Why Austria remains attractive for startups – and what role ViennaUP plays

With strong financing rounds in 2026, growing internationalisation and a clear focus on technology, Austria’s startup ecosystem is developing dynamically. From 18 to 22 May, ViennaUP will bring together international startups, investors, and partners.

Austria’s startup scene remains a strong driver of innovation for the location, even in a challenging economic environment. As the Austrian Startup Monitor 2025Austrian Startup Monitor 2025 () shows, Austrian startups are increasingly operating on a global scale: the average share of revenues generated abroad rose to 42%, the highest level since the ASM surveys began. In addition, 82 per cent of startups say they are planning or preparing to expand into new international markets over the next twelve months.

Academic spinoffs already account for 23% of startups. This shows that research and entrepreneurship are becoming increasingly closely linked in Austria, with scientific excellence increasingly being translated into marketable business models. Another key finding of the Austrian Startup Monitor 2025 is that 75% of startups are technology-oriented overall. 71% of Austrian startups develop key technologies, including AI, data innovation, life sciences, biotech, and energy and environmental technologies.

Strong financing rounds in early 2026

Austria has started 2026 with remarkable momentum: high investment volumes, successful exits and targeted funding programmes underline the location’s growing appeal for startups and scaleups. The latest figures send a clear message: around €250 million was invested in Austrian startups in the first quarter alone. Several financing rounds in the double-digit million range show that Austrian startups and scaleups are also internationally competitive.

The largest financing rounds in 2026 include: 

• Gropyus: €100 million for the German-Austrian proptech sector  

• Aviloo:Aviloo: () €30 million for the battery diagnostics startup  

• Enpulsion:Enpulsion: () €22.5 million for the spacetech scaleup  

• nyra healthnyra health (): €20 million for the healthtech startup

• FlinnFlinn (): around €17 million for the medtech company  

• VitrealabVitrealab (): around €9.4 million for the AR deeptech startup   

Alongside investments, successful exits also demonstrate the maturity of the Austrian ecosystem. For example, the Upper Austrian pettech scaleup TractiveTractive () was acquired by Italian tech company Bending SpoonsBending Spoons () for a high three-digit million amount – one of the largest exits Austria has seen to date. Tractive now joins companies such as WeTransfer, Vimeo and Eventbrite in Bending Spoons’ portfolio. 

ViennaUP 2026 brings the international startup community together

The highlight of Austria’s startup year will take place in Vienna from 18 to 22 May 2026: ViennaUPViennaUP (). Now in its sixth edition, the festival brings together startups, investors, corporates and talent from all over the world. In 2025, more than 25 international delegations and around 15,000 participants from 95 countries travelled to Vienna for the festival, from Canada to Australia

The Austrian Business AgencyAustrian Business Agency () (ABA) will once again have a strong presence at ViennaUP in 2026, advising international founders and startups on market entry in Austria at several events across the decentralised festival. 

At Connect Day 26Connect Day 26 () on 19 May, ABA will be represented on stage at the Corporate Reverse Pitches and the MedTech & Life Science Panel & Q&A. At its stand, the team will provide guidance on the legal framework, funding opportunities and skilled-worker recruitment, and will connect participants with research organisations and companies.

For founders and startups from Central and South-Eastern European countries, “Market Access for CEE/SEEMarket Access for CEE/SEE ()” on 18 May and The Recursive CEE ForumThe Recursive CEE Forum () on 20 May offer a good opportunity to learn more about the advantages of Austria as an innovation location, the startup ecosystem in Vienna and Austria, and ABA’s services. 

The Onco:Innovate Europe Conference 2026 Onco:Innovate Europe Conference 2026 (), in turn, will bring together leading figures from medicine, healthcare, research, startups and industry in Vienna on 21 May.

Research funding and startup challenges

A key factor in the location’s success is targeted support through public and private initiatives. In 2025, the Austrian Research Promotion AgencyAustrian Research Promotion Agency () (FFG) provided around €93 million for startups, spinoffs and scaleups, enabling innovation projects with a total volume of €145 million.

The extent to which the energy and agility of young companies are valued in Austria is also clear from initiatives such as startup challenges run by industrial companies and programmes offered by the Climate Lab.Climate Lab. () In future-focused fields such as energy, industry and climate action in particular, they are driving the development of market-ready solutions.

At Energie AG’sEnergie AG’s () “Startup Innovation ChallengeStartup Innovation Challenge ()”, for example, international startups presented intelligent AI solutions designed to contribute to climate neutrality. One of the winners is the Styrian startup ESG Solutions & Consulting GmbH, whose AI-powered solution automates site searches for wind and solar projects

Support for deep tech startups

Another challenge has been launched by semiconductor company InfineonInfineon (): it is looking for deep tech startups that want to contribute to the development of intelligent humanoid robotics solutions using edge AI and various sensor systems. Applications for the Infineon Startup Challenge remain open until 27 Mayuntil 27 May ().

The Hermann Hauser Frontier LabHermann Hauser Frontier Lab () is also aimed at deep tech founders. The one-week intensive programme will be held in Graz from 28 September to 2 October 2026 and aims to translate science-based innovations into marketable companies. Founders will benefit from international mentoring, practical sessions on fundraising and market access, and direct access to investors and a strong European deep tech network. Deep tech startups can apply for the programme apply for the programme () until 15 July 2026.

More information for starting a business in Austria is available here