Hybridity: compliant or competitive? A false trade-off

Whenever Europe's competitiveness gap is debated, deregulation is often suggested as a solution. The common argument is that by removing regulations, you eliminate a hidden cost on investment and growth. However, dismantling regulation is not the only way to achieve this. Making compliance cheaper and faster can achieve the same result, which is the problem the Stockholm-based Hybridity set out to tackle when it was founded in 2023.

Founded on an idea from Joakim Edvardsson Reimar, Robert Lyngman, Sebastian Ramseid Foss, and Boel Rydenå-Swartling the company was built around a simple but consequential premise: compliance and competitiveness can work hand in hand.

Its Hy5 platform combines artificial intelligence with legal engineering to help organisations manage evolving EU regulatory requirements. Rather than treating each regulation as a separate workstream, Hy5 creates a unified knowledge layer, linking regulations, policies, controls and evidence in one place. This means that gap analyses, contract reviews, policy drafting and regulator-ready reports are generated automatically from live data, rather than being assembled manually under deadline pressure.

To date, Hybridity has raised a total of €5 million, with its most recent €2 million funding round attracting investors including Henrik Ekelund of BTS Group and former Northzone partner Jörgen Bladh. Some existing supporters include Noam Perski, Head of Europe at Palantir, and Simon Josefsson, former CTO at Yubico. A key addition to the team is the new CEO, Magnus Sahlgren, who previously led language technology research at AI Sweden and has over twenty years' experience in applied AI.

Sources: Hybridity / Crunchbase

Founders: Joakim Edvardsson Reimar, Robert Lyngman, Sebastian Ramseid Foss, and Boel Rydenå-Swartling