A new survey reveals a surging adoption of artificial intelligence (AI) among technology start-ups in Germany, highlighting its increasing importance for the sector’s future. Conducted by Bitkom Research, the study, based on responses from 152 German tech start-ups collected between April 8th and April 21st, 2025, demonstrates a significant rise in AI utilization.
Currently, 82% of German start-ups are leveraging AI, a substantial increase from 76% a year prior and just 49% in 2023. A further 16% are actively planning or discussing the integration of AI into their operations. The technology is overwhelmingly viewed as the most critical future technology, with 89% holding this belief – up from 80% in 2024.
The survey underscores a growing conviction that AI is vital for survival, as 55% now believe start-ups that fail to utilize AI lack a viable future, compared to just 39% a year ago. A further 43% indicate that they would be severely limited, or unable, to offer their current products and services without AI.
Start-ups are deploying AI both to streamline internal business operations (63%) and to enhance their product and service offerings (62%). The vast majority of AI-utilizing start-ups are actively employing generative AI (87%), with 71% using it for internal processes and 54% incorporating it into their product offerings. A perceived benefit underpinning this trend is that companies integrating AI into their products are finding it easier to secure funding; 74% have observed this advantage.
However, the survey also notes a degree of tempered enthusiasm, with approximately one-third (35%) acknowledging that AI has not yet fully met initial expectations.
Concerns have also been raised regarding the European Union’s AI Act. A significant majority (63%) express concerns that overly stringent regulations may discourage the development of advanced AI solutions within the EU. Nearly half (45%) believe the AI Act will restrict their start-up’s capabilities in either AI utilization or development. Furthermore, 43% worry that it places their start-ups at a competitive disadvantage compared to companies based in countries like the United States or China.
Despite these reservations, a strong majority (71%) remain optimistic about Europe’s potential to achieve a leading position in the global AI landscape.