Startups are fully committed to artificial intelligence
- 8 out of 10 startups use AI – half of them depend on the technology
- Almost two thirds warn that regulation is hindering AI development in Europe
- 89 per cent see AI as the most important future technology
Berlin, 28 July 2025 – Artificial intelligence is the most important technology for tech startups in Germany. By now, 82 per cent are using AI, compared with 76 per cent a year ago and just 49 per cent in 2023. A further 16 per cent are planning or discussing the use of AI. At the same time, 89 per cent regard AI as the most important future technology (2024: 80 per cent). Fifty-five per cent are convinced that startups that do not use AI have no future – a year ago this figure was only 39 per cent. And 43 per cent say that without AI they would only be able to offer their products and services to a limited extent or not at all. These are the results of a survey of 152 tech startups commissioned by the digital association Bitkom. “Artificial intelligence has developed into a driver of innovation at record speed. Startups are pioneers in the use of AI,” says Bitkom President Dr Ralf Wintergerst. “Small and medium-sized enterprises in particular can learn from startups how to put AI into practice effectively.”
Startups currently use AI equally to support their business operations (63 per cent) and to improve their products or services (62 per cent). The vast majority of startups that use AI also make use of generative AI (87 per cent): 71 per cent to support their own business operations and 54 per cent as part of their product offering. One possible reason for this: almost three quarters (74 per cent) have found that startups that have integrated AI into their products find it easier to secure funding. However, around one third (35 per cent) also admit that AI has not yet met the high expectations placed on it.
Startups view the AI Act with scepticism
European AI regulation under the AI Act is viewed critically by many startups. Almost two thirds (63 per cent) warn that excessive regulation is the reason why particularly powerful AI solutions are scarcely being developed in the EU. Forty-five per cent are convinced that the AI Act will restrict their startup in the use or development of AI. And 43 per cent complain that the AI Act puts their startup at a competitive disadvantage compared with companies from other countries such as the USA or China. At the same time, 71 per cent share the hope that Europe can achieve a leading position in the global AI race. “We must do everything possible to ensure that startups in Germany and Europe can be internationally competitive in AI. This includes restraint and planning certainty in regulation,” says Wintergerst.
Data protection and legal uncertainty seen as the biggest AI barriers
Even today, the biggest obstacles to the use of AI from the perspective of German startups are data protection requirements (33 per cent) and uncertainty caused by legal hurdles or ambiguities, such as those surrounding the AI Act (27 per cent). Only after these come a lack of financial resources (21 per cent) and a lack of personnel (20 per cent). Other obstacles to the use of AI include concerns that company data could fall into the wrong hands, a lack of time in day-to-day business, and fears of future legal restrictions on the technology (15 per cent each). Twelve per cent lack data for the beneficial use of AI, 9 per cent lack technical know-how, 7 per cent see no meaningful application, 6 per cent have no trust in AI, and 3 per cent are focusing on other future technologies. Only 1 per cent complain about a lack of acceptance of AI among employees. Around one quarter (26 per cent) see no obstacles to using AI at all.
Get Started, Bitkom’s startup initiative, has today published recommendations for action on how to succeed in building more successful AI startups in Germany. These range from improving the transfer of research results into application and training talent, to easier access to data and public procurement that places a stronger focus on startups. The paper “German Startups and the AI Paradox” is available here.
