Amazon ‘actively’ looking to invest in multiple UK startups with £800m fund

Amazon is in “active conversations” about injecting cash into multiple UK startups, a top exec has said today.

The e-commerce giant is exploring funding opportunities with a number of tech startups based in the UK via its $1bn (£800m) industrial innovation fund, according to Franziska Bossart, director of the fund.

“We are in active conversations with startups in the UK,” she told City A.M., speaking to journalists at the opening of Amazon’s innovation lab in Milan on Thursday.

The industrial innovation fund, launched in 2022, is the company’s venture investment arm that is funding technology companies developing solutions in robotics, automation and supply chain innovation.

So far, it has invested in 12 startups, including Archetype AI, Instock, and Mantis, – but these are all based in the US or Israel.

This could soon change, though, with Amazon interested into the UK’s tech startup ecosystem, where Bossart said there is “huge potential”.

“The UK is obviously an extremely important startup market in Europe. If you look at the scale, at the size, in terms of financials the UK is obviously the most important startup ecoystem in Europe.

“The UK is top of mind for me when I look at startup investing in Europe,” she added.

Amazon could not disclose any specific names of companies because of ongoing due diligence processes and it cannot provide a timeframe.

The length of the process varies case by case, depending on how established Amazon’s relationship with the startup is. Bossart said the fund can “move fast if we need to”, but sometimes it takes longer if companies still need to build a syndicate, bringing several investors together.

Amazon also launched an Innovation Challenge on Thursday, open to startups globally that are focusing on packaging innovation and solutions. “I truly hope we get applications from the UK,” said Bossart.

It comes as the tech giant has today opened its €700m (£600m) ‘innovation lab’ in Milan, revealing a fleet of robots that it will use to speed up deliveries and increase efficiency in its fulfilment centres worldwide. The lab will be open to the public from this month.

Amazon wants the lab to be seen as a European centre for innovators.

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