Venture capital investment in startups founded by women has historically lagged behind the broader market. However, new data suggests that the funding gap may be narrowing—particularly in deep tech. According to the Female Innovation Index 2025, a report launched by European venture platform Female Foundry, funding to female-founded startups in Europe declined 12% in 2024, nearly matching the 11% drop in overall venture investment.
One standout finding? Women in deep tech are out-raising their male counterparts, thanks to a strong link between the sector and academia, where gender representation is more balanced.
Deep Tech: A Bright Spot for Female Founders
The report highlights that 33% of all venture capital raised by female entrepreneurs in Europe went to deep tech startups—2% more than gender-agnostic startups. This shift is particularly notable in synthetic biology, generative AI, and drug development, where women are making significant strides.
Agata Nowicka, founder of Female Foundry and author of the report, believes this trend stems from the increasing number of female scientists transitioning into entrepreneurship. However, she notes that academic environments still discourage some women from entering the startup space.A New Perspective on Female-Led Startups
For the report, Female Foundry surveyed 1,200+ female founders, investors, and executives, along with 35 private equity firms, venture associations, and ecosystem players across 20 European countries. Unlike other reports that only track all-female founding teams, this study includes startups with at least one female co-founder, offering a broader view of women’s participation in venture-backed startups.
This approach challenges the often-quoted 2.2% statistic—the percentage of venture capital raised by all-female teams in 2024. Nowicka argues that this figure is misleading because it excludes mixed-gender founding teams where women still play a critical leadership role.
