Australia Venture & Startup Report 2026
.png)
Key Insights
#1 GLOBALLY IN DECACORN EFFICIENCY
( Australia is #1 globally for decacorns per VC dollar invested, and #3 for unicorns )
Australia has produced 0.16 decacorns for every $1B invested and 1.09 unicorns, demonstrating unmatched global efficiency.
#1 FASTEST GROWING ECOSYSTEM
( Australia is the fastest growing VC-backed ecosystem over the last decade )
Since 2016, Australia’s VC-backed ecosystem value has grown 13.7x, outpacing every major global peer.
TOP VC PERFORMANCE GLOBALLY
( Australian VC's are outperforming their global counterparts )
Australian VC has delivered a 5-year pooled return of 24.4%, almost double that of US peers.
Australia has long been underestimated as a startup hub, but this report confirms what we’ve known for some time: the Australian ecosystem is quietly emerging as one of the most compelling yet undercapitalised ecosystem in the world. The question is no longer whether Australia can build great companies. It’s how many and how fast.”
“We’re seeing a new generation of Australian founders building globally from day one — across AI, deep tech, and climate. Backed by world-class research, talent, and infrastructure, this ecosystem is no longer emerging — it’s accelerating.”
.png)
“It's pleasing to see Australia's venture capital ecosystem continuing to grow, supported by the same strengths underpinning the broader economy - a highly capable talent pool, world-class research institutions, and an emerging international reputation for building for the world and being efficient users of capital. As technological change accelerates, VC's role in supporting innovation and commercialisation will become increasingly important. International investors are already recognising the quality of Australian founders, the capital efficiency of local businesses, and the opportunities this market presents. With strong fundamentals, a more match-fit ecosystem of ideas, talent and capital, and an increasingly sophisticated investment landscape, there's every reason to be excited about the long-term future of VC and startups in Australia.”
“From an LP perspective, Australian venture offers a compelling combination of structurally lower early-stage entry valuations, globally ambitious founders and a maturing ecosystem that continues to produce competitive outcomes. While the opportunity set remains selective, we see particular value in backing high-quality managers with strong founder access and disciplined portfolio construction to capture outsized returns as companies scale into global markets.”
What's in the report
A data-driven benchmark of Australia’s startup and venture performance globally — powered by Dealroom, AWS, Vercel, AIC and Side Stage Ventures.
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.
“I came into founding a company by accident. If I hadn't ended up at Koala, I'd never have understood what a startup took (and I'd never have met Tim and Alexey).
We started Eucalyptus with a desire to attract non-engineering talent the rest of the market wasn't looking at: creative people stuck in advertising or law or consulting, and doing their startup with us. I'm proud that plenty of those people have since left to start their own companies (always with our blessing, often with a cheque). This is a wheel of fortune that should echo louder each time someone spins it by starting a company, joining the industry, or seeing an exit."
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.
“Australia boasts world-class scientific and medical institutions, phenomenal founders, and a clear track record of producing unicorns.
Globally, we observe venture deployment shifting toward capital- and R&D-intensive industries such as defence, industrials, and medtech. This plays directly to Australia’s competitive advantages in heavy industry, mining, and deep science. Yet, local risk appetite for venture capital remains scarce, leaving a critical shortfall of growth capital to scale our best businesses.
Consequently, domestic deployment requires laser precision - our sweet spot is partnering with VC firms that have secure access to the best local founders, but crucially possess a proven track record of tapping into US networks and funding to unlock phase 2 and phase 3 momentum on a global scale.”
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.
“The Australian VC ecosystem has started to mature and compound on itself, an encouraging sign that it is developing along the same lines as more established venture markets.
The first generation of breakout companies (Canva, Eucalyptus and others) has produced a wave of operators who have seen what global scale looks like up close and are now starting companies of their own. That kind of experience is hard to manufacture, and it changes the quality of what comes next.
We continue to think the most attractive part of the market is the earlier stages. Valuations are still reasonable, there is less capital chasing each deal relative to other markets globally, and the founders coming through now are more seasoned than those who built the last cycle. Strong companies, sensible entry points and limited competition provide an attractive backdrop to deploy capital, and we think that is where the most durable returns will be made over the next decade."
Discover how Australia has become the fastest growing VC-backed ecosystem globally since 2016, and is producing more decacorns ($10B+ EV) per VC dollar than any other country in the world.