Portugal’s growing ecosystem and investment in XR technologies make it a prime candidate for leading the European market.

According to the 2024 Portugal XR Report by APDC, Portugal is well-positioned to become a hub for extended reality (XR) and virtual worlds development.

The country’s growing number of XR startups, coupled with strategic investments in research, infrastructure, and talent, places it at the forefront of Europe’s digital economy.

The report reveals that over 200 organizations are operating in the XR field in Portugal, with many of them being startups. These companies are using immersive technologies to innovate across sectors like education and culture. The European Commission predicts that 860,000 new jobs will be created in the XR field across Europe by 2025.

Luís Bravo Martins, the coordinator of the report, emphasized that XR technology’s impact is far-reaching beyond gaming, noting that over 20% of the organizations in the report work in education and culture. He also mentioned that only 50% of these companies are based in Lisbon, with many others spread throughout the country.

Anne Bajart, Deputy Head of Unit at the European Commission, praised Portugal’s thriving technological ecosystem and its growing startup network, which positions the country as a potential leader in XR innovation. Despite challenges, including many organizations generating minimal revenue, 17% of them report earnings exceeding 5 million euros. The global demand for XR technology is evident, with significant market presence across Europe, North America, and beyond.

With substantial investments and a favorable ecosystem, Portugal is primed to become a global leader in XR development, shaping the future of virtual solutions and improving quality of life through innovation.