The Estonian tech ecosystem is already a marvel of Europe, with records in unicorns and startups per capita.
But the ecosystem is maturing, with more and more scale-ups making it big — this year, eight Estonian companies have secured their positions in the prestigious Leading European Tech Scaleups (LETS) 2024 list, joining a select group of 251 high-performing European companies.
- Bolt: A mobility super-app that has revolutionised urban transportation across Europe and Africa.
- Veriff: An AI-powered identity verification platform that’s become a global leader in digital KYC.
- Skeleton Technologies: Europe’s leading ultracapacitor manufacturer, pushing the boundaries of energy storage technology.
- Bondora: A peer-to-peer lending platform that’s reshaping consumer finance across Europe by allowing anyone to invest in high-quality loans.
- Tuum: A next-generation core banking platform provider enabling financial innovation.
- Adcash: A global advertising technology company.
- Choise.ai: An innovative CeDeFi platform bridging traditional and decentralised finance.
- Swappie: A circular economy pioneer in the refurbished smartphone market.
The LETS index, which has nearly doubled from last year’s 135 companies, represents the top grade of European tech companies that have achieved global scale, each generating at least €10M in annual revenue. 70% of LETS members have established a global customer base extending beyond European borders, with North America emerging as the primary export market.
Estonian startups are known for their tendency to think globally from the very beginning.
However, more could be done at the EU level. The LETS report highlights persistent challenges in pan-European expansion, with regulatory fragmentation remaining a significant hurdle despite the Single Market framework. Companies typically require anywhere from three months to three years to establish operations in new European markets, with regulated sectors facing the longest delays. In Estonia, you can start your business in hours, thanks to digitalised infrastructure.
Looking ahead, the LETS companies — including Estonian entries — show robust growth potential, with 94% currently hiring and 53% seeking to add between 11 and 50 new positions. Moreover, 60% of these scale-ups have already achieved profitability, with the remainder expecting to reach this milestone within three years.
The Estonian tech sector, which recently reported record-breaking turnover numbers, is here to make an impact in Europe and beyond.
Want to be a part of Estonia’s next scale-up and invest in frontier opportunities? Send us a request for 1:1 e-Consulting to get started.
