60 years have passed since the first computer was built in Romania using vacuum tubes and transistors by remarkable engineers.

CIFA, the first Romanian computer built in 1957

We’ve come far since then.

Even a comparison to just last year (here you can find the 2016 Romanian startup scene analysis) shows that Romanian startups are growing rapidly. In 2017, Romanian startups raised a 3x increase in the first two-quarters of 2017 compared to 2016, from €11m to €38.4m. In comparison in Europe €9.9b was raised by startups.

Here are a few highlights from Romania’s thriving startup scene.

1.Q2 2017 was the most successful quarter ever for Romanian tech (see the chart below). While the number of deals remains the same as in Q2 2016, there was a massive increase in capital raised — mainly triggered by UiPath, a software platform that helps organizations automate business processes.

The UiPath fundraise in Q2 2017 is the biggest series A round ever seen in Romania.

Daniel Dines, CEO UiPath says:

“This ‘series A’ investment capital we’ve raised is a breakthrough for Romania and it creates a big precedent. Hopefully, it will encourage local entrepreneurs to take bolder decisions because the talent and the potential are there, and investors know and value this the most.”

Capital raised in Romania in Q1 2015 — Q2 2017. Find all the companies here.

By comparison, here’s a snapshot of other significant fundraises in Romania 🇷🇴:

UiPath, $30m

UiPath is a leading provider of robotic process automation software for the enterprise led by Daniel Dines.

UiPath is a leading provider of robotic process automation software for the enterprise led by Daniel Dines. dcs plus, $6.2m

dcs plus is a Romanian travel and tourism tech company, headed by Cristian Dinca.

dcs plus is a Romanian travel and tourism tech company, headed by Cristian Dinca. Zitec, €1.7m

Zitec is a software development company.

Zitec is a software development company. SmartDreamers, €400k

SmartDreamers is a recruitment platform that simplifies the connection between growing companies and candidates.

SmartDreamers is a recruitment platform that simplifies the connection between growing companies and candidates. Frisbo, €250k

E-fulfillment company.

E-fulfillment company. Blugento, €120k

Blugento offers Magento eCommerce solutions.

Blugento offers Magento eCommerce solutions. Ebriza, €70k

Ebriza is the virtual cash register.

Ebriza is the virtual cash register. FishPointer, $30k

Fishpointer is your fishing app.

Fishpointer is your fishing app. SkillView, $20k

SkillView is an online interviewing platform for the IT&C companies.

SkillView is an online interviewing platform for the IT&C companies. AIris Vision, undisclosed, part of StartupWiseGuys.

A technology that can recognize and localize objects and concepts in photos, videos and live streams directly into low end devices, not in the cloud

2. Crowdfunding remains an important avenue of funding for early-stage startups. After the launch of Kickstarter and Indiegogo, crowdfunding become a massive phenomenon. Such platforms provide access to capital, hedge the risk, serve as a marketing tool, give a proof of concept, and introduce you to loyal customers. The World Bank estimated that crowdfunding would reach $90 billion by 2020.

In Romania the Startartium platform recently launched a crowdfunding feature. Already 7 creative initiatives raised >€55k. It’s a great model where ecosystem builders (ImpactHub) and financial corporations (ING Bank) work together to stimulate entrepreneurship.

Here are the most notable crowdfunded startups in Romania:

Sound Heroes, $485k [Indiegogo]

Kalium Sound Heroes are the most futuristic Bluetooth speakers that have ever existed.

Kalium Sound Heroes are the most futuristic Bluetooth speakers that have ever existed. Dagadam, £140k [Kickstarter]

Dagadam Watch is the world’s first round functional curved touch bezel smartwatch with an AI notification center, compatible with Android and IOS devices.

Dagadam Watch is the world’s first round functional curved touch bezel smartwatch with an AI notification center, compatible with Android and IOS devices. Wallor, $22k

Wallor: RFID Wallet with GPS Tracking and Anti-Theft Alarm.

3. The impact of the Romanian tech scene is being felt outside our borders. Mada Seghete, is the co-founder of one of the most well-known Romanian-founded startups — Branch. She says:

“My advice is to look at failure as just a step in the greater journey. We failed three times before we started Branch to solve problems we had in a previous venture. I think for women it can be even harder to let go of an idea and move to something new — but sometimes it’s necessary. My advice — don’t be afraid to cut your losses and start something new — if you keep building and learning you will eventually find something that has huge potential.”

Notable startups launched abroad by Romanian founders include:

Spring[US], $65m

Spring is a digital shopping destination where people can discover amazing products and buy them directly from their favorite brands in a single-cart experience. Octavian Costache is the co-founder and CTO of the online marketplace.

Spring is a digital shopping destination where people can discover amazing products and buy them directly from their favorite brands in a single-cart experience. Octavian Costache is the co-founder and CTO of the online marketplace. Branch[US], $60m

Branch unifies mobile measurement and user experiences across devices, platforms, and channels. Branch was founded by 4 Stanford engineers including Mada Seghete. The firm raised raised $113m to date and the product reaches 2B users in 23,000 apps.

Branch unifies mobile measurement and user experiences across devices, platforms, and channels. Branch was founded by 4 Stanford engineers including Mada Seghete. The firm raised raised $113m to date and the product reaches 2B users in 23,000 apps. Tracktable [UK], $8m.

A computer vision powered company focused on the insurance industry. Razvan Ranca is the co-founder and CTO of the AI-powered startup understands thousands images like experts do in seconds, with razor-sharp accuracy.

A computer vision powered company focused on the insurance industry. Razvan Ranca is the co-founder and CTO of the AI-powered startup understands thousands images like experts do in seconds, with razor-sharp accuracy. Vita Mojo [UK], £3.28m

The restaurant that lets you design your own meals. Founders Nick Popovici and Stefan Catoiu — a former finance worker and an organic farm owner respectively — have teamed up with chef Paul Davies, previously of Ham Yard Hotel in Soho, and nutritionist Helene Patounas to make it happen. The round was raised on equity crowdfunding platform Crowdcube.

The restaurant that lets you design your own meals. Founders Nick Popovici and Stefan Catoiu — a former finance worker and an organic farm owner respectively — have teamed up with chef Paul Davies, previously of Ham Yard Hotel in Soho, and nutritionist Helene Patounas to make it happen. The round was raised on equity crowdfunding platform Crowdcube. Proportunity [UK], undisclosed

Proportunity pushes the edge on real estate data-driven investment insights. The firm stated by Vadim Toader and Stefan Boronea was accelerated within EntrepreneurFirst seventh batch.

Proportunity pushes the edge on real estate data-driven investment insights. The firm stated by Vadim Toader and Stefan Boronea was accelerated within EntrepreneurFirst seventh batch. StatusToday [UK], undisclosed

An AI-powered Insights Platform that understands human behavior in the workplace, ensuring security, engagement and productivity through patent-pending tech. The Startup cofounded by Co-founded by Ankur Modi (CEO) and Mircea Danila Dumitrescu (CTO), has been accepted to GCHQ Cyber Accelerator and shortlisted for the hottest AI start-Up at The Europas European Tech Startup Awards 2017.

An AI-powered Insights Platform that understands human behavior in the workplace, ensuring security, engagement and productivity through patent-pending tech. The Startup cofounded by Co-founded by Ankur Modi (CEO) and Mircea Danila Dumitrescu (CTO), has been accepted to GCHQ Cyber Accelerator and shortlisted for the hottest AI start-Up at The Europas European Tech Startup Awards 2017. IntelFlows [EE], undisclosed

A big data/IoT company with a different approach to data collection. The team led by Cosmin Pirvu have been accepted to be part of Startup Wise Guys accelerator.

4. A growing group of Romanian investors is having impact both at home and abroad. The investors that contributed mostly to the deals mentioned earlier in this article are Accel, Credo Ventures, Earlybird, Catalyst, Seedcamp, and Risky Business. But these are certainly not the only investors putting money into Romanian tech.

Fribourg Digital launched a €20 million fund, which targets early stage investments in tech startups. Ion Sturza, managing partner at Fribourg adds:

“The range of investments is between €20 and €250 thousand with the possibility to do follow on investments up to €1 million. Fribourg also brings on board strong operational involvement to support founders with networking, business development, and organisation structuring. The team behind the fund, invested in successful startups such as elefant.ro, SEO Monitor, Planable, Baro and Spherik Accelerator.”

The club of Romanian VC’s working abroad at Atomico, Accel, and EarlyBird has grown with Angelica Anton as the founding partner of Silk Ventures, a $500M fund backed by the Chinese government to invest in European and U.S. ‘scale-ups’.

Also abroad, there are some additional professional investors in the healthcare, biotechnology, and life sciences industries: Cristina Ghenoiu, Longitude Capital, Menlo Park, US; Irina Haivas, GHO Capital London, UK and Vasile Tofan, Horizon Capital, Kyiv, UA.