Introduction

Millions of startups are created every year. And while founders may have good intentions to change the world with their ideas, the harsh reality is that 90% of startups fail.

On the positive note, though, 10% of startups succeed, and founders can put themselves closer to that achievement just by paying attention to market trends.

Understanding what markets are growing in the coming years can help founders tailor their ideas to fit into markets with high demand.

So, what industries are projected to grow over this decade?

We can expect to see rapid growth in AI, renewable energy, and B2B sectors over the next five years.

According to the Hypergrowth Startup Index, AI is already shifting the entire startup landscape and generating high demand. Because it affects so many other industries, the AI sector is expected to grow at a 28.46% compound annual growth rate (CAGR), putting it on track to be the fastest-growing industry globally through 2030.

Renewable energy is another industry experiencing rapid growth, thanks to updated technology that is making it more accessible and efficient. In 2024, the energy sector had an average 37% annual growth rate, while renewables are expected to reach a CAGR of 17.2% through the end of the decade.

Similarly, B2B is steadily growing, with an average growth rate of 35% in 2024. According to Research And Markets, the B2B e-commerce market alone could grow to $47.54T by 2030, reaching a CAGR of over 16%. Together, IT and B2B have been major successes in the startup space, comprising nearly half of all exits in 2024, according to data from the Hypergrowth Startup Index.

For founders and investors, these trends give clues to what startups could be most successful over the next five years. Whether you’re starting a company or looking to invest in one, pursuing these industries could help put you on a path to high revenue and ROI.

Top 10 fastest-growing industries through 2030

Consider these top 10 fastest-growing industries to help you navigate your next move as a founder or investor.

1. AI

CAGR: 28.46%

It’s easy to see that AI is one of the most rapidly growing industries today. AI is making headlines daily, both in and out of the startup space. Even Google’s search engine presents AI results at the top of the page, already transforming how we use the internet.

As reported by Forbes, AI is expected to grow at a 28.46% CAGR, and this increase will also drive other sectors to grow, such as B2B by offering automated personalization or healthtech through analyzing patient data and detecting diseases sooner.

Already, AI has seen incredible growth, jumping from a market size of almost $50B in 2023 to over $184B by 2024. According to Statista, the market size for AI could reach $826B by 2030.

AI and machine learning (ML) startups are disrupting nearly every other industry, which helps explain the rapid growth. By automating, analyzing, and personalizing content and data quickly, AI is becoming highly in demand for individuals, professionals, and governments. That’s why the industry will continue to grow at a rapid pace through the end of the decade.

 

AI startups are already outpacing SaaS, and this trend is expected to continue. Some of the major players in this space include companies like OpenAI, whose ChatGPT product is now a household name, and Anthropic, whose language-learning model (LLM) Claude offers personal and professional use cases for everything from generating content to analyzing complex data.

2. Renewable energy

CAGR: 17.2%

We all rely on energy to get through our daily lives. Whether powering the lights in our homes or fueling our personal vehicles and public transit, the demand for energy isn’t slowing down anytime soon. In fact, according to Next Move Strategy Consulting, the overall global energy generation sector has a CAGR of 8.2% through 2030.

In particular, renewables will shine moving forward, with global renewable electricity generation expected to increase by nearly 90% by 2030, compared to 2023, according to the International Energy Agency. As Grand View Research reported, renewables are expected to reach a CAGR of over 17%.

With worsening impacts of climate change, more and more individuals, organizations, and governments are transitioning to cleaner energy sources that produce less emissions compared to fossil fuels. Meanwhile, the human population continues to increase, meaning higher demand for energy generation. Increasing numbers of data centers also require more energy.

By combining innovation and technology, the energy sector is set to both grow rapidly and move toward more renewable sources, such as solar, wind, and hydropower to meet demand.

Generate Capital is a major name in the clean energy space, and it has raised over $7.1B since it was founded in 2014. The reason for the company’s success? Diversification. By focusing on building and operating everything from energy storage and solar to electric vehicles and charging infrastructure, the company has been able to increase demand for sustainable products and services in a wide variety of markets.

Then, there’s the emerging success of Realta Fusion, a startup focused on developing a zero-carbon method of producing heat and electricity. It recently raised $36M in Series A funding to finalize its prototype reactor design, which could lead to a breakthrough in low-cost, zero-emissions energy production.

Many more companies could see similarly successful funding rounds and long-term financial health by pursuing the clean energy sector.

3. B2B

CAGR: 16.17%

B2B, or business-to-business, continues to grow at a rapid rate. Startups aren’t limited to developing the next household staple; instead, many startups are finding success in selling a product or service to other businesses.

The sector is expected to grow at a 16.17% CAGR through 2030, after already growing at an average rate of 35% in 2024, according to the Hypergrowth Startup Index.

As more businesses digitize their operations and processes, they need other software products or services to do things like manage customer data, market new products, track revenue and expenses, and more. In order to improve efficiency, businesses will continue to rely on B2B for the foreseeable future.

Some of the most successful, fastest-growing startups today fall into the B2B category, including Databricks (with a $63B valuation), Checkout.com ($40B valuation), CoreWeave ($23B), and Miro ($17B). Successful B2B startups, including those in this list, are able to scale quickly by improving pain points for other businesses, ultimately allowing their clients (ranging from small businesses to enterprises) to be more productive and generate more revenue.

4. Healthtech

CAGR: 13.1%

Healthcare, and healthtech in particular, continues to grow quickly, and many sectors within healthtech are seeing higher growth rates.

For example, healthcare predictive analysis is anticipated to have a 24.4% CAGR through 2030, while robot-assisted surgery is expected to have a CAGR of 13.54% through the end of this decade. In general, the healthtech sector is anticipated to reach a market size of $3.14T by 2033, with a CAGR of 13.1% through 2033.

Making healthcare more efficient and precise through tech like AI and robotic surgery assistance will help professionals serve a growing population and more accurately diagnose and treat patients. In return, patients will receive faster answers and treatment. The sector is anticipated to grow, too, because of more interest and investment in preventive care.

Some of the unicorns in the healthtech industry include Devoted Health ($13B valuation), a comprehensive healthcare and insurance company aimed at providing healthcare to older adults, and Zocdoc ($1.8B valuation), a platform that makes it easier for patients to schedule in-person and virtual appointments with healthcare professionals.

5. Cryptocurrency/blockchain

CAGR: 13.1% (cryptocurrency), 58.3% (blockchain)

Cryptocurrency has been making headlines for years, and it’s not going away anytime soon.

This industry is slated to reach a CAGR of 13.1% over the next five years, while blockchain will be one of the fastest-growing industries with a CAGR of 58.3% and an anticipated market size of $306B by 2030.

What explains this intense growth? Blockchain is revolutionizing the financial industry, but it’s also useful in other industries, such as telecommunications. It makes data easier to secure and trace while also reducing the costs of managing this data.

As for cryptocurrency, this sector continues to grow because it is a digital asset, and the technology allows for the decentralization of finances. These sectors go hand-in-hand, as cryptocurrency is built upon blockchain technology.

One of the biggest companies in the blockchain space is also one of the most well-known companies in the world: IBM. IBM has developed its own blockchain network to increase efficiency, productivity, and traceability while also gaining an edge in this field as a trusted enterprise name. As for the crypto space, Binance stands out among competitors. This crypto-exchange platform has a valuation of around $62B.

6. Cybersecurity

CAGR: 12.9%

With more aspects of our lives moving online and growth in software, AI, and other tech-forward industries also comes an increased need for better cybersecurity.

As such, we can expect to see around a 12.9% CAGR through 2030 for the cybersecurity industry, according to Grand View Research. The market size for this industry is forecasted to reach $500B by the end of this decade.

 

Cloud-based cybersecurity solutions are especially coveted moving forward, as both businesses and individuals are adopting cloud-based storage and services more and more.

Large enterprises, in particular, are showing great demand for enhanced cybersecurity, including for cloud-based services, which creates an opportunity for startups to innovate and provide unique products and services in the space.

1Password ($6.8B valuation) is an example of a successful cybersecurity company that has revolutionized the space. By storing all of a user’s passwords securely, the user no longer has to either remember several different passwords or risk their security by using the same password for multiple sites. Another unicorn in this space is Abnormal ($5.1B valuation), an AI-powered cybersecurity company that can predict and protect from phishing attacks and other security threats.

7. Software

CAGR: 11.3%

Software will continue to be an in-demand industry as we continue to rely on the digital landscape for personal and professional use cases.

The overall software industry is expected to reach a CAGR of 11.3% through 2030, with software-as-a-service (SaaS) forecasted to grow at a 12% CAGR through the same period.

More advanced technology, like our smartphones and computers, makes it more important than ever to have high-tech, state-of-the-art software to do everything from manage customer data (with a handy CRM) at work to playing high-resolution video games with friends.

People will continue to need software as we manage more aspects of our lives digitally, hence the high growth anticipated for this sector.

Think of some of the tools you use at work, and you’ll be able to pinpoint successful software startups. Companies like Stripe ($70B valuation) and Canva ($20B) are not just unicorns of the software industry, but they are some of the fastest-growing, highest-valued startups in the world, across all industries, according to the Hypergrowth Startup Index.

8. IT

CAGR: 8.38%

IT is a wide-ranging industry, so it makes sense that it is already experiencing high growth rates. This sector had an average 36% growth rate in 2024, as shared in the Hypergrowth Startup Index, and could reach a market size of $1.94T by 2030, Mordor Intelligence reported. From 2025 through 2030, the industry’s CAGR is anticipated to be 8.38%.

Individuals, businesses, and governments all rely on IT, and increasing interest in cloud storage and services is also driving growth for this sector, as is the rise in remote work since the COVID-19 pandemic. The interest in digital services is only getting stronger and more prevalent globally, so the IT industry growth will rise to match demand.

Many companies in the IT sector have seen success, particularly the data intelligence platform Databricks, which has a $63B valuation and has made huge waves in the AI space by making data storing, cleaning, and visualizing an easy, efficient process.

Because IT is so broad, companies in the AI, software, and cybersecurity sectors fall under the IT umbrella as well. Many of the most successful startups in AI are also successful IT startups.

9. Financial Services

CAGR: 7.2%

Financial services is not a new industry, but it is seeing incredible growth with technology changing how we handle finances. The industry is expected to grow at a CAGR of around 7.2% through 2033.

Startups in this space are seeing great success, as financial services exits deals are currently at an average of $5.3B each, according to the Hypergrowth Startups Index.

Fintech companies in particular will see continued growth, as AI transforms this space. The growth in financial services will also rise alongside the growth of the cryptocurrency and blockchain sector.

Some of the highest valued startups today fall under this category, including Stripe ($70B valuation), Revolut ($45B valuation), and Chime ($25B valuation). These companies disrupted their industry by identifying a problem in their target market and solving it with user-friendly products, and they saw extreme growth as a result.

10. Consumer durables

CAGR: 6.3%

While many of the fastest-growing industries are digitally focused, the consumer durables sector will also continue to grow. Everything from laptops to refrigerators to books falls into this category, which simply refers to items that last for more than a few years.

Because the category is broad, many different kinds of products in this sector can contribute to growth. The consumer durables industry is slated to reach a CAGR of 6.3% by 2033 and a market size of over $2T, Business Research Insights reported.

In 2024 alone, the consumer durables sector showed a surprising amount of growth with a 29% average growth rate, according to the Hypergrowth Startup Index.

This category is broad and can go hand-in-hand with other categories. For instance, EVs and residential solar panels count as consumer durables, but demand for these products is also driving growth in renewable energy. That is why we can expect to see continued growth for consumer durables across other sectors.

Startups may want to consider whether they could develop durable, long-lasting products in other growing categories, like energy or healthtech, to capture rising demand for those sectors and consumer durables simultaneously.

Several startups have been successful in this field, such as the cloud-based video security company Ring (acquired by Amazon), or the wellness smart tech company Oura ($5B valuation). These companies developed products that were not only designed for long-term use, but they also capitalized on other growing markets, like security, health, and tech.

Key lessons

The successful startup founders of tomorrow should keep a close eye on future trends, particularly the fastest-growing industries through 2030.

AI is by far the fastest-growing industry, which many people have already noticed through its explosive growth and prevalence in many of the digital things we do each day.

However, other sectors, such as healthtech, renewable energy, and cybersecurity, will also see continued growth over this decade. Traditional industries like financial services will also grow, in part thanks to AI.

Whether you choose to launch a business within one of these industries or develop products and services that cater to other businesses in these sectors, there are endless opportunities to turn today’s trends into tomorrow’s success.

Founders, investors, and anyone interested in succeeding in the startup space can gain more insights into the biggest startup trends today and in the future — from deal sizes to AI impacts and more — by checking out the Hypergrowth Startups Index.

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