Lisbon is emerging as Europe’s next tech hotspot. For decades, Tel Aviv earned a reputation as the second Silicon Valley, thanks to a thriving innovation culture and strong global investment. Today, Lisbon is following a similar trajectory, with many of the same factors driving success: a culture of innovation, strong exports, and a rapidly growing pool of highly skilled tech talent.
Quick Answer: Lisbon is rapidly becoming Europe’s startup nation—mirroring Tel Aviv—powered by incentives, abundant tech talent, foreign capital, and export-led growth. Plus972 helps founders plug in and scale across Europe.
Building Tel Aviv
Israel’s rise as a startup powerhouse began in the 1970s, fueled by key events. First, government-backed programs such as the Yozma Program funded early-stage startups. Second, the influx of highly qualified scientists and engineers from the Soviet Union strengthened the talent pool. Finally, Israelis returning from Silicon Valley brought experience, networks, and international investment.
These combined factors created a thriving innovation ecosystem that propelled Israel to global tech prominence—and these are the same factors now propelling Lisbon toward its emerging tech prominence.
Portugal’s Innovation Legacy
Portugal has a centuries-long history of innovation. During the Age of Exploration, Portuguese advancements in navigation and technology—such as early instruments for determining latitude at sea—laid the foundation for modern navigation tools. Today, this spirit of innovation continues to drive Lisbon’s tech ecosystem, strengthening Portugal’s position as a startup-friendly nation in Europe.
Current Drivers of Growth
Since 2020, Lisbon has accelerated its rise as Europe’s startup capital:
- Government Incentives: Financial programs supporting startup growth.
- Talent Pool: Over 90,000 engineers graduated from Portuguese universities last year, creating a highly skilled workforce.
- Foreign Investment: Approximately 40% of startup funding comes from international investors.
- Export-Driven Revenue: Nearly 60% of Portuguese startups’ turnover comes from exports, making them export-driven startups in Europe.
- Competitive Salaries: Startup employees earn salaries on average 37% higher than the national wage, attracting top talent to Portugal.
With these drivers, Lisbon is positioning itself as Europe’s Silicon Valley, a hub of innovation, talent, and international investment.
Plus972: Supporting Startups Across Borders
Plus972 has a long history of helping Israeli startups scale globally, connect with investors, and enter new markets. Now in Lisbon, Plus972 supports Portuguese startups with market strategies, funding access, and international expansion.
Ready to grow your startup in Lisbon? Connect with Plus972 today to leverage Portugal’s thriving innovation ecosystem.
– Kfir Kedem