Number of technology companies in Brazil is growing rapidly – they invoice US$76 billion

RIO DE JANEIRO, BRAZIL – The number of technology companies has skyrocketed in recent years, and in 2020 there was a record opening and billing of businesses in the sector, according to data from a survey conducted by the Associação Catarinense de Tecnologia (ACATE) in partnership with Neoway.

The Tech Report, a study by the two companies, shows that the turnover of technology companies in 2020 was R$426.9 billion (US$76 billion), which is equivalent to 5.6% of the national GDP.

In total, there were 85,000 tech companies founded last year, a jump of 55% compared to 2018 and 25.1% compared to the 2019 result. The country now has about 422,000 tech businesses, according to the survey.

The report’s methodology considers hardware (manufacturing industries), software and services (information and communication, professional, scientific, and technical activities, and other service activities).

WHERE ARE TECH ENTREPRENEURS IN BRAZIL

Of the R$426.9 billion invoiced by these companies in 2020, almost half (48.4%) are concentrated in São Paulo, a state that moved R$206 billion. Next are Rio de Janeiro, with 10%, Minas Gerais, with 6.3%, and Rio Grande do Sul, with 5.4% of the revenues. The amount moved by these companies is also 5.4% higher than the performance in 2019.

“With the accelerated digital transformation, we had an increase in revenue, company openings, and employees. This is the result of innovative entrepreneurship, articulations, and partnerships between entities, companies, Academia, and Government,” said, in a statement, Iomani Engelmann, president of ACATE.

Entrepreneurship in the technology market also seems to be an activity concentrated in the state of São Paulo. The ACATE report shows that of the 542,000 entrepreneurs in the sector, 197,000 are in the state.

Rio de Janeiro and Minas Gerais also rank states with the most significant tech entrepreneurs, with 50,000 and 39,000 entrepreneurs, respectively.

SANTA CATARINA STATE STANDS OUT

Despite not being among the three states with the largest entrepreneurial contingent in the country, Santa Catarina had the best performance when opening new technology businesses.

Between 2015 and 2020, the number of companies in the sector increased 63.2%, more than double the national average of 26.1%. Among the capitals, Florianópolis has the highest density of technology companies per thousand inhabitants, followed by São Paulo and Curitiba.

This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error

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