The AI Investment Summit 2024

The summit focused on key questions regarding growth opportunities and investment strategies for European technology companies: 

• How can AI and Deep Tech companies be scaled successfully in Europe? 
• Which strategies promote innovation and growth? 
• How can competitive advantages be achieved in the digital transformation? 
• And how can Europe utilize the full potential of science and technology?

The Key Learnings from Panel Discussions

Funding from the US is crucial – for now: While growth funding for AI & deep tech companies from European investors and initiatives from governments are on the rise, the harsh reality remains that companies looking for significant growth better peer for funders across the Atlantic until the European ecosystem fully evolves. Wise advice to founders by Itxaso Araque.

The war for talent will not be won on a payslip: European ecosystems will not be paying 300k salaries anytime soon. Which makes it even more important to focus on other aspects of happy employees: tax-optimized employee participation schemes, flexible work offerings, impact for individuals and teams – and the protection of Europe's USP of freedom, democracy and social security. Thanks, Amine Abidi, for your thoughts on circularity of talent.

Compute sovereignty is not a nice-to-have: Building and maintaining a sturdy and competitive EU-first infrastructure is the crucial basis for further AI & deep tech innovation and Europe's sovereignty. Thanks for the shoutout to European companies leading the way in terms of efficiency and sustainability, Norman Behrend.

Europe must leverage its strong corporates: Our strong established industry is not in contrast to AI & Deep Tech innovation but an excellent breeding ground with indefinite areas of application for AIoT and beyond. Cooperation and openness exist on both sides but should be prioritized. Sebastian Lach and ELTEMATE make a great example here.
EU tech law is here to stay: We better get out of denial stage. Investors and founders in any deep tech and AI related market need to upskill today and surround themselves with the right advisors to stay ahead of the curve.

Mindset is queen: Be it investors, companies, advisors or customers – we can all do better in embracing a bit more of this somewhat magic ingredient that creates thriving startup ecosystems and herds of unicorns. Thank you, Marcel Quennet, for bringing the topic to the agenda.

Key Takeaways from Deep-Dive-Sessions

Policy, Regulation & Communication

• AI investments face complex regulatory scrutiny, especially due to dual-use concerns and strategic importance.
• Key challenges include FDI screening, antitrust reviews, and compliance with ethical and societal standards.
• Clear regulatory and communication strategies are crucial to mitigate risks and build stakeholder trust.

AI Regulation & Venture Deals

• The EU AI Act introduces a risk-based framework for trustworthy AI but risks stifling innovation for resource-constrained startups.
• Startups demonstrating regulatory readiness gain a competitive edge in securing funding.
• The Act’s global influence could bolster European startups but requires careful adaptation to support innovation.

Digital Frontier Technologies

• Innovations like AI in biochemical engineering, robotics, and quantum computing drive transformation but face barriers such as cost, talent shortages, and fragmented regulations.
• Strategic partnerships, clear ROI communication, and compliance are key to leveraging these technologies effectively.

Legal Tech

• Custom AI solutions tailored to specific needs offer significant efficiency gains for legal teams, especially in eDiscovery and contract analysis.
• Strong compliance systems are vital for startups to meet legal obligations without disrupting operations.
• Leveraging GenAI in Investment Operations for VCs.
• AI-driven funds optimize decision-making by analyzing extensive data and networks, enhancing portfolio performance.
• Transparency and explainability are essential for maintaining trust in AI-powered investment models.
• AI complements human expertise, reshaping traditional roles in investment operations.

AI & Data Governance

• Holistic governance is essential to mitigate AI risks, ensure compliance, and align with ethical and societal values.
• Reliable, high-quality data underpins effective AI, requiring robust data governance frameworks.
• Companies must integrate AI and data governance to enhance trust, manage risks, and unlock innovation sustainably.

Keynote "AI ... Friend or Foe?"

A particular highlight was the keynote speech by Michael Tobin, a British tech entrepreneur who was honored by Queen Elizabeth II with an Order of the British Empire (OBE) for his "services to the digital economy". He outlined a multi-layered picture of the European innovation landscape and highlighted the journey towards the future: In order to unlock the full potential of AI, companies need to invest in infrastructure, comply with regulations and prioritize sustainability. Tobin concluded that the race to utilize AI in line with ecological aspects has only just begun and that legal framework conditions are crucial for the social acceptance of AI.

ELTEMATE 

The Hogan Lovells technology company ELTEMATE described practical use cases for the application of AI, particularly in the legal and compliance sectors.

External speakers and panelists

Amine Abidi, McKinsey; Itxaso Araque, Google; Jelena Bauer, McKinsey; Ties Boukema, Dawn Capital; Guy Conway, Koble; Dr. Catherine Cutts, KKR; Marisa Krummrich, b2venture; Dan Nechita, European Parliament; Dr. Marcel Quennet, Quantistry; Dr. Philipp Raidt, FGS Global; Dr. Stefan Schiefer, Genesis Cloud; Dr. Sebastian Schirber, Artefact; Michael Tobin OBE, Technology Entrepreneur; Matthias Wilkendorf, Goldman Sachs; Dr. Patrick Wollner, McKinsey

Hogan Lovells speakers and panelists

Lucie Arntz; Marcus Busch (ELTEMATE); Dr. Leopold von Gerlach;  Dr. Sebastian Lach (ELTEMATE); Dr. Martin Pflüger; Dr. Falk Schöning; Dr. Stefan Schuppert; Dr. Jasper Siems; Thiemo Woertge; Dr. Nikolas Zirngibl

Panels

• Building a European AI & Deep Tech Investment Ecosystem
• Scaling AI & Deep Tech Businesses

>>>> For more information: AI Investment Summit 2024 – Insights