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invest in estonia


Smart cities

Estonia has a niche capability in the design and engineering of hardware and software solutions for intelligent transportation, urban planning, tourism and smart homes. Advanced digital infrastructure, skills and consumer adoption provide the ideal R&D testbed.

  • 2017 testing of self-driving cars legalised
  • #15 in Europe for network readiness
  • #1 the smartest city of Europe according to Emerging Europe report

Our advantages

2017testing of autonomous vehicles legalised
icon-fasffwCommitment of state to efficient public assets.
icon-facesWorld-class skills in high-tech systems, real-time computing and cyber security.
icon-scienceExtensive use of connected networks in energy, transportation and Smart City sectors.
icon-settings2Proven benefits to users and environment from adoption of smart city technologies.
icon-stone-housesCommitment of state to innovation in the smart city sector.


#3in Europe in share of ICT specialists among people employed

As an innovative and globally recognized role model of a digital society, Estonia is also pioneering the advancement of the smart city concept. Estonia was the first country in the world to implement smart parking, today our smart apps and ticketing systems are widely used across the Nordic region. Furthermore, smart car parking extends to smart and secure bike parking with Bikeep solutions.

Tuul and Bolt are two local players operating rental scooter and e-bike fleets in Tallinn and other cities in Estonia. Bolt is also providing a popular car-sharing service, making individual car ownership no longer a need for city dwellers.

All these solutions for today’s mobility challenges are supported and enabled by strong IoT engineering capabilities by companies like 1oT and Krakul and leading connectivity solutions by Comodule. Estonian startups Bercman Technologies and 1oT joined their knowledge to modernize data transmission of smart infrastructure. Bercman’s IoT-based smart crosswalks are increasing traffic safety and supporting smart vehicles’ further use in city transportation.

Tallinn has implemented various policies and solutions to enhance sustainability and the quality of life in several critical areas: mobility and infrastructure, connectivity and digitalisation, education and employment, government and governance, and real estate and environmental initiatives. Therefore, according to the Emerging Europe report – Business-Friendly_Cities_2023, Tallinn is the smartest city in the smart city development category.

Tallinn, as the capital of Estonia, provides excellent development and experimentation opportunities for testing new products and services for domestic and international companies. City, where the future joins the present, offers technology providers to test their solutions (focus areas: mobility, energy efficiency, renewable energy) in the city environment with an objective to gain experience and transform their products to global success using Tallinn as a testbed.

In March 2017, Estonia legalised the testing of autonomous vehicles in the country. Digitally-enabled infrastructure, including smart roads and ports, has also allowed Estonia to implement Intelligent Transportation Systems (ITS) to ensure smooth people and traffic flow around cities and logistics hubs. Big Data analytics are increasingly integrated to improve urban planning, civil safety, and tourism.

Thanks to high-speed digital infrastructure and the use of location technologies, Estonia has become a leader in telematics. Cutting-edge collaboration between our emergency services, Google, Tele2, Telia, and Elisa accurately pinpoints callers in seconds, saving lives.

In addition to applying smart city concepts to improve life quality and mobility, Estonia seeks to enhance economic competitiveness. Our Smart Port and FINEST Twins joint ventures with Finland increase interoperability with our largest tourism and trading partner, provide valuable data for strategic planning, and link the two economies even more closely together.

Smart cities

These websites can be useful when interested in smart cities in Estonia:

You are also welcome to send us an enquiry for more specific information.

Business opportunities in Estonia

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What is it like to run a business in Estonia? How to benefit from the e-solutions and the efficiency of our business culture? What are the opportunities in specific sectors? Who to partner up with?

The Estonian Investment Agency’s team is happy to help you via its complimentary e-Consulting service, organize online or offline follow-up events such as virtual investment visits and guide you through the fairly simple process of investing in Estonia.

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