Debates about European AI often focus on compute, capital, and regulation, but the companies themselves cite two primary challenges: hiring great people and finding customers.
According to industry data, 93% of startups report talent acquisition as a major bottleneck, while 51% struggle with go-to-market strategies and customer acquisition. These hiring pressures affect over 65% of firms, with 36% also citing customer development issues.
Funding concerns continue to weigh on the sector, with 82% of companies prioritizing revenue growth and 44% focusing on cost optimization. Despite these pressures, 90% of startups remain optimistic about long-term prospects.
The report highlights that talent shortages impact roughly 60% of European AI ventures, while customer-related challenges affect around 50%. Companies are increasingly investing in sales and marketing, with 41% planning increased spending in these areas.
Source: Sifted · Summarized by HeadlinesBriefing