In a world where “second cities” often struggle to escape the shadow of capitals, Gothenburg has rewritten the playbook. As Sweden’s second-largest city, Gothenburg has turned an industrial heritage, that so often defines “second cities”, into a global innovation powerhouse—one that even rivals its capital “big brother” Stockholm in key sectors like life sciences, deeptech and hardware.
So how did Gothenburg transform itself from a primarily port city into an industrial centre? Firstly, it focused on the major companies already in the city. Nearly 100 years ago, Volvo Cars was founded on Torslanda, an island just outside the city that remains its headquarters today, spinning out of SKF, one of the region's major industrial players. Major multi-national conglomerates including Ericsson and AstraZeneca also call Gothenburg home.
Yet, unlike Silicon Valley’s startup-isolationist culture, Gothenburg’s technology ecosystem thrives on symbiosis. Volvo and AstraZeneca aren’t just employers—they’re innovation partners. Major international companies play an important role in the growth and development of startups, with ventures such as Volvo CampX and AstraZeneca’s BioVentureHub helping to incubate nascent technologies with real-world experience. This collaborative model explains why 45% of Gothenburg’s startups scale successfully—twice the European average.
So where do these startups come from? World-leading universities and research institutions help to springboard new ideas and technologies that are given time, space and resources to develop. The talent pipeline forged by the city’s two main academic institutions, Chalmers University of Technology and the University of Gothenburg, supply 63% of the region’s tech workforce.
These universities have also been ahead of the curve in bridging the gap between academia and industry, launching incubators and funding mechanisms. Focusing on deeptech, Chalmers Ventures and GU Ventures, the venture capital arms of the two universities, have spun out hundreds of companies, making it no surprise that the region receives over a third of all of Sweden’s R&D investments from across industry and academia, proving that classroom theories can become market-defining companies.
As well as Sweden's undisputed R&D hub, Gothenburg is increasingly recognised as a world leader in the intersection of hardware and software, and of innovation in sustainability and mobility. In fact, the city will in June host this year’s EVS (Electric Vehicle Summit), the world’s premier sustainable automotive event now in its 38th year. No wonder the city’s startup scene is flourishing, attracting over £300M of venture capital investment.
Finding a niche as a “second city” isn’t always easy, as it takes time to forge a distinctive identity from the capital. For Gothenburg, sustainability emerged as a competitive advantage. Topping the Global Destination Sustainability Index for seven consecutive years, Gothenburg has embedded green principles into its startup ecosystem, and the city as a whole, attracting talent and investment as a result.
While it is all well and good to have strong multinationals, universities and a sense of civic identity, what elevates the ecosystem in a city is a sense of openness and collaboration. Whereas more major cities will have larger events, attracting tens of thousands of delegates and making it impossible to meet everyone you want to, in Gothenburg the emphasis is on forging meaningful relationships. Over 1700 meetings were pre-booked at GoWest 2025, Gothenburg’s leading technology and venture capital conference, between nearly 400 startups and nearly 300 investors. Whether corporate VCs representing major companies or institutional investors coming from universities, providing a forum for them to properly meet with cutting-edge startups and scaleups is of paramount importance, bridging academia, industry and capital.
Gothenburg’s winning formula of corporate collaboration x academia x sustainability offers lessons for second cities across Europe and the world. More cities need to leverage legacy industries as testbeds for emerging tech, make universities economic engines, not ivory towers, and position sustainability as ROI, not compliance. Yet, above all else comes collaboration. In an ecosystem where everyone can know everyone, size is no barrier. That’s the second-city advantage: where innovation meets cooperation, scaleups grow roots, not just valuations.
Sofia Hjelmberg is the Event Director of GoWest, Gothenburg’s largest tech and startup event
