EU announces grants for 100+ deep tech companies led by women

After its successful debut in 2021, the WomenTechEU has recently launched a second call to boost innovation in Europe's female-led deep tech industry with an increased budget of €10 million.

WomenTechEU, funded by The European Innovation Ecosystem program and Horizon Research, aims to address the underrepresentation of women in deep tech.

This year, 134 female-led deep tech companies across Europe have been selected to participate, following on from a successful pilot in 2021 which featured 50 start-ups.

The companies selected for this round will each receive a grant of 75,000 euros, and each female founder will also be offered a mentorship opportunity and coaching under the European Innovation Council's Women Leadership Programme, giving them open access to EU networking opportunities.

All the companies receiving funding operate in 16 different deep tech sectors ranging from medical drugs, sustainability, and consumer products such as skin care, to biotechnology and autonomous robotics.

The companies selected come from 25 different European countries with 14 per cent of the companies based in countries associated with Horizon Europe and 15 per cent from Horizon Europe widening countries.

Among the companies participating are Sweden-based Norbite, a biotech research firm that transforms plastic waste into sustainable goods, Netherland Based Agurotech which provides data and insights to farmers using AI resources, and Inobiostar, an energy company in Lithuania that has developed a wastepaper-based material for removing oil spills.

In a statement, the European Innovation Council says: "By combining innovative ideas, female entrepreneurship, and excellent research and development, this year's companies selected for WomenTechEU will contribute to enhancing the quality of life for the citizens of the EU and beyond."

It is no secret that women remain chronically underrepresented in the tech industry, and funding for start-ups is a difficult journey for many female-led companies. Research shows that 87 per cent of funding in 2022 went to male-only teams across Europe. The number has remained at a staggering 88 per cent or 89 per cent for the past five years.

Deep tech is particularly a more strenuous sector to access funding for, especially for women. According to reports, 15 per cent of deep tech start-ups are founded or co-founded by women in Europe. The deep tech industry contributes a quarter to Europe's start-up economy and was valued at a combined 700bn euros in 2021.

Yet women remain severely disadvantaged when it comes to starting a company and seeking funding. Venture capital lacks gender diversity across Europe with only 2 per cent going to female-led companies and around 5 per cent to mixed-gender teams. Last year, only 3 per cent of VC funding in deep tech went to female founders across European countries.

Female-led companies often have to prove themselves more than male-led companies, and when denied funding often rely on angel investors. Deep tech which is based on high-tech innovation is often more complex and requires longer R&D cycles than traditional start-ups, making it even harder for female-led start-ups to overcome. Without early investments and support, most could fail in their first year.

According to a McKinsey report conducted this year, the lack of women in the tech industry is a cause for concern economically. The report highlights that to remain in the folds of technological growth and innovation, Europe must retain and recruit more women in the foreseeable future.

This is currently the aim of the European Commission, which adamantly believes that giving women-led start-ups early funding and investment support will help bridge the gap and end the gender disparity in the tech industry.