Lisbon’s emergence as a European Tech Hub is a testament to its innovation, education and ecosystem. Accounting for almost 10% of the country’s GDP, the tech sector presents a wealth of opportunities for investors and start-ups alike.
Investment in the start-up ecosystem in Portugal’s capital has surged by an impressive 30% annually since 2016, doubling the European average. Lisbon earned the prestigious title of European Capital of Innovation in 2023, receiving a €1 million award from the European Commission. This success story is driven by a unique, interrelated blend of factors.
Tech Talent:
Portugal cultivates a workforce prepared for the digital age, featuring a high percentage of STEM graduates, including the EU’s third highest rate of engineering graduates. The number of female ICT specialists surpasses the EU average. Coupled with competitive salary levels compared to other European countries, this becomes a significant advantage for start-ups.
International tech talent is flocking to the Portuguese capital. Start-ups globally are choosing to launch from Lisbon or establish offices in the city. A haven for digital nomads, it is fast becoming the largest remote working community in Europe. The vibrant ‘open-working’ culture encourages collaboration among freelancers, entrepreneurs, remote workers, and digital nomads fuelling innovation.
Globally recognised businesses, including Google, Microsoft, and Cisco, have established hubs in Lisbon lured by the rich talent pool, favourable business costs, and tax incentives. This blend of entrepreneurial spirit and established tech businesses creates a positive cycle, attracting new companies and further enhancing the workforce diversity.
Portugal has produced seven Unicorns to date, with more in the pipeline. The founders of many of these organisations are involved in mentoring the next generation of founders, so the cycle continues.
“The combination of global minded entrepreneurs, professional investors and the diverse talented pool of people make Lisbon a very good place to start a business these days. It’s definitely an exciting time to be an entrepreneur!”
Cristina Fonseca, General Partner, Indico Capital Partners
Supportive Ecosystem:
Public private organisations, such as StartUp Portugal, dedicate themselves to boosting local start-up and scale-up businesses. They offer office space, mentorship, strategic partnerships, access to investment, networking activities, and a knowledge-based community – all geared towards propelling Portugal’s next Unicorn into the global spotlight.
The Portuguese government contributes to this ecosystem with a range of funded programs and initiatives, including tech visas and financial taxation incentives for start-ups and individuals. The country’s extensive network of over 160 incubators provides essential support and resources for entrepreneurs.
Lisbon’s calendar is rich with tech events and networking opportunities. The Web Summit, a focal point since 2016, is the world’s leading high-tech conference. It draws over 70,000 attendees from around 120 countries annually. It is a vibrant mix of founders, investors, policy makers and journalists focused on shaping the future of the tech industry.
The World Ocean Summit returned to Lisbon in 2024 to host its eleventh annual event. Sponsors, including our partner Ocean 14 Capital, helped bring together over 1500 attendees from 80 countries to provide a platform to inspire new partnerships, solutions and strategies to accelerate the sustainable ocean economy and ocean climate solutions.
“I think the Lisbon tech scene is just hitting its stride. There is a real diversity of companies from traditional B2B SaaS, climate, and deep tech. The community is really open and actively supports each other. As a founder looking to start the next big thing, it’s the perfect place to find partners, get inspired and build with a group of like-minded individuals. “
Ari Greenberg, Entrepreneur
Lifestyle:
Lisbon promises an enviable lifestyle offering:
- Time zone aligned to the UK
- Low crime rate
- Lower cost of living than other tech hubs (such as London and Berlin)
- 300 days of sun per year
- Easy access to beaches and outdoor pursuits
- Excellent international schools
Combined, these offer an exceptional quality of life.
Lisbon’s transformation into a tech powerhouse is fuelled by its innovative spirit, skilled workforce, business-friendly environment and complemented by its unique lifestyle. With a focus on technology education, nurturing local talent, and attracting a global workforce, Lisbon secures its status as a leading Tech Hub, inspiring innovation, growth and the next generation of tech unicorns.
Alex Partners Executive Search have offices in Lisbon and London. We partner with investment backed growth Technology and Impact organisations and investment funds to help shape leadership team and hire individual contributors across Sales, Marketing, Finance, Product, Operations and People teams. With extensive knowledge of the Portuguese market and expertise in working across the Technology and Impact sectors work we are ideally positioned to support your talent acquisition needs.
