Italy may be one of innovation and venture capital’s best-kept secrets.

In fact, as the country’s VC ecosystem gains momentum, the strengths of its research base and industrial backbone are giving rise to a new wave of deep-tech startups, scaling domestically and competing internationally, in what could be described as an “Italian Deep Tech Renaissance” that is increasingly attracting global investors.

What sets Italy apart are structural advantages: EU’s second-largest manufacturing bases, dense industrial districts, resilient supply chains, and deep engineering talent. Together, these factors suggest that a stronger domestic VC ecosystem can become an increasingly important channel for growth financing. Paired with disciplined capital allocation and targeted public support, this can amplify impact, shape the next phase of Italy’s investment landscape, and help scale future national champions.

We analyzed the trends and opportunities offered by the Italian VC ecosystem, together with the impact brought about by CDP Venture Capital, in a paper published with Pitchbook.