According to the latest Mapping Portugal’s Startup Landscape 2024 report, compiled by IDC, Informa D&B, and Startup Portugal, the number of startups in Portugal grew by 16% over the past year, bringing the total to 4,719. This growth highlights the country’s flourishing business environment and its appeal to entrepreneurs, particularly in the Information Technology (IT) and communication sectors.
According to The Portugal News, rhe surge in startups reflects Portugal's growing reputation as a fertile ground for innovation. Over the past five years, the number of startups has consistently increased, with a notable 16% growth from 2023 to 2024. This ongoing expansion underscores a supportive ecosystem that fosters new business creation. Portugal’s startup scene has grown significantly, particularly in the high-tech sectors, making it a standout player in the European landscape.
Startups in Portugal have an impressive economic impact. Collectively, they generated €2.6 billion in revenue in 2024, with €1.5 billion coming from exports. This performance is notably higher than the average for the broader Portuguese business landscape. More than 26,000 jobs have been created within this sector, contributing significantly to the country's economy. Notably, a third of these startups are export-oriented, which is three times the rate of the overall business fabric in Portugal.
The tech sector remains the dominant driver of Portugal's startup ecosystem, with 63% of all startups falling under Information and Communication Technology (ICT). High-tech services account for the largest share of revenues, employment, and exports within this category. These companies, which are often micro-enterprises with fewer than 10 employees, represent a dynamic and fast-growing part of the economy.
One of the standout characteristics of Portuguese startups is their international orientation. A full third of these companies are engaged in international markets, with exports accounting for 58% of their total revenue. This strong export performance is significantly higher than the national average, where only 11% of companies are exporters. The export focus of Portuguese startups plays a pivotal role in their growth and global competitiveness.
Portugal’s strategic location, favorable economic conditions, and access to EU funding have further solidified its position as an attractive destination for tech entrepreneurs looking to scale their businesses beyond national borders.
Furthermore, Portugal’s commitment to creating a favorable environment for tech innovation is evident through various government initiatives, including tax incentives and support for startups in areas like R&D and sustainable technology. This focus on innovation has helped attract international investors, ensuring that Portugal remains at the forefront of Europe’s startup scene.
