Overview

• Total venture capital for German start-ups rose 34% year-over-year to €4.6 billion in H1 2025, the third-highest first half since 2015.
• Bavarian companies secured €2.1 billion—nearly half of all VC inflows—surpassing Berlin’s €1.5 billion haul.
• Six of the ten largest funding rounds went to Bavarian start-ups, led by Helsing’s €600 million and Green Flexibility’s €400 million deals.
• Berlin retained an edge in deal volume with 132 financing rounds versus Bavaria’s 76, driven by strength in digital commerce.
• Bavaria’s proximity to established industries and research institutions underpins its appeal as investors chase megatrends in defence, AI and energy technologies.