The Italian cleantech sector is growing, with venture capital investment reaching €243.3 million in 2025, raised through 54 deals. This is according to the 2025 Annual Briefing by Cleantech for Italy, produced in collaboration with MITO Technology, a company that invests in technologies for the green transition and decarbonisation.
The fourth quarter of 2025 saw the highest level of investment ever recorded in the sector, with 17 deals totalling €106.3 million, bringing the annual total to €243.3 million. This figure confirms the acceleration seen throughout the year and the strengthening of Italy’s energy transition technology ecosystem.
The analysis highlights a maturing ecosystem that is gradually moving from early-stage experimentation to the industrial scale-up phase. This is evident from the increase in the size of individual funding rounds: an average of €4.5 million in 2025, compared with €2.5 million in 2024. This is a sign of the growing ability of Italian cleantech start-ups to attract capital to support their growth phase.
Among the vertical sectors, materials and chemicals remained the sector that attracted the largest volume of capital in 2025, with €114.5 million invested, accounting for almost half of total cleantech investment. This figure reflects the strong appeal of technologies related to advanced materials, sustainable chemistry and solutions for industrial decarbonisation. Significant growth was also seen in the energy and power sector, which raised €43.7 million in 2025, confirming investors’ strong interest in clean energy technologies, energy storage and innovative energy infrastructure.
Overall, cleantech accounted for 16.4% of total venture capital investment in Italy in 2025, confirming its status as one of the most dynamic segments of the country’s innovation ecosystem.
“2025 has confirmed that the Italian cleantech sector is experiencing a significant period of growth, with an increasingly dynamic venture capital market and larger funding rounds. The materials and chemicals, and energy and power sectors have led the way in investment, opening up new opportunities for the country’s industrial competitiveness. “2026 must be the year in which these investments translate into real infrastructure and industrial-scale production capacity, turning the funded innovations into concrete solutions for the energy transition,” says Leonardo Massa, investment director at MITO Technology, in a statement.
“Cleantech is no longer merely a technological issue, but a strategic one for European and Italian industry. The Clean Industrial Deal and the new European industrial policy initiatives are key tools for channelling investment, innovation and competitiveness towards strategic sectors. “For Italy, the challenge is to translate this vision into concrete industrial policies, strengthening the country’s capacity to develop and produce key technologies for the transition,” says Federico Cuppoloni, director of Cleantech for Italy.
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