- 69,000 jobs were identified at 1,600 Amsterdam-based tech companies
- 13,000 jobs were added in the last two years (2016-2018)
- Young companies are the ones driving growth
Amsterdam’s tech and startup sector continues to be booming
The report identified 69,000 jobs, meaning that the tech and startup sector has surpassed the finance sector (46,000), as well as the hospitality (39,000) and retail (26,000) sectors. It’s worth to note that these 69,000 jobs do not include tech jobs at multinational companies, such as Shell, Philips and ING.
Tech companies are the fastest growing job engine in Amsterdam
13,000 new jobs added in the last two years mean that Amsterdam’s tech and startup ecosystem added more jobs than any other sector. In comparison, the advisory and research sector added 7,000 jobs, the real estate sector added 4,000 jobs and the financial sector added 1,000 jobs in the same period.
“Rapidly expanding startups in the technology industry are vital to Amsterdam’s economy, and Amsterdam boosts sustained growth and innovation within the startup ecosystem,” says Udo Kock, alderman for economic affairs at the City of Amsterdam, adding: “To further strengthen our tech and startup businesses, the City of Amsterdam is investing €5 million in the next four years of the StartupAmsterdam programme.”
New companies adding the most jobs
Among the home-grown businesses, the biggest employers are Booking.com, TomTom, Picnic and Adyen. Remarkably, younger companies – business no older than five years – are the ones adding the most new jobs. Among the fastest hiring tech companies are Picnic, Adyen, Takeaway, Swapfiets and MessageBird.
“Setting up Picnic’s HQ in Amsterdam has proven to be a great decision, as the city is an easy sell to both Dutch and international tech talent,” says Picnic’s head of talent acquisition, Roline Spijkervet. “The high quality of life, fluency in English and outstanding infrastructure make Amsterdam a great city to relocate to. The tech and startup scene are also famous at a global level. All this makes it easier to attract highly-skilled technical talent, which Picnic is always on the lookout for.”
Venture capital investment activity has grown
Venture capital investment is a key driver behind startup expansion. The number of venture capital rounds tripled in the past six years. Last year saw several investment rounds exceeding €20 million, such as Ohpen (Series C), Framer (Series B) and Tiqets (Series B).
FinTech and Software as a Service (SaaS) sectors are the biggest contributors of job growth, adding 1,740 and 1,239 jobs in two years respectively. TravelTech and FoodTech are also fast growing industries.
More opportunity for growth
The report demonstrates more potential is yet to be unlocked in the tech and startup sector. In Amsterdam, female founders continue to be under-represented. Startups with at least one female founder make up only 12 per cent of all startups in Amsterdam, slightly below the European average, and far below full potential.
For the report, nearly 3,000 organisations were screened, of which more than 1,600 were identified as ‘startups, scale-ups and grownups’ and were included in the dataset. These companies are tech-centric organisations that either have made their start in Amsterdam or are foreign entities that have a strong presence in the city.
Companies with only one employee, ‘non-tech’ companies and web and software development agencies were excluded from the study. Tech departments of ‘non-tech’ multinational companies such as Shell, Philips and ING were not counted, either. Most of the data used in the report are available for free via the Amsterdam Startup Map by StartupAmsterdam in cooperation with Dealroom.
StartupAmsterdam and Dealroom expect to continue publishing future updates of this study to monitor the evolution of Amsterdam’s tech ecosystem.
StartupAmsterdam is an initiative from the City of Amsterdam that is tasked with strengthening Amsterdam’s startup ecosystem. Between 2015 and the end of 2018, StartupAmsterdam launched and supported over 40 initiatives that facilitated startups’ access to capital, talent, launching customers, content and a startup-minded environment. The action programme was designed as a proverbial ‘spider in the web’ – working with various public and private organisations, facilitating invaluable connections that would ultimately benefit all stakeholders of the ecosystem.
For the upcoming four years, the ultimate goal remains the same – to make sure Amsterdam offers a good ecosystem, where entrepreneurship and innovation can flourish.
Dealroom is a global company information database and research firm. Its software, database and bespoke research enable its clients to stay at the forefront of innovation, discover promising companies and identify strategic opportunities. Among its clients are world-leading strategy consulting firms, investment banks, multinationals, technology firms, venture capital and buyout firms and governments.