Expert Corner

EXIST Lighthouse Competition: Introducing the 10 projects selected to become Germany official Startup Factories

Jul 15, 2025 | By Kailee Rainse

The EXIST Lighthouse Competition, also known as EXIST Startup Factories, is a major program started by Germany’s Federal Ministry for Economic Affairs and Climate Action. It is part of the wider EXIST program that supports startups coming from universities. The goal is to create about ten strong startup hubs, called “Startup Factories,” across the country. These hubs bring together universities, research institutes, companies, investors, and the startup community to help turn research and ideas into successful businesses.

The competition has two main phases. In the first phase, up to 15 teams (called consortia) receive €150,000 each to build partnerships and create solid business plans with private sector support. After a review process, 5 to 10 of these teams move on to the second phase, where they can receive up to €10 million in public funding, which must be matched by private investors. The goal is to build strong and visible startup ecosystems that help create innovative, high-growth companies and support the transfer of knowledge from research into real-world products and services.

What is the EXIST Lighthouse Competition?

The EXIST Lighthouse Competition (also called EXIST Startup Factories) is a big national program in Germany that helps turn research from universities into successful businesses. It is part of a larger effort called the EXIST – University-Based Business Start-Ups program.

The main goal is to build up to ten special startup centers, called Startup Factories, across the country. These centers are designed to support the creation of more and better startups based on scientific knowledge and research.

Each Startup Factory works like an innovation hub:

  • Universities, research centers, companies, investors, and startup groups all work together.
  • The funding is split between public money and at least 50% private investment.
  • They run like a real business, aiming for long-term success and financial sustainability.

Phases of EXIST Lighthouse Competition

The EXIST Lighthouse Competition (also called EXIST Startup Factories) has several simple steps that help turn research ideas into real, successful startups. Here's an easy breakdown of the process:

Activation Phase

  • In this first step, universities, research institutes, companies, and investors are encouraged to form teams in their region.
  • The goal is to get these groups ready to submit a strong proposal for the next round.

Concept Phase

Up to 15 teams (called consortia) are chosen by a panel of experts.

Each team gets €150,000 in public funding to:

    • Create a clear business and action plan
    • Build strong partnerships between public and private organizations, with at least 50% private investment

    Project Phase

    • Next, 5 to 10 of the best teams move forward after another round of evaluation.
    • They each receive up to €10 million in federal funding, which must be matched by private investors.
    • This money helps them set up and run their Startup Factory for several years.

    Implementation & Growth

    The chosen Startup Factories begin working as innovation hubs, where:

      • Startups get help from mentors
      • Universities and companies work together
      • New ideas are turned into real businesses
      • Long-term success and sustainable growth are the main focus

      10 winning startup factories

      Here are the 10 winning Startup Factories from the EXIST Lighthouse Competition, announced on July 10, 2025:

      Impossible Founders

      • A partnership between Universität Hamburg, TU Hamburg, and DESY.
      • Helps scientists turn their research into startups with support from private investors.

      Gateway Factory

      • Led by the University of Cologne and RWTH Aachen.
      • Focuses on growing existing startups into international companies.

      The Bridge / Southwest X

      • Also known as Southwest X.
      • Supported by Saarland University, DFKI, and partners in Germany, France, and Luxembourg.
      • Builds cross-border startup collaboration.

      FUTURY

      • The Future Factory (Rhine-Main/Frankfurt)
      • Creates a strong startup hub focused on sustainable tech and innovation in the Frankfurt region.

      BRYCK Startup Alliance

      • Combines universities, companies, and investors in North Rhine-Westphalia.
      • Supports industrial and deep-tech startups.

      boOst Startup Factory

      • Located in Saxony and Thuringia.
      • Focuses on high-tech areas like semiconductors, health tech, and clean energy.

      ZOHO Factory

      • Run by FAU and ZOLLHOF.
      • Aims to become one of the top deep-tech startup hubs in Europe.

      GOe FUTURE

      • Focused on life sciences and medical startups.
      • Involves institutions from Göttingen, Hanover, and Braunschweig.

      NXTGN

      • Based in Karlsruhe, Stuttgart, and Ulm.
      • Connects startups with science and industry to support innovation.

      UNITE

      • A large network of over 50 partners in Berlin and Brandenburg.
      • Aims to build a globally recognized startup and innovation hub.

      Benefits

      The EXIST Lighthouse Competition helps improve Germany’s startup and innovation scene in many ways. It supports turning research ideas into real businesses by connecting universities, research centers, companies, and investors. For universities, it helps them share their research better, get noticed internationally, and work closely with private businesses.

      Startups get important help like funding, advice, and support to grow faster and solve early problems. Companies and investors also benefit by getting early access to new ideas and talented people, while sharing the costs with public funding.

      The competition also helps create good jobs, strengthen local economies, and make Germany more competitive worldwide in science-based businesses. Overall, it builds strong and lasting startup communities that turn research into practical and successful companies.

      Advantages

      • Strong support for startups: Provides significant funding and expert mentoring to help startups grow faster.
      • Encourages collaboration: Brings together universities, research institutes, industry, and investors to work as partners.
      • Boosts innovation: Helps turn research ideas into real products and businesses, improving technology transfer.
      • Public-private funding: Matches public money with private investments, increasing financial resources and reducing risk.
      • Regional growth: Supports building startup ecosystems in different parts of Germany, creating jobs and strengthening local economies.
      • International visibility: Helps German startups and research get noticed globally, attracting more partners and investors.

      Disadvantages

      • High competition: Many consortia apply, but only a few win funding, which can be discouraging for some.
      • Complex application process: Preparing proposals and managing partnerships requires time, effort, and experience.
      • Funding match required: Private investors must match public funding, which can be difficult for some teams to secure.
      • Long-term commitment: Startup Factories need to operate sustainably over several years, which demands ongoing resources and management.
      • Focus on knowledge-based startups: May not fully support startups outside science and research fields, limiting diversity.

      Conclusion

      The EXIST Lighthouse Competition is a powerful initiative that strengthens Germany’s innovation and startup ecosystem by turning research into successful businesses. By fostering strong partnerships between universities, industry, investors and startups it creates vibrant regional hubs that support high-tech, knowledge-based entrepreneurship. With its combination of public and private funding, expert mentoring and focus on sustainable growth the competition helps build lasting startup communities that drive economic development and global competitiveness. While the process can be demanding and competitive, the benefits for startups, researchers, and regions make the EXIST Lighthouse Competition a key driver of Germany’s future innovation success.

      FAQs

      What is the EXIST Lighthouse Competition?

      It is a German federal program that supports building regional startup hubs called “Startup Factories” to turn research ideas from universities and institutes into successful businesses.

      What is the goal of the Startup Factories?

      To create sustainable innovation hubs that help research-based startups grow and succeed internationally.

      Who funds the EXIST Lighthouse Competition?

      It is funded by Germany’s Federal Ministry for Economic Affairs and Climate Action, with private investors matching public funds.

      Recommended Stories for You