Europe Lags in Unicorn Creation—What’s Holding It Back?

Europe continues to trail the United States and China in producing unicorns as structural barriers slow startup scaling and investment.
Europe Lags in Unicorn Creation—What’s Holding It Back?
European Union flags fly outside the EU Commission headquarters in Brussels, Belgium. Yves Herman/Reuters
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Europe’s structural barriers, including fragmented markets and limited late-stage capital, are holding back many firms from scaling into billion-dollar unicorns, analysts say.

A unicorn is a privately held startup company valued at more than $1 billion. Europe trails the United States and China in producing unicorns, and European Union policymakers are now scrambling to close the gap.

Evgenia Filimianova is a UK-based journalist covering a wide range of international stories, with a particular interest in foreign policy, economy, and UK politics.