Berlin is considered the second top technology hub in Europe, coming after London and followed by Paris, Amsterdam, Stockholm and Dublin. This is due to several factors, including its vibrant startup scene, access to skilled talent, supportive government policies, and relatively low cost of living compared to other major European cities. The city is home to a growing number of tech companies and incubators, as well as leading research institutions and universities. Additionally, Berlin's central location and transportation infrastructure make it a convenient hub for international business and collaboration.
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Supportive government policies
Tech entrepreneurs benefit from the policy support that both the Berlin and German governments provide. The framework for the city’s innovation policy includes eight innovation support programs, which have helped the city to become the home for new businesses. The federal government lists over 40,000 business registrations per year in Berlin. Over 600 of these are startups.
Startups are supported in their early stages and pre-startup period. One of the support programmes is the Berlin Startup Scholarship, a European Social Fund. It provides financial support to selected founders of tech-based startups over six to twelve months and assist them launching their plans. This project is there to support more than 1,500 individuals until the end of 2023.
The state of Berlin launched the Startup Agenda 2022–2026 to take this momentum even further and ensure Berlin continuing to strengthen as a startup location. The federal government is keen to act as an accelerator and facilitator for the new businesses.
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Quality of Life, diversity and sustainability are key values
Berlin is the most gender equal startup hub in Europe. It is one of Europe’s most culturally diverse cities, with a wide talent pool from a range of backgrounds, and has a young population fed by big number of universities. With its reputation for nurturing creativity and authenticity, it is one of the most employee-friendly cities. Work-life balance is at the heart of business values and the residents get enriched family support provided by the local and national government.
It is more affordable compared to other leading innovation hubs, such as London and Paris. Housing, office rents, food and transport costs are considerably lower in Berlin, which is a reason for some of the workforce to relocate to Berlin. Some of the other European cities may offer lower office rent prices, however Berlin wins with being well-connected to the rest of the Europe and its improved infrastructure.
Berlin is also a capital that is in the forefront of environmental sustainability action within the business world. Being geographically close to some of the research centres of Europe, Berlin offers a great unity between scientific innovation and policymaking. In 2022, it was selected as the most sustainable city in Germany and ranked fifth worldwide.
Berlin is the hub for exciting business development and a place people chose to relocate to join the growing community who shape the future through tech. Being in the spotlight for both startup founders and tech talent, it is not surprising to see Berlin hosting big competition when it comes to build a great tech team. Ever-growing number of tech opportunities is a sign for growth as well as competition for the best talent in the employment market. It is key to build the best team from the start to set up for success.
If you are considering to get a tech job in Berlin and would like to have a confidential chat, please feel free to reach out to Jamie Pennie, Executive Consultant.
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