Lisbon – The new Berlin of IT startups

The EU crowned Lisbon "the most entrepreneurial region in Europe for 2015," and investors from Germany, the United Kingdom, and elsewhere are flocking to the city to capitalize on low rents and affordable IT talent.

Portugal's capital Lisbon has placed hope for economic recovery on its nascent tech scene - and the efforts appear to be paying off.

Cheap labor and sunny weather are attracting tech investors from around the world to the Portuguese capital - transforming the city into a European startup hub. But can Lisbon dethrone Berlin as the next IT boomtown?

Room to grow

Because up to 400,000 people have left Lisbon over the

last 20 years, there is a lot of room to grow a new tech 

business right in the city center.

Although the presence of shops and restaurants on the

ground floor of many buildings make Baixa, at the 

very center of Lisbon, seem busy - it's all dark at night. 

Unemployment as an advantage

New graduates from Portugal's technical universities have been

 prevented from finding jobs at large employers, like the national 

telecom energy utility as a result of the financial crisis. Therefore,

 is has been a great opportunity for investors of small new innovative

 companies to make connections with them.

New Berlin?

It sounds a lot like Berlin's tech scene a decade ago

 - only with better weather. And experts say that if the

boom continues, this will likely result will be an explosion

in real estate prices - just as has happened in Berlin.

Apparently investors from around the world are trying

to determine whether Lisbon's empty office buildings

and warehouses can provide a sound setting for their own

 tech startup ideas.