Funding & Investment · Ben Buzz · Dec 16, 2025

European Energy Storage Startups Secure €2.14 Billion in Funding

Notably, 46.7% of the total funding was secured in the past three years, and a substantial 84.4% of the funds were raised in the last five years. Key areas of investment include battery systems (€331.8 million), mechanical storage (€696.7 million), and EV charging solutions with in-built storage (€435.5 million). Battery energy storage systems, a critical component for energy storage, attracted €331.8 million.

European energy storage startups have successfully raised a total of €2.14 billion in funding. This influx of capital underscores the growing interest and investment in energy storage solutions within the continent, especially in the context of renewable energy integration and the need for advanced storage technologies for commercial, industrial, and grid-scale applications.

Funding Trends and Growth

Investment in European energy storage startups has seen significant growth over recent years. Notably, 46.7% of the total funding was secured in the past three years, and a substantial 84.4% of the funds were raised in the last five years. This trend highlights the increasing momentum and attention that these startups are garnering as they work towards innovative solutions to energy storage challenges.

Technological Focus Areas

Various sectors within the energy storage domain have attracted considerable investments. Battery energy storage systems, a critical component for energy storage, attracted €331.8 million. Of this, lithium-ion (Li-ion) technologies accounted for €221 million, demonstrating their continued prominence in the market. Mechanical storage solutions, which focus on physical systems for energy retention, raised €696.7 million, indicating robust interest in these technologies.

Thermal energy storage, which involves storing energy in the form of heat, secured €105.9 million in funding. Additionally, electric vehicle (EV) charging solutions equipped with in-built energy storage systems (ESS) attracted €435.5 million, reflecting the growing synergy between energy storage and the expanding electric vehicle market.

Recyclability and Sustainability

As sustainability becomes a crucial focus, recycling startups within the energy storage sector attracted €19 million in investment. These startups play a vital role in addressing the environmental impact of energy storage technologies by developing methods to recycle and repurpose materials, thus contributing to a more sustainable energy future.

Global Context and European Potential

While China continues to dominate the manufacturing sector of energy storage technologies, European startups are gaining notable attention and investment. The funding secured by these startups reveals a growing confidence in their potential to contribute significantly to the energy storage landscape. As the demand for renewable energy integration increases, European startups are well-positioned to deliver innovative solutions that can transform the energy storage industry.

“The significant funding secured by European energy storage startups reflects a pivotal shift towards innovative solutions that address the critical need for sustainable energy storage systems,” industry analysts suggest.

Overall, the €2.14 billion in funding marks a promising trajectory for European energy storage startups, as they continue to develop technologies that support the continent's transition to cleaner and more efficient energy systems.

FAQs

What is the total funding secured by European energy storage startups?
European energy storage startups have secured a total of €2.14 billion in funding.
How much funding was raised by these startups in the last three years?
In the last three years, European energy storage startups raised €1 billion, which is 46.7% of the total funding.
What percentage of total funding was raised in the last five years?
A substantial 84.4% of the total funding was raised in the last five years.
How much funding has been allocated to battery energy storage systems?
Battery energy storage systems have attracted €331.8 million in funding.
What amount did lithium-ion technologies receive in funding?
Lithium-ion technologies accounted for €221 million of the total funding for battery energy storage systems.
What is the funding amount for mechanical storage solutions?
Mechanical storage solutions raised €696.7 million, indicating strong interest in this technology.
How much investment did recycling startups in the energy storage sector attract?
Recycling startups within the energy storage sector attracted €19 million in investment.