EU faces decline in business attractiveness as unicorn start-ups relocate to US
Date
1/13/2025 4:36:18 AM
(MENAFN) According to a draft economic document by the European Commission, the German news agency dpa reported on Saturday that the EU is becoming less attractive to firms, with many opting to relocate. Only four of the top 50 technology companies worldwide are European, according to the survey.
The research, which is scheduled for official release next week, states that "Europe's attractiveness as a business location is declining." It points out that about one-third of the so-called unicorn start-ups that were established in the EU moved their headquarters overseas, mostly to the US, between 2008 and 2021. Privately held companies valued at over USD1 billion are known as unicorns. They are frequently technology-focused, rapidly expand, and draw significant investment. It is thought that they help economies at large scales by establishing new industry standards through technical improvements.
The Swedish fintech Klarna, the Romanian-founded UiPath that specializes in robotic processes, and the Swedish music streaming service Spotify are a few of the more well-known unicorns that were first established in Europe but eventually moved their headquarters to the US.
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