulnerable to changes in consumer and business behavior due to COVID-19? What opportunities might startups capitalize on during these unprecedented times?
We view insurtech and digital health (especially telemedicine) as benefiting from the current situation, while fintech is more mixed. Lending appears particularly vulnerable.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
We advise portfolio companies to extend their runway to 24 months. The biggest risk is a potential negative shift in investor sentiment, but we do not anticipate that in the near term.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Omnius, in digital claims, is experiencing strong momentum as the insurance industry moves toward digitization. Eversports, a fitness booking platform, benefited from the trend toward online fitness and video training sessions.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
The recent IPO of Lemonade and significant funding rounds in June and July have been encouraging.

Are there any additional thoughts you’d like to share with TechCrunch readers?
We believe that insurtech and digital health are the most promising verticals in the European VC landscape.

Laurenz Simbruner, partner, PUSH Ventures

What investment trends currently excite you the most?
We are enthusiastic about the digitalization of health-related products and processes, and solutions addressing the climate crisis, though we are also optimistic about other areas.

What is your firm’s most recent and compelling investment?
We are finalizing an investment in a very exciting consumer tech company this week!

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
Developing viable business models for climate crisis solutions remains a challenge.

What qualities do you prioritize when considering a new investment?
We prioritize solving meaningful problems.

Are there any product or service categories that raise concerns for you?
We are seeing too many companion apps in health that rely solely on manual logging features.

What is your firm’s geographic investment focus?
Currently, our preferred investment locations are Austria and Germany.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
It’s difficult to pinpoint specific industries, but we are impressed by TTTech for autonomous driving, Bitpanda for the crypto world, PlanRadar for construction tech, Mimo for edutech, and MOSTLY AI for synthetic data.

How should investors from other cities view the investment landscape and opportunities in your city?
It is relatively easy to connect with active investors in Vienna and Austria, especially for later-stage (Series A and beyond) funding. Monitoring seed-funded companies early on is also beneficial.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
I believe remote work will become a new standard, combined with occasional in-person meetings with key team members or partners.

Which investment segments appear weaker or more vulnerable to changes in consumer and business behavior due to COVID-19? What opportunities might startups capitalize on during these unprecedented times?
B2C technologies have become more attractive since COVID-19, and e-commerce has become an even more obvious opportunity. Solutions that deliver cost savings (pain killers versus vitamins) will be successful during economic downturns. Offline events and traditional tourism have been significantly impacted and may undergo permanent changes, also influenced by climate change concerns. Fewer flights are likely.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
It took time to adapt to the new normal and understand the changing landscape. We remain actively sourcing and screening deals, with a greater focus on our home markets and topics, becoming even more selective and maintaining reserves for follow-on investments.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Yes! Zizoo.com, the leading holiday boat rental marketplace, has thrived by focusing on domestic travel. Renting a boat with family or friends and driving to the marina is a perfect quarantine activity!

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
Investing in technology companies can create significant value, and the pandemic has accelerated this trend in recent months. The adaptability of founders has also been inspiring.

Are there any additional thoughts you’d like to share with TechCrunch readers?
Don’t be a cloud on a sunny day!

Oliver Holle, partner and founder, Speedinvest

What investment trends currently excite you the most?
While Speedinvest is a generalist fund, we are particularly interested in financial services, marketplace models, industrial tech, digital health, and deep tech. Personally, I am currently focused on deep tech, where European founders are delivering world-class innovative technologies and research, particularly in enterprise AI, cybersecurity software, DLT, and quantum computing.

What is your firm’s most recent and compelling investment?
In Vienna, that is likely Bitpanda. The team built around the three co-founders, Eric, Paul, and Christian, is spearheading the neobroker movement.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
This might be a conventional answer for a venture capitalist, but the three most important areas to consider when investing in a new company at seed stage are team, team, and team. This is always the case, but is especially important during uncertain times.

What qualities do you prioritize when considering a new investment?
When we invest in a company, there is usually little to no commercial traction, which is why we focus on the founders. Do they have a deep understanding of their industry? Do their skills complement each other? Can they build on previous entrepreneurial experience?

Are there any product or service categories that raise concerns for you?
I believe that the current market environment will lead to a situation where true problem solvers will continue to thrive, even during a crisis. There is always space for businesses that are tackling a new problem or an old problem in a new way. Businesses without such a clear use case will find it harder, regardless of how advanced or innovative their technology.

What is your firm’s geographic investment focus?
Vienna is where our journey began and where we still have our headquarters. However, we are now a truly Pan-European fund, investing across the continent and maintaining offices in Munich, Berlin, London, Paris, and San Francisco.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
Vienna has historically been a hub for biotech companies. While we focus solely on software, we have seen several remarkable success stories in the life sciences industry.

Bitpanda, TourRadar, Bitmovin, Adverity, and PlanRadar are likely the most advanced software startups in Austria. Several companies in Series A/B stage are also growing quickly, including Refurbed, GoStudent, Anyline, and MOSTLY AI.

How should investors from other cities view the investment landscape and opportunities in your city?
Vienna is far from the largest or most mature startup ecosystem in Europe. However, developments over the past few years have been extremely promising. When we started our first fund in 2011, the Austrian startup ecosystem consisted of a handful of people. That has changed drastically: All major Austrian universities now run dedicated entrepreneurship programs, and the ecosystem has seen several multi-hundred-million Euro exits.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
Speedinvest already looks at companies from all over Europe, beyond the main hubs of London, Berlin, or Paris. While those cities are clearly the most mature ecosystems, they are also the most competitive marketplaces. We’ve invested in 170 companies from more than 20 countries, both because we see outstanding tech talent and highly ambitious entrepreneurs from cities across the continent, and also because these smaller hubs tend to be less competitive.

Which investment segments appear weaker or more vulnerable to changes in consumer and business behavior due to COVID-19? What opportunities might startups capitalize on during these unprecedented times?
COVID-19 has had markedly different effects on different sectors. Hospitality and travel have been severely impacted, but we’ve seen significant growth and investor attention in other areas, such as remote work, digital education, and e-health. Investors are now more risk-averse, so founders will be expected to explain how they’ll adapt and react to potential scenarios.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
Our founders are typically focused on building their product for the first 12 to 18 months after investment, so we haven’t needed to significantly adapt our strategy. The biggest concerns are fairly clear: A business’ current runway and the fundraising environment when they approach the end of their runway. We are supporting founders to ensure they have at least 12 months of runway.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Several companies have benefited from the crisis because their service offering fulfilled a particular need during the lockdown. For example, our edtech portfolio company GoStudent grew significantly while schools were closed, and Bitpanda has also seen a surge in activity.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
The resilience of our founders during challenging times has been inspiring. Founders in the travel or hospitality industry, who were significantly impacted, demonstrated a strong commitment to saving their companies and supporting their employees.

Are there any additional thoughts you’d like to share with TechCrunch readers?
As the world becomes more digital, there is an opportunity to distribute created value and wealth more evenly—whether through companies founded in non-traditional tech hubs or through remote talent acquisition.

Michael Ströck, partner, Calm/Storm Ventures

What investment trends currently excite you the most?
At Calm/Storm, we are incredibly excited about digital health tech startups. We believe this space will become increasingly digitalized in the coming years, as it has lacked digital development until now. Furthermore, we believe in purpose-driven founders, who are often found in this space as they try to solve a specific and impactful problem.

What is your firm’s most recent and compelling investment?
We have many exciting investments! One of our latest is Biloba, a real-time doctor-patient messaging app.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
Tech has really transformed our lives, and at some point people started to realize areas where it was lacking. Women’s health (or femtech) is one of those areas. Many long-established issues for women have not been openly discussed, and digitalization enables a more anonymous approach to these topics, fostering innovation.

What qualities do you prioritize when considering a new investment?
In the early stages of a startup, KPIs are rarely predictive of future success. Therefore, we believe the most important ingredient is the team. Founder-market fit is a way to assess how one team may be better suited to a particular opportunity than another.

Are there any product or service categories that raise concerns for you?
We have seen a global trend of temperature-measuring devices during COVID-19. Many startups adapted their technology to reposition themselves, as body temperature correlates with mortality in COVID patients. While there is potential in this technology, the market currently appears crowded and not yet ripe for disruption.

What is your firm’s geographic investment focus?
We are keen to support the local ecosystem (Austria) but are also open to high-quality startups elsewhere in Europe and the U.S. In our portfolio, we have invested in only two companies from Austria out of a total of 12.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
We are excited about industries that have not been digitalized yet, startups that serve a bigger purpose, and founder teams that are diverse. From our portfolio, we are bullish on digital health.

How should investors from other cities view the investment landscape and opportunities in your city?
The ecosystem is growing, and we have a strong supply of high-quality founders, but the market is relatively small, so many migrate to Germany or other startup hubs in Europe early on. However, it is still worth monitoring.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
We expect more innovation and more startups to result from the pandemic. Remote work may encourage startups from non-hubs, but ultimately, the ecosystem will likely drive where people feel most entrepreneurial.

Which investment segments appear weaker or more vulnerable to changes in consumer and business behavior due to COVID-19? What opportunities might startups capitalize on during these unprecedented times?
Digital health was always important to us, but the current pandemic emphasizes the need for digitalization in that space even more. People are more aware of the importance of structuring the healthcare system efficiently and serving a growing need. This will accelerate innovation in that field. On the other hand, the travel industry is heavily impacted by COVID-19, creating opportunities for startups to innovate.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
Our fund launched during the pandemic, and we have been one of the most active VC investors in the region, investing in 12 companies over just four months. The biggest concerns of our founders are the economic crisis and confusion caused by the virus, evaluating new business segments, and navigating slower deal closures. We advise startups to extend their runway as much as possible and focus on their core business.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Many of our portfolio companies are in the digital health tech space and have experienced strong momentum during the pandemic. Doctorly, for example, raised $5.6 million in a seed round, demonstrating investor confidence.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
The launch of our online academy has been inspiring. As part of our commitment to our portfolio startups, we organize online sessions and physical events where our network of experienced entrepreneurs meet with our portfolio founders.

Are there any additional thoughts you’d like to share with TechCrunch readers?
“The things which hurt,” Benjamin Franklin wrote, “instruct.” Whatever the challenge, there is always a way to turn it into an opportunity to achieve your ambition.

Peter Lasinger, partner, Capital 300

What investment trends currently excite you the most?
We are particularly interested in health tech, developer tools, no/low-code, cybersecurity, AR/VR-enabling software, and automation in factories and logistics.

What is your firm’s most recent and compelling investment?
Our latest investment is in Kaia Health.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
We would like to see more female-founded startups. Some countries in CEE are still overlooked (e.g., Latvia, Slovenia, Bulgaria, Czech Republic). Services to enable/support API/SaaS-based businesses and robotic process automation for the masses are also areas of interest.

What qualities do you prioritize when considering a new investment?
We look for outstanding teams with complementary skill sets and a strong commitment to becoming global category leaders.

Are there any product or service categories that raise concerns for you?
Travel tech is currently a difficult market. Micromobility and neobanks with many well-funded competitors are also challenging. Business models based on affiliate or advertisement revenues are a concern.

What is your firm’s geographic investment focus?
We primarily focus on Germany, Switzerland, Austria, and CEE. We invest less than 15% of our capital in Austria.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
There is a lot of talent and activity around Zurich and Munich, as well as AI/ML and data science talent in Poland and Romania. We are excited about Storyblok, PicsArt, Authenteq, Kaia, DeepCode, Assaia, Nethone, FireStart, and Darmstadt Graphics Group.

How should investors from other cities view the investment landscape and opportunities in your city?
Vienna has a limited number of international VC players actively seeking opportunities. There is an increase in opportunities with the first Decacorn (Dynatrace), Unicorn (Tricentis), and several interesting teams (e.g., Anyline, MOSTLY AI, Zerolens, Storyblok, Tractive, Bitpanda).

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
Founders will likely continue to come from cities with strong ecosystem network effects and strong industry-specific or academic excellence. Remote work offers teams better access to talent, but teams will likely still be concentrated in major hubs.

Which investment segments appear weaker or more vulnerable to changes in consumer and business behavior due to COVID-19? What opportunities might startups capitalize on during these unprecedented times?
Startups in the travel industry are most exposed. Opportunities for startups include customers (B2B and B2C) becoming more open to digital processes, enabling faster international sales.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
Our strategy has shifted slightly in terms of how to get to know founders remotely. We prioritize social referencing and non-business conversations. The biggest concerns of our founders are potential customer churn due to cost-cutting. We advise startups to manage cash flow carefully and take advantage of remote talent acquisition.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
B2C startups have experienced higher organic growth. Digital health has seen a strong uptake, and regulators have accelerated approvals for digital health solutions.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
Seeing ambitious founders navigate the current situation with resilience and determination is inspiring. The pandemic has not been a showstopper for amazing teams, and they often grow even stronger in challenging environments.

Are there any additional thoughts you’d like to share with TechCrunch readers?
Brilliant teams with a clear mission can leverage technology, especially during times of uncertainty and change. It is the right time to start a business and drive innovation.

Christoph Kanneberger, partner, APEX Ventures

What investment trends currently excite you the most?
We are interested in novel technology across all sectors.

What is your firm’s most recent and compelling investment?
Our latest investment is in DeepSpin.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
We would like to see more technology-driven business models within the fintech space.

What qualities do you prioritize when considering a new investment?
We prioritize strong intellectual property.

Are there any product or service categories that raise concerns for you?
3D printing and DeFi services that lack a clear need are areas we are cautious about.

What is your firm’s geographic investment focus?
We focus less on our local ecosystem.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
Medtech is a significant industry in Austria. We admire ImageBiopsy Lab and Contextflow.

How should investors from other cities view the investment landscape and opportunities in your city?
Vienna is comparable to a strong “niche player.”

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
No.

What are the biggest worries of the founders in your portfolio?
The primary concern is that market sentiment is worsening, investors are pausing investments, and they may not be able to secure their next funding round.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Rarely.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
Seeing strong teams persevere is encouraging.

Are there any additional thoughts you’d like to share with TechCrunch readers?
Tough times lie ahead, but we will overcome them.

Philipp Thurn und Taxis, partner, CNB Capital

What investment trends currently excite you the most?
We are most excited about artificial intelligence.

What is your firm’s most recent and compelling investment?
Our latest investment is in Hydrogrid.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
We would like to see more European deep tech engineering.

What qualities do you prioritize when considering a new investment?
We prioritize strong intellectual property.

Are there any product or service categories that raise concerns for you?
Mobility platforms are an area of concern.

What is your firm’s geographic investment focus?
We invest less than 10% locally.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
Medtech, pharma, and biotech are well-positioned.

How should investors from other cities view the investment landscape and opportunities in your city?
Vienna is a positive environment for building a company, but it is a second-tier market.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
No.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Yes, about 20% of our companies have seen positive indicators.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
2020 is coming to an end!

Are there any additional thoughts you’d like to share with TechCrunch readers?
A crisis is always an opportunity, and it brings back missing discipline in due diligence.

Markus Wanko, partner, IST cube

What investment trends currently excite you the most?
We are excited by breakthroughs that occur at the intersection of different scientific disciplines.

What is your firm’s most recent and compelling investment?
All of our investments are exciting, but our latest is G.ST Antivirals, a simple idea to trick cells into reducing viral replication.

Are there any emerging startup areas you’d like to see more of, or overlooked opportunities in the market?
We would like to see more startups led by serial scientific entrepreneurs.

What qualities do you prioritize when considering a new investment?
We prioritize solid science, breakthrough technology, and an inspiring team.

Are there any product or service categories that raise concerns for you?
COVID-19-related solutions are currently oversaturated.

What is your firm’s geographic investment focus?
We invest a quarter of our fund internationally, with the majority remaining within our ecosystem.

Which industries in your city and region appear best positioned for long-term success? Which companies or founders are you particularly impressed by?
Life sciences and science in general (quantum, photonics, materials) are well-positioned.

How should investors from other cities view the investment landscape and opportunities in your city?
We have a strong scientific base and an underdeveloped venture landscape, particularly at the seed and Series A/B stages.

Do you anticipate an increase in founders originating from locations outside major cities in the coming years, driven by remote work and pandemic-related shifts?
Not really. Our founders come from scientific institutions and would need to relocate, which is unlikely to result in a significant surge.

How has COVID-19 influenced your investment approach? What are the primary concerns of the founders in your portfolio? What guidance are you providing to startups in your portfolio?
We have not changed our strategy. Our founders’ primary concerns are potential funding shortages. We advise them to extend their runway and continue to focus on their core business.

Are you observing positive indicators of revenue growth, customer retention, or other momentum within your portfolio companies as they adapt to the pandemic?
Yes. AI-based supply chain optimization, AI for lung radiology, antivirals, and synthetic DNA have all benefited from the pandemic.

What recent event has inspired optimism? This could be professional, personal, or a combination of both.
The dedication of our founders and increased LP interest have been inspiring.

Are there any additional thoughts you’d like to share with TechCrunch readers?
Vienna is the best place to live in the world. We have great scientific institutions and generous non-dilutive funding for startups, making it a worthwhile place to consider.