TLDR:
- VC investments in Ireland have plunged 80% in Q1 2024
- Number of deals also down significantly
The value of venture capital (VC) investments in Ireland has seen a sharp decline of 80% in the first three months of 2024, according to the Q1 ’24 Venture Pulse report produced by KPMG with data from PitchBook. The decrease in valuations has led to a deadlock in markets where the expectations of company founders and investors do not align. Globally, VC investment hit a five-year low at the beginning of 2024.
In Ireland, 17 venture capital deals worth $34.19m (€32m) closed in the first quarter of the year, a significant decrease from the 24 deals worth $172.8m in the same period in 2023. While these figures do not include SoftBank’s acquisition of a 51% stake in Cubic Telecom, valued at over €900m, other notable deals include Galway-based Ceroflo raising $7m and Dublin-based OOHPod and MOBY Bikes raising $5.9m and $3m, respectively.
Despite the slowdown, interest in Ireland’s technology companies, particularly in medtech, AI, and cleantech, remains positive. The European Parliament’s recently agreed Artificial Intelligence Act is expected to impact companies developing AI products and services for the European market within the next 24 months.
