Luxembourg has rapidly emerged as a dynamic hub for startups, combining a supportive business environment with strong international connections. Last update: October 2025
Luxembourg has rapidly emerged as a dynamic hub for startups, combining a supportive business environment with strong international connections. The government has complemented its “From Seed to Scale” roadmap with a bold 10-point Action Plan to strengthen financing, create sector-specific incubators, expand internationalisation programmes, and launch new measures to attract talent and incentivise private investment.
Moreover, the country offers entrepreneurs a unique blend of advantages: easy access to the European market, a highly skilled workforce, tailored support programmes, and a vibrant community of innovators.
From fintech and space to healthtech, digital technologies, and sustainability, Luxembourg’s startups are active across a wide range of sectors, reflecting the diversity and resilience of its economy. With dedicated funding opportunities, public–private collaboration, and international investor interest, the startup ecosystem is scaling new heights and helping shape the industries of tomorrow.
This article explores the national startup and scaleup ecosystem and was conducted in October 2025, based on the Dealroom dataset of startups and scaleups active in Luxembourg and founded since 2005.
The startups and scaleups listed on the Dealroom database follow those criteria: rapidly scaling/scalable entities, maximum 20 years old, innovative by design and active in Luxembourg (headquarters, founding place, or a regular office).
To ensure comprehensive coverage, startups not yet listed on Dealroom are invited to create a profile and contribute to future ecosystem analyses (link to connect: Dashboard | Luxembourg Startup Ecosystem).
Please note: a delay in data collection can be observed for 2025.
As of October 2025, over 770+ startups are part of the Luxembourgish ecosystem, with 650+ of them being headquartered in Luxembourg.
The ecosystem continues to expand, with 57 new startups launched in 2024—notably, half of these are leveraging artificial intelligence, reflecting a strong trend towards digital innovation, especially in enterprise software, health platforms, and fintech. For more insights on AI startups and scaleups, refer to our Luxembourg AI startups and scaleups ecosystem analysis.
The 2025 data is still being collected, which may result in lower figures at this stage. Currently, 25 new startups have been tracked, and this number is expected to rise as additional registrations are processed, and data updates are completed.
Figure 1: Number of startups and scaleups in Luxembourg per creation year
Source of data: Dealroom
Luxembourg’s central location in Europe and its direct connections to neighbouring markets make it an ideal launchpad for international expansion.
As of October 2025, 220 startups and scaleups, representing 29% of the ecosystem, have established a presence beyond Luxembourg’s borders.
Luxembourg startups are globally connected, with strong ties across Europe, North America, and Asia, as illustrated in the chart below.
Most popular countries being: the United States, The United Kingdom, France, Germany and Belgium.
Figure 2: Startups and scaleups with international presence: breakdown by region
Source of data: Dealroom (a startup can be counted in several regions)
Fintech and enterprise software remain the most prominent sectors within Luxembourg’s startup ecosystem, highlighting the nation’s expertise in SaaS and B2B innovation. Health startups, including those in healthtech, pharmaceuticals, and biotech, are also very well represented.
The transportation sector, focused on mobility, logistics, and delivery solutions, ranks fourth in terms of active startups. The energy sector follows closely, with 54 companies mostly engaged in clean energy and efficiency.
Notably, the space sector is thriving, with over 50 startups and scaleups making Luxembourg a recognised player in the global space industry.
Looking at the growth of the leading sectors, energy has experienced remarkable expansion, growing by 116%, from 25 startups in 2020 to 54 active startups in 2025. Real estate, which includes the construction sector, has also seen substantial growth of 105%, increasing from 20 startups in 2020 to 41 today.
Curious about notable startups in major industries? Check our success stories below!
Figure 3: Number of startups and scaleups by top 10 industries
Source of data: Dealroom
Source of data: Dealroom
The Luxembourg startup ecosystem has steadily grown into a vibrant hub for innovation and investment. Since their creation, one in three startups (33%) have secured disclosed funding, bringing in a remarkable €7.8 billion across more than 980 funding rounds of all types.
If we zoom in on active startups headquartered in Luxembourg, the picture remains strong: 26% have attracted funding, showing the country’s ability to support home-grown ventures. These startups have raised €1.8 billion through more than 570 rounds.
Funding activity can be seen across both early and later stages:
This distribution demonstrates both the ecosystem’s capacity to nurture early-stage ventures and its growing ability to attract significant later-stage investment.
*Note: some of the largest rounds are raised by companies registered in Luxembourg but with most operations abroad, which can influence aggregate figures.
Funding split by stage
Looking at the graph of startups by funding stage, the breakdown is as follows:
Among startups with disclosed funding, the average amount raised is €8 million, while the median is €150,000. This wide range highlights both the presence of high-growth outliers and a solid base of companies securing early-stage capital.
Figure 4: Number of startups and scaleups by current total disclosed funding size and headquarter
Source of data: Dealroom
Funding ratios in key industries
When it comes to funding, the space sector stands out for its high proportion of funded startups: 64% of space companies have secured investment.
As seen in the graph hereunder, the health sector also shows a strong funding ratio, with 40% of startups having attracted investment.
By contrast, enterprise software and security (including cybersecurity) startups have a lower share of funded companies, with only 26% having raised funds. This may reflect differences in business models, capital requirements, or investor focus across sectors.
Figure 5: Top 10 industries: share of funded startups
Source of data: Dealroom (Only startups with positive disclosed funding are counted.
All ecosystem data, HQ and non-HQ in Luxembourg)
As of October 2025, startups active in Luxembourg, including both locally headquartered and international companies operating in the country, have raised a total of €468 million. This represents a 158% increase compared to the same period last year.
Although the number of funding rounds has declined, with 43 recorded so far in 2025 compared to 88 during the same timeframe in 2024, the average ticket size has grown significantly. This year, the average round reached €10.9 million, which is more than three times higher than last year’s average of €2.7 million.
Seed-stage funding remains the most common, with 16 out of the 43 rounds falling within the €1 to €4 million range.
Check publicly announced fundings of the ecosystem here: Funding rounds | Luxembourg Startup Ecosystem.
