Why Are Technology Investments Important? Technology Investments and the General Economic Situation in 2022
In 2022, unexpected developments that influenced the global economy continued to shake the foundations of the modern economy. The ongoing effects of the COVID-19 pandemic, international conflicts, and rising interest rates created a challenging period for the investment sector.
In 2022, unexpected developments that influenced the global economy continued to shake the foundations of the modern economy. The ongoing effects of the COVID-19 pandemic, international conflicts, and rising interest rates created a challenging period for the investment sector. In 2021, efforts to return to the pre-pandemic era accelerated, and various measures were taken to develop investment policies. This was a natural consequence of the emergency investment strategies implemented during the first year of the pandemic (UNCTAD, 2022).
Despite these challenges, Turkey’s entrepreneurship ecosystem reached record investment levels in 2022. A total of $1.74 billion was invested across 341 funding rounds. In 2021, this figure was $1.61 billion. As of 2022, the most heavily invested sector was delivery, which relies heavily on technology. In particular, Getir’s $768 million raise drew significant attention. Outside of Getir, the gaming sector stood out both in terms of investment volume and the number of deals. In gaming, blockchain/Web3-based and longer lifecycle casual or mid-core games became especially attractive in 2022.
Leading Sectors and Startups Funded in Turkey
Delivery (Getir): $774M total investment in 2022 (Getir alone: $768M). In 2021, the figure was $430M (Getir: $428M).
Gaming: 30 startups raised a total of $437M in 2022. In 2021, this was $266M.
Artificial Intelligence & Machine Learning: 30 startups raised $140M in 2022, compared to $55M in 2021.
Digital Marketing & Sales: These startups raised $128M in 2022, versus just $4.2M in 2021 (StartupCentrum, 2022).
In 2022, 269 startups ($144M), 50 scaleups ($452M), and 3 unicorns ($1.14B) received funding in Turkey. Among them, 202 startups received investment for the first time. By sector, 18 gaming, 16 finance, 12 healthcare, 10 HR, and 10 edtech startups raised their first funding.
Global Investment Trends
Globally, financing in Q3 2022 amounted to $74.5B — down 34% from Q2 and the lowest in 9 quarters. It also represented a 58% decline from the peak at the end of 2021. Deal volume dropped 10% compared to Q2, reaching its lowest since 2020.
Overall, $1.8 trillion was invested globally in 2022. Most of this capital flowed into technology startups and innovative projects. Key industries included fintech, healthtech, AI, robotics, and energy. More than 44,000 startups secured funding, and about 195 unicorns were created worldwide.
Key Takeaways from 2022 Investments
By demand volume, delivery, gaming, AI, SaaS, and marketing tech were among the most popular sectors.
By deal count, fintech, SaaS, gaming, AI, and marketplaces led.
Gaming and fintech sectors hit all-time highs in total funding.
Metaverse-related startups grew fastest, with deal counts rising 700% YoY.
Areas of Technology That Attracted Investor Interest
Amid the economic crisis, investors focused on two key factors:
Profitability or a clear path to profitability. As a result, many large tech companies implemented cost-cutting strategies. Strong investments were seen in AI, automation, cybersecurity, fintech, and robotics.
Real-world value creation and ESG compliance. Startups aligned with environmental, social, and governance criteria gained extra attention. Web3 startups also continued to draw interest.
Decline in Overall Investments and 2023 Outlook
In 2022, overall investment volumes fell. The main reason: funds prioritized supporting existing portfolio companies rather than deploying fresh capital. A similar trend is expected in 2023. Large-scale funds are likely to become more selective, with fewer and smaller big-ticket investments. However, early-stage deals are not expected to be as heavily impacted. Lower valuations will create opportunities for smaller investors, keeping early-stage funding active.
Technology Investments in Turkey and Worldwide
On both local and global scales, investment in technology and innovative products has been increasing. Tech startups are building the future alongside their investors.
At Boğaziçi Ventures, we remain committed to investing in technology-driven and disruptive innovation-focused products and services. By backing technology, we aim to contribute to the growth of Turkish tech startups and establish new funds in this space.
We invite investors to join us in making disruptive innovation-driven investments for the future.