Advantage Austria

Built on business

Atanas Zhelev & Mara Gajic
Co-founders, Shion

Founded in 2019, Viennese start-up Shion pairs advanced AI software with acoustic hardware to create a noise-cancelling effect that CEO and co-founder Atanas Zhelev compares to standing in a silent forest. “The vibrations of nature are good for the human body,” adds COO and co-founder, Mara Gajic. “In bustling cities, we wanted to bring a bit of serenity back.”

Far more than just a passive sound-dampening device, Shion’s Serenity One technology can analyse frequencies and calibrate its wood-and-carbon-fibre membrane panels to work in tandem with speakers or adapt to the natural acoustics of a room.

The concept was developed during Zhelev’s PhD research and has already attracted the attention of his former employer, Zaha Hadid Architects. “Their buildings use very unusual materials and structures, so the acoustics are even harder to plan,” says Gajic. “Instead of compromising that freedom, they wanted something that they can integrate to fix the acoustics and keep their crazy designs.”

While experts understand the benefits, Zhelev and Gajic want the public to experience their product. To “spark curiosity”, they are targeting international sports events, like the Abu Dhabi F1 Grand Prix where their system will be installed in the business lounge to block out the sound of roaring engines. In fact, Shion has certification proving it cancels up to 75 per cent of noise in a room, making it one of the world’s best non-headphone solutions. “We can help companies get their green goals,” says Gajic.

Shion: a timeline

2017
Atanas Zhelev begins researching acoustic solutions for his PhD

2020
Shion is founded with headquarters in Vienna’s Millennium Tower

2022
With seed funding, the first full Shion noise-cancelling system is launched

René Gilvert
CEO, Brightmind.AI

In the heart of Vienna’s start-up scene, Brightmind. AI is championing a breakthrough in migraine therapy that could revolutionise the lives of millions. The med-tech company has developed a wearable headset to offer personalised relief for migraine sufferers.Combined with AI-enabled analytics, the headset administers repetitive transcranial magnetic stimulation, providing convenient, accessible and drug-free treatment. “Our approach is unique as it doesn’t rely on visiting a clinic,” says Brightmind. AI co-founder and CEO, René Gilvert. “Instead, we bring this innovation into the homes of people that suffer.”

During a pilot study, Brightmind. AI’s technology showed promising results, suggesting patients could see an average reduction of six to eight migraine days per month. By comparison, existing treatments offer an average of two days relief per month.

Brightmind. AI has thrived in Vienna, thanks to the city’s strong support for innovation. “Austria is very favourable for start-ups in the way they have financial incentives to get this done,” says Gilvert, pointing to funding from the Austrian Research Promotion Agency (FFG) and the government-owned Austria Wirtschaftsservice bank. Such backing has allowed the start-up to move quickly from concept to clinical trials in a competitive med-tech landscape. As the 2026 market launch approaches, Brightmind. AI is bringing new hope to migraine sufferers with the potential to change how the condition is treated forever.

Vienna med-tech start-up Brightmind.AI is developing an innovative migraine treatment for launch in 2026.

Fabian Gems
CEO, Supaso

In 2021, when Fabian Gems and Georg Lackner launched their sustainable packaging company, Supaso, it was estimated that the average European generated more than 188kg of packaging waste annually. As an alternative to non-biodegradable materials such as plastics and polystyrene foam, Supaso utilises cellulose insulation fibres made from recycled paper waste that also offer temperature stability and shock absorption.

With new EU packaging regulations arriving in 2030 and individual countries implementing their own restrictions, Supaso arrived at the perfect time. “Our clients need a reliable material for when all those legislative changes come,” says Gems. “Our products come from paper and go back into paper.”

Inspired by their pristine alpine surroundings in Styria, Supaso’s founders are driven to create products that are kind to the environment. “One of the biggest challenges with packaging is that it has to be transported,” says Gems. “We’ve developed a prototype machine that can be installed at the client’s facility to convert paper waste from their logistics flow into packaging materials in-house.”

The machine is set to increase recycling rates and lower the associated carbon emissions from transport. As Supaso begins to expand on this project, it’s clear that innovation is woven into every aspect of the company’s vision to provide sustainable solutions. It is a mission that reflects not only a commitment to their clients but to the planet as well.

With a patented solution utilising recycled paper waste, Styria’s Supaso is revolutionising the packaging industry.

Supaso: a timeline

2021
Supaso launches, its name short for “Sustainable Packaging Solutions”

2023
The start-up serves more than 190 customers across nine countries

2024
A new, expanded production facility opens in Hartberg

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Land of Opportunity

About 90 per cent of the country’s electricity, for example, comes from renewable sources. Both the nation and its businesses are increasingly confident in their pursuit of climate neutrality by 2040. Notably, about 11 per cent of Austria’s goods exports come from the green technology sector.

Encouragingly, this transition is being spearheaded by some of Austria’s largest and most established companies, such as Andritz, which began its journey as an iron foundry in 1852 near Graz, the country’s second city. Alongside the metal production, Andritz has evolved into a global market leader in hydropower and pulp processing, supplying plants, equipment and services for hydropower stations as well as the pulp and paper industries.

According to Andritz chairman Joachim Schönbeck, this success is partly due to the country’s natural assets. “The geographical structure of Austria, with high mountains, large rivers, enough rain and snow, has fostered the use of hydropower in storage, run-of-river and pumped-storage power plants,” he says. But the most crucial aspect, adds Schönbeck, is Austria’s “solid educational structure” and the wealth of research institutes that consistently produce highly skilled professionals: inventor and engineer Nikola Tesla studied in Graz.

Andritz’s headquarters in the city is a key part of what has been known, since its inception in 2005, as the Green Tech Valley – a cluster of about 300 eco-minded companies in Austria’s southern provinces of Styria and Carinthia. While many of the Green Tech Valley firms only emerged in the 1990s and 2000s, making them younger than Andritz, they have already had a significant impact on the industry. Notable companies include KWB Energiesysteme, which has evolved from a manufacturer of wood-based boilers into a comprehensive energy provider across solar and other renewables, and BDI-BioEnergy, a specialist in biodiesel.

Collectively, Green Tech Valley companies generate annual sales of €7.6bn ($8.2bn) and employ about 26,500 people, with vacancies continuing to multiply. A study from last year predicted a surge of up to 100,000 new green jobs across Austria by 2028 in sectors such as digital software, machine learning, biomass, wind and solar technology, recycling systems and e-mobility. New research areas such as carbon capture – a process that traps industrial CO2 emissions for use in fuels and building materials – are also gaining ground.

While the Green Tech Valley has a strong local presence, its influence extends globally. The companies within the cluster boast an export quota of about 90 per cent (compared to 72 per cent for green companies across Austria), with many running international outposts. Andritz alone is present in more than 80 countries, employing more people abroad than it does at home in Graz. This means that Austrian green-technology talent plays a central role in global initiatives such as the European Green Deal and helps to ensure a greener and fairer future for the world.

Three fertile grounds for investment

Green technology
The sector generates revenues of €12bn and employs 40,000 people

Pharmaceuticals
World-class institutions help Austria lead the way on medical R&D

3D printing
Austria leads the world in per-capita additive manufacturing

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Why Austria?

1.
Perfect placement
With its growing multilingual workforce and strategic location between East and West, Austria is ideally situated to capitalise on foreign trade. No wonder that the country’s domestic goods and service exports are set to exceed the €300bn threshold by 2025.

2.
Room to grow
Innovation is key to this booming export market. The government’s Research, Technology and Innovation Strategy 2030 provides a clear path to investment for startups while established companies have boosted R&D expenditure to 3.3 per cent of Austria’s GDP last year, beating EU targets.

3.
Investment in people
In the 19th century, the Austrian school of economics emphasised the importance of the individual. Today that legacy can be felt in a country that puts people at the heart of a growing economy. Austria tops OECD countries for vocational training and career opportunities abound with more than 400 market-leading companies based here.

4.
Work-life balance
Of course, work isn’t everything – and Austrians certainly know how to enjoy life. Vibrant cities like Salzburg and Vienna hit all the top quality-of-life metrics, while ski resorts, Alpine hikes and crystal-clear bathing lakes rejuvenate the body, mind and spirit.

5.
A healthy outlook
With excellent social and medical security, Austria gives you the confidence to live life to the fullest. The world-class healthcare system is well-funded, accessible to all and boasts a high doctor-patient ratio.

6.
Creative fulfillment
From Mozart and Fritz Lang to the artists of the Vienna Succession, Austria is synonymous with ground-breaking culture. So, while the Salzburg Festival, the Vienna State Opera and more than 500 museums (including the new Wien Museum) celebrate these homegrown talents, that creativity lives on in a new generation too.

7.
Exquisite taste
Viennese coffee houses have been hosting inspiring conversations for centuries and Austria’s food-and-drink scene continues to think creatively today. Pioneering chefs such as Steirereck’s Heinz Reitbauer are utilising fresh local produce in innovative ways, while Vienna was named best city at the EU Organic Awards. And an Austrian wine renaissance is gaining momentum, led by imaginative winemakers from Vorarlberg to Burgenland.

Case study 1
Weingut Strehn

One prominent exponent of the Austrian wine renaissance is Pia Strehn, who runs her family winery in Deutschkreutz with brothers Andy and Patrick.

With its warm climate and sheltering hills, Burgenland has ideal conditions for producing opulent reds that are comparable with other world-class wine-growing regions such as Bordeaux and Piedmont. However, the recent global decline in red wine consumption is forcing vintners to change tack.

Deutschkreutz’s Weingut Strehn was ahead of the curve and typifies the Austrian approach of balancing a respect for tradition with a desire for inventive solutions. The Strehn family has been engaged in winemaking for four generations, yet when Pia Strehn and her brothers, Andy and Patrick, took over the business in 2012, they decided to shift their focus to rosé. In doing so, they wanted to change the perception of it simply being an easy-drinking option. “I wanted to make something new, something that nobody else did before,” says Strehn. “Rosé was just a great way to do that and change the world a little bit.”

Weingut Strehn has continued to innovate, experimenting with fermentation processes, winning Red Dot design awards for its labels and recently expanding production facilities with the aim of increasing export sales to 50 per cent. Strehn feels well supported by the Austrian wine industry yet is aware of the need to educate consumers on rosé’s potential through regular tasting events. “People are always surprised because they haven’t tasted a rosé that is so complex,” she says, pouring Monocle a glass of Muccia, which has an oyster-like saltiness. “You can serve this instead of red wine with meat or a tuna tartare.”

If every bottle tastes this good, Austria’s wine renaissance will continue to gather pace.

Case study 2
Artivive

Founded in 2017 by Codin Popescu and Sergiu Ardelean, Artivive is a groundbreaking Vienna start-up that combines traditional artistry with augmented reality.

While nothing beats the thrill of getting close to world-renowned masterpieces in a gallery, it is our smartphones that provide the gateway to these cultural experiences, whether buying digital tickets or discovering new shows online.

As CEO of Artivive, a Vienna-based augmented reality (AR) platform, Sergiu Ardelean believes that art and creativity are developing in two opposing directions: analogue and digital. “What we’re doing with Artivive is bringing these two worlds together,” he says.

Artivive allows creatives to develop AR content that is triggered by real-world artworks or locations. The app’s potential has already led to collaborations with Ikea and Vienna’s Albertina museum, as Ardelean and co-founder Codin Popescu have cultivated a community of more than 450,000 creatives eager to find new applications for the technology.

Born in Romania, Ardelean is a graduate of Austria’s University of Applied Sciences and proud of the the opportunities that his adopted home provides. “It’s great to be a start-up in Vienna because the quality of life is amazing and it is easy to find talent,” he says. “Staff costs are cheaper than the US and employees tend to remain with the company for longer.”

Ardelean is also a member of the Bold Community, a global network of visionaries and thought leaders convened by the Austrian Federal Economic Chamber in 2022, and he appreciates the real-world conversations it has sparked. “Sixty per cent of communication is non-verbal and that’s very hard to have online,” he says. “It’s great to have a platform where you can say, ‘I’m doing a project in your space, maybe we can do something together?’”

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Refreshing Change

There’s a reason why Vienna topped last year’s Monocle Quality of Life survey. Austria’s growing capital is emblematic of a country with world-class standards in education, healthcare, innovation and more. All of this is set to a pristine and invigorating backdrop of alpine meadows and snow-capped peaks.

It helps that air pollutant emissions have reduced significantly since 1990, 96.9 per cent of domestic bathing sites are rated “excellent” by the European Environment Agency (EEA), and Vienna’s taps dispense mountain spring water that is diverted via hydroelectric plants, generating 65 million kWh of power en route.

Air quality is not the only reason that Austrians can breathe easily. A move up to third on the 2024 Global Peace Index reflects the country’s assured, stable outlook and adds a further layer of security.

Yet even crystal-clear still waters run deep. Beneath the calm exterior, Austria has fostered a capacity for innovation through investment in education as well as countless government and private-sector initiatives.

As Monocle will explore over the next 24 pages, Austria has a pioneering approach to R&D and entrepreneurship in disciplines as diverse as acoustic engineering and medical research, while the “Green Tech Valley” start-ups contribute to €12bn revenues in that sector. The country’s dual education system, which combines theoretical studies with practical apprenticeships, ensures that a well-prepared workforce is on hand to enact these changes.

Such developments have seen Austria climb the Global Innovation Index with the EU’s third-highest research quota. It’s time to refresh your opinion on this dynamic, innovative nation.