Tom Wehmeier, Partner and Head of Intelligence at Atomico, brings an unusual perspective to venture capital. His career began in telecommunications, where he witnessed transformative shifts including the rise of 3G and internet-enabled calling services. That experience instilled in him a capacity to spot hype cycles, maintain patience over the long term, and grasp why incumbents frequently falter when facing disruptive change.

Wehmeier points to a recurring pattern: transformative technologies tend to be underestimated in their early stages. Initial projections suggested the mobile phone market would reach only around one million devices, yet the sector eventually expanded to billions of users worldwide. For Wehmeier, this historical lesson underscores why recognising innovations capable of reshaping human behaviour matters so profoundly.

From PowerPoint to Industry Benchmark

Atomico's State of European Tech report emerged from humble beginnings as a simple PowerPoint presentation, evolving into a comprehensive annual publication addressing investment, talent, liquidity, regulation, and entrepreneurship. The initiative was born from a fundamental gap: Europe lacked a unified, data-driven understanding of its technology landscape.

Upcoming editions will focus on several critical themes: progress in funding innovation, streamlining regulatory obstacles, nurturing talent, and fostering greater appetite for risk-taking. The report will also investigate technological sovereignty and resilience across energy, computing, and defence sectors.

The Commitment Gap

Wehmeier identifies a persistent challenge facing Europe: a "commitment gap". While policymakers and business leaders frequently voice support for initiatives like EU Inc. and expanded institutional backing for technology ventures, practical execution frequently stalls due to political complications. Closing this gap demands resolute decision-making from both national governments and European institutions.

Serving Multiple Audiences

The State of European Tech report serves distinct constituencies with varying priorities. Venture investors concentrate on funding and liquidity metrics, whereas government officials prioritise regulatory frameworks and ecosystem health indicators. By making datasets publicly available for download, Atomico empowers journalists, entrepreneurs, investors, and academics to draw their own conclusions from the underlying information.

What began as an annual publication has expanded into a year-round endeavour encompassing research collaborations, regular newsletters, industry roundtables, and broader ecosystem participation. Atomico continues experimenting with emerging formats, including synthetic audience analysis tools, interactive question-and-answer sessions, and multimedia presentations.

Two Decades of European Tech

Reflecting on Atomico's 20-year trajectory, Wehmeier notes that when the firm launched, the prospect of Europe generating globally competitive technology enterprises and establishing venture capital as a significant institutional asset class remained uncertain. The continent's ecosystem has since surpassed those early expectations, and Atomico has played a role in elevating European entrepreneurship to worldwide prominence.

Key Takeaways

  • Wehmeier's background in telecommunications shaped his methodical, patient approach to venture investing and understanding market disruption.
  • Transformative innovations frequently face underestimation before achieving widespread adoption.
  • The State of European Tech report delivers an impartial, fact-based perspective on Europe's technology sector.
  • Forthcoming editions will address funding, regulatory reform, talent development, risk appetite, technological sovereignty, and ecosystem resilience.
  • Europe must bridge the divide between stated commitments and tangible implementation through decisive leadership.
  • Atomico's confidence in European technology has been vindicated by the ecosystem's expansion and global standing.

Source: EU-Startups