Digital Nation: Estonia. Tech Leadership in the Baltics

Digital nation: Estonia. Tech leadership in the Baltics - Tenity Insights from Davos 2025

Innovation. Connected. is Tenity’s exclusive podcast series, recorded at the World Economic Forum (WEF) Davos.

At Tenity, innovation and collaboration drive our vision of a better-connected future. In a special episode of our podcast, Innovation Connected, recorded at the World Economic Forum in Davos, Venture Partner Max Plank spoke with Estonia's Minister of Foreign Affairs, Margus Tsahkna, about the country’s groundbreaking digital transformation, startup-friendly policies, and its pivotal role in global innovation.

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Why Estonia is a global innovation powerhouse

Estonia’s remarkable journey from post-Soviet recovery to becoming a tech and innovation leader is nothing short of inspiring.

Here are some key highlights from Minister Tsahkna’s insights:

• A Digital nation: 99% of public services are online, allowing citizens and businesses to navigate government processes seamlessly.
• E-Residency program: Over 130,000 global participants enjoy the benefits of starting and managing businesses in Estonia.
• Unicorn leader: Estonia has the highest number of unicorns per capita, creating a thriving startup ecosystem supported by streamlined regulations and a global-first mindset.
• Cybersecurity expertise: Estonia leads the world in cybersecurity innovation, hosting NATO’s Center of Excellence for Cyber Defense.
• AI integration: Public services are being personalized with AI, ensuring efficiency and reducing bureaucracy.
• Educational excellence: Estonia’s education system ranks among the best globally, driving talent development in STEM and innovation.

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"We’ve built our success on partnerships, trust, and openness. Innovation comes naturally when private and public sectors collaborate," shared Minister Margus Tsahkna.

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Why startups thrive in Estonia

Estonia offers a startup environment tailored for global success. Some standout features include:

• Fast business setup: Start a company online in less than a minute.
• Streamlined taxation: File taxes in under 30 seconds annually.
• Access to talent: A highly educated workforce with top global rankings in STEM fields.
• Collaborative ecosystem: Public-private partnerships that fuel innovation and scale.

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"Innovation comes from the private sector, and we’ve worked hand-in-hand with companies for over 20 years to create a thriving ecosystem," he emphasized.

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Through programs like Tenity’s Emerge Estonia, international founders can integrate into this vibrant ecosystem, access capital, and connect with global networks to scale their startups.