The startup ecosystem in Central and Eastern Europe is booming.
According to a report prepared by Dutch intelligence platform Dealroom in cooperation with Google for Startups and London-based venture capital firm Atomico, the total value of startups in the region exceeds $215 billion, representing a 19-fold increase compared to 2010.
Data shows that 34 “unicorns” have been developed in Central-Eastern Europe so far. Unicorns are startups whose value is estimated to be at least $1 billion. In comparison, there were only six such companies in the region in 2015.
The report also showed that 31 percent of the unicorns were established without an external investor (they were bootstrapped). In the rest of Europe, only 7 percent of all startups were bootstrapped. Dealroom indicated this as more proof of the strong entrepreneurial foundations among the region’s inhabitants.
The report singled out Estonia as boasting one of the largest startup ecosystems in the region and pointed out that the small country is a leader when it came to the number of startups per capita (1,048) and the number of investments into startups per capita ($2,282 raised per capita).
“I strongly believe that Central-Eastern Europe has huge potential to become a cradle for the most valuable European companies. All the ingredients necessary for this success already exist — the determination of people establishing businesses, qualified staff, and diligence,” Sasha Vidiborskiy of Atomico said.
