EU launches second phase of tech champions fund, aiming to mobilise €80 billion for 1,500 startups
The European Investment Bank and 27 member states kicked off ICTE 2.0 in Brussels on Friday, seeking to raise €15 billion in capital and use public-private leverage to unlock up to €80 billion in total investment.
What was launched
European Union governments, institutional investors and the European Investment Bank (BEI) formally launched the second phase of the European Tech Champions Initiative (ICTE 2.0) on Friday in Brussels, on the sidelines of an ECOFIN meeting of EU finance ministers. The alliance aims to raise €15 billion, about four times the size of the first edition launched in 2023, and through leverage generate up to €80 billion for more than 1,500 highly innovative European technology companies.
The partnership launched today is all about scale and speed, providing European pioneers with the capital they need to grow.
Why it matters
The initiative is designed to close the funding gap European tech firms face when they try to scale up and compete with American or Asian groups. The BEI said the first phase already supported 15 mega-funds and helped create 12 European unicorns (companies valued at more than €1 billion each). ICTE 2.0 is expected to contribute to the creation of more than 100 investment funds, including up to 45 mega-funds capable of investing an average of €200 million in each company financed.
In Europe, we have gems in tech and artificial intelligence. We must believe in them and give them the means to scale up.
Who is involved
The BEI Group has committed to invest up to €1.25 billion in the fund. All 27 EU member states are potential backers, with Portugal already confirmed as a participant though its specific contribution has not yet been disclosed. Private investors that have already signed on include Danske Bank, AltamarCAM, Banco Santander, BBVA, Azimut Holding, Green Arrow Capital and the Fondazione Compagnia di San Paolo.
Portugal supports ETCI 2.0 as a practical initiative to deepen European capital markets, mobilise private investment and help innovative companies gain scale and compete in international markets.
How it will work
For the first time, the initiative will invest not only in European mega-funds but also in medium-sized growth funds larger than €300 million, and it will create a pan-European investment platform to facilitate private investors' access to the European technology market. The BEI described the move as a decisive step to ensure that innovative ideas, technologies and companies born in Europe can stay and thrive in Europe, rather than seeking financing outside the bloc.
- First ICTE edition launched; supports 15 mega-funds and 12 European unicorns
- ICTE 2.0 formally launched in Brussels at ECOFIN meeting; 27 member states and private investors announce support
- Raise €15 billion capital; mobilise up to €80 billion for 1,500+ European tech companies
What happens next
The launch in Brussels marks the formal start of fundraising and the operational build-out of the new platform. The BEI and participating governments expect additional private investors to join in the coming months as the alliance works toward its €15 billion capital-raising target.
