When it comes to new and exciting advancements in innovative technologies and industry developments, many organizations located in Silicon Valley often come to mind. However, while the US has undeniably been a driving force in various new technologies, other nations have also been making notable contributions.
Lithuania, for example, is a small Baltic country that has emerged quickly in recent years as a forward-thinking nation with an incredibly strong and innovative tech sector.
Having a fast-growing and highly supported startup ecosystem and a large specialized talent pool, the country has already seen a number of unicorn companies develop, supported by major investments from both in and outside the country.
Lithuania’s tech industry has led to significant advancements across many different sectors, with a strong focus on training and developing young professionals in all STEM (science, technology, engineering, and mathematics) fields.
This direction has led to the launch and growth of numerous startup businesses, many of which are now developing a wide range of sustainable green technologies in categories such as renewable energy, waste management, and agriculture.
A primary contributor to Lithuania’s strong economy is its startup culture. According to Dealroom, in 2023, startups founded and established in Lithuania raised an investment of EUR 292.3 million.
One of the major growth contributors to Lithuania’s tech scene has been the support it has received from its government.
Programs like Startup Lithuania have helped to create a number of accelerators to allow businesses to get the help they need to scale their operations while also gaining access to important incentives to expand their reach.
Lithuania has seen a number of major brands launch and grow in the country, including three unicorn companies currently valued at over $1 billion USD.
Headquartered out of Vilnius, Lithuania, Nord Security has become a leading cybersecurity company. The company was established in 2012 and quickly gained global attention for its flagship product, NordVPN.
Nord Security ‘s innovative approach to online security has helped push it to a sizeable $1.6 billion valuation.
With a user base of over 14 million worldwide, Nord Security regularly expands its user reach and product and service offerings. The company recently secured $100 million in funding, led by Novator, with significant participation from other major investors, such as General Catalyst and Burda Principal Investments.
In 2022, Nord Security merged with another startup known as Surfshark and expanded its online security offerings, releasing new products like NordPass, NordLocker, and NordLayer. Nord Security now houses a team of roughly 1,700 people and operates in 20 countries worldwide.
Vinted is a secondhand fashion marketplace founded in Vilniun in 2008 that has reached an impressive €5 billion valuation. Since then, the company has expanded its reach to over 80 million users across 16 markets.
Vinted has focused on becoming a brand known for sustainability, affordability, and community building. In a recent development, the company concluded a €340 million share sale led by the U.S. private equity firm TPG.
This transaction not only increased Vinted ‘s valuation but also allowed employees to monetize their investments, with €100 million of the proceeds generated from employee shares.
Headquartered in Vilnius, BCG is a digital advertising leader with over a $1 billion evaluation. The company operates 14 highly successful online classifieds platforms spread across Lithuania, Latvia, and Estonia.
In 2023, the company maintained a highly profitable EBITDA margin of 76% and is recording steady growth numbers that average an increase of 20% year-over-year. BCG was listed on the London Stock Exchange in July 2021 and is a highly recognized player in the Baltic’s digital advertising market.
For US organizations and investment teams looking to expand their partnerships overseas, Lithuania has proven to be a great option to explore. Some of the reasons for this include:
One of the greatest benefits of Lithuania for expanding businesses is the country’s access to a wide pool of highly skilled talent. The country has a strong educational foundation in STEM fields taught throughout a large network of universities and research institutions.
This foundation has created a widely diverse workforce with specializations in areas like IT, engineering, cybersecurity, and biotechnology.
In addition to gaining access to more specialized skills, US-based companies can also experience a significant cost advantage when tapping into Lithuania’s labor market.
Because of the lower cost of living, US businesses can recruit highly trained professionals at lower costs compared to other parts of Europe or North America.
Lithuania’s strategic location in the Baltic and EU membership provides a valuable opportunity for US companies to expand their global market reach. This includes gaining access to a significant consumer base exceeding 500 million and a wider network of business services and potential supplier relationships.
To help simplify researching and initiate new partnership opportunities in Lithuania, businesses can leverage different innovation hubs to help support their efforts.
For example, organizations like InnoHub Lithuania can be a valuable intermediary between US and Lithuanian-based businesses looking to connect. They do this by providing localized expertise and knowledge for overseas organizations looking to establish new entities in the Baltic, as well as helping them create more successful partnerships.
InnoHub Lithuania hosts a number of events and workshops year-round that bring together Lithuanian businesses, international investors, and industry leaders, creating many different opportunities for relationship-building and exploring potential joint ventures.
Lithuania has become an attractive location for US companies to explore when establishing new strategic partnerships and growth opportunities. With a highly skilled workforce, a business-friendly tax environment, and a fast-developing startup scene, Lithuania can be a great location for US businesses to expand their capabilities.
Author Bio: Diana Placiakiene, the Business Community Manager at InnoHub Lithuania, brings over a decade of experience in marketing, sales, events, and community building. Her career spans work with early-stage startups, government initiatives, and small businesses.
From 2013 to 2015, Diana represented Innovation Agency Lithuania in Silicon Valley, acting as a bridge between Lithuanian tech companies and the dynamic Silicon Valley ecosystem. She also led the San Francisco American Lithuanian community for over three years, launching innovative programs and initiatives to connect and empower professionals.
Diana holds an MBA from Mills College in Oakland, California.
LinkedIn: https://www.linkedin.com/in/dianaplaciakiene/
If you are interested in even more business-related articles and information from us here at Bit Rebels, then we have a lot to choose from.
So, you’ve booked your dream trip to New York City. You’re reading up on ultimate…
BLUETTI reinforces its role as a technology pioneer in clean energy with innovative energy solutions…
Virtual reality isn’t just technology—it’s a portal to other worlds. But as any avid VR…
However, starting your own email list is complicated. Yet an email list is one of…
As a business owner, you no longer have to buy software used by other businesses.…
If you’re thinking about starting online therapy with a platform like BetterHelp, one of the…