European Startup and Scaleup Hubs pilot

Expected Outcome:

Projects under this topic will contribute to the following outcomes:

1. Accelerate market expansion for European deep tech startups across EU regions and beyond by fostering collaboration and mutual support among European deep tech startup ecosystem actors;
2. Interconnect top-tier tech startup and scaleup hubs embedded in research, technology and higher education ecosystems;
3. Enable cross-border access to infrastructures, facilities, corporates, investors and talents to deep tech startups and scaleups, including those funded by the European Innovation Council (EIC);
4. Enable more European deep tech startups, including women-led startups and scaleups, to succeed scaling into globally competitive companies;
5. Strengthen less-connected innovation hubs by integrating them into a Europe-wide collaborative network;
6. Boost private and public investment in deep tech ventures established within the participating innovation hubs.

Scope:

This action builds upon the EU’s strategic vision outlined in the EU Competitiveness Compass ^[1], the EIC scaling strategy^[2], and the EU Startup and Scaleup Strategy^[3]. It aligns with the objectives of strengthening Europe’s deep tech capabilities, increasing regional innovation cohesion and supporting the growth of globally competitive companies.

The EU must act decisively to close the innovation gap with other world regions by enabling more commercial successes based on its scientific excellence. While Europe generates world-class research, European deep tech startups often struggle to scale into global champions. The European Startup & Scaleup Hubs (ESSH) pilot will address this structural weakness by creating strong networks of European leading and emerging startup ecosystems that bring together research and higher education institutions, research and technology organisations, corporates, entrepreneurs and investors, while also encouraging these innovation hubs to expand their activities.

The action aims to pilot two networks of around 10-18 ESSHs — highly capable startup and scaleup hubs building on the research strength of leading higher education institutions and research and technology organisations, demonstrating strong track records in venture building, scaling, and investment attraction as well as providing networking opportunities and entrepreneurial education. These hubs shall collaborate across borders to:

• Better interconnect their innovation ecosystems to support the scaling of deep tech startups through better access to research, talents, corporates, capital, infrastructures, facilities and mentoring.
• Foster shared infrastructure and expertise, including access to labs, facilities, research departments, and innovation services in particular by enabling the organization of specialised visits amongst ESSHs and short term mobility of researchers, innovators and ESSH staff in the network, to access services from other ESSHs.
• Set up a highly selective acceleration programme for high performing startups (“European combinator”), also open to companies from non-EU countries. It would be based on a competitive selection process and provide structured development support over a few months to the most promising early-stage startups, including mentoring, networking opportunities and Demo Days where startups can pitch to a large audience of investors to secure funding.
• Provide networking opportunities through common startups and entrepreneurial dedicated events such as meet ups, pitch days, startup weekends, startup boot camps, hackathons etc.
• Support the development of both local and network-partner startups, including EIC-supported ventures, especially by directing them toward relevant services (Enterprise Europe Network (EEN), EU industry cluster organisations, European Digital Innovation Hubs (EDIH)^[4], Knowledge and Innovation Communities (KICs) of the European Institute of Innovation and technology (EIT)) and other EU, national, regional or local supporting instruments.
• Bridge regional gaps by integrating less-connected hubs into the network via mentoring, shared services, and capacity building.

Particular attention should be paid to enable deep tech spinoffs, startups and scaleups accessing resources, services and contacts not directly available in their local innovation hubs to facilitate the expansion of their operations in the single market.

The selected pilot ESSHs projects will boost Europe’s entrepreneurial and scaling capabilities by creating well interconnected innovation hubs, within which startup and scaleups - including EIC supported ventures and Seal of Excellence holders – will be able to thrive. The ESSHs projects will serve as role models for emerging innovation hubs in Europe and share best practices. The selected ESSHs projects should organise one of their yearly meetings at the margins of the EIC summit and will be invited to participate actively in the yearly EIC summit meeting.

The indicative project duration is two years.

Selection criteria for ESSHs should include:

• Substantial experience with startup creation, scaleup success, venture capital mobilisation, and entrepreneurial education.
• Presence of at least one local research and higher education institution or research and technology organisation, recognised for its research excellence in deep tech areas, acting as a catalyst in each hub represented in the consortium.
• Strong capabilities in deep tech areas with relevance for European strategic sectors such as, for example, artificial intelligence, quantum technologies, advanced semiconductors, medical technology, biotechnology, bioeconomy applications, cleantech and energy (including nuclear technology), water and blue tech, security, defence, space, robotics and advanced materials.
• Demonstrated ability to federate the relevant actors of the local innovation ecosystem (research and higher education institutions, research and technology organizations, corporates, capital providers, entrepreneurs and public authorities) and to develop the international interconnectivity of the ecosystem.
• Access to research and technology infrastructures, facilities, mentoring, incubators/accelerators, professional services (legal and regulatory advice, real estate, accounting etc.) and investment opportunities, and commitment to opening them to startups and scaleups from other hubs on equal conditions than those available to startups and scaleups from the same hub.
• Strong commitment and strategy on how to 1) link up the activities of the ESSHs closely with the activities of other Horizon Europe programme parts and2) support women-led startups and scaleups.

KPIs during pilot phase:

• Number of newly supported^[5] startups (i.e. from the beginning of the project) at network level by the end of the project (Target: Minimum 100).
• Percentage of newly supported startups (i.e. from the beginning of the project) that raised seed financing or venture capital outside of the startups’ local innovation ecosystem within 3 years of receiving support (Target: Minimum 20%).
• Number of startups (i.e. from the beginning of the project) newly supported by a hub outside of the startups’ local innovation ecosystem by the end of the project (Target: Minimum 50).

The ESSHs should facilitate access of deep tech spinoffs, startups and scaleups to all the relevant dedicated services, structures and funding opportunities available in Europe. This encompasses for instance the services offered by EEN and EDIH, activities supported by the EIT as well as opportunities offered by the EIC and the EIC Scaling Club initiative (EIC Scaling Club^[6]). For this purpose, the startup hubs are encouraged to liaise with experts from the EEN, EDIH, EIT, EIT KICs and the EIC. Cooperation could also be established with Regional Innovation Valleys^[7], Excellence Hubs^[8], Hubs for Circularity^[9], and Industry 5.0 System Innovation Hubs^[10]. ESSHs are also encouraged to leverage the EIC ecosystems programme and open up to EIC-supported ventures from outside their established partner network that would benefit their local ecosystems.

The action may be implemented through financial support to third parties or directly by the consortium partners to allow companies to best benefit from the services described above. For consortia opting for the financial support to third parties scheme, the monitoring of the support to third parties provided for each action, as well as the management of the financial support to third parties, will be ensured by the coordinator.

[1] Competitiveness compass - European Commission

[2] The term strategy refers to a set of actions launched under the EIC to support scaleups in particular the EIC STEP Scale Up scheme and the EIC Scaling club

[3] Choose Europe for your startup and scaleup - European Commission

[4] European Digital Innovation Hubs Network (europa.eu)

[5] ‘Support’ encompasses all the activities relevant to the development of startups such as provision of a service (advisory, legal or other), access to infrastructure, introduction to relevant business or investment leads, etc.

[6] Horizon Europe Grant Agreement n°101114582.

[7] Regional Innovation Valleys (europa.eu)

[8] Excellence Hubs - European Commission (europa.eu)

[9] Hubs4Circularity (h4c-community.eu)

[10] HORIZON-CL4-INDUSTRY-2025-01-HUMAN-65: Network of Industry 5.0 system innovation hubs in connected Regional Innovation Valleys (IA)

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