Tallinn is a city that will surprise you with its beauty and charm. The capital of Estonia can safely be called one of the most attractive towns in Eastern Europe. It has everything that tourists may expect – ancient buildings, rich medieval heritage, and modern-day offerings. As a visitor, you will be amused by Viru Gate, the gothic Town Hall, Scandinavian-style restaurants, and Tallinn’s Old Town but also, if you are into the IT industry, this place is more than attractive to you.
Over the years, Tallinn has gone completely digital and is one of the most sought-after outsourcing destinations today. The city has managed to keep up with the latest market trends such as software development and not many people know that Skype and Pipedrive were actually ‘born’ in Estonia. The fact that such powerful companies were launched in Estonia proves that the IT market in this country is strong and stable.
Estonia’s IT market represents itself as an industry with high-skilled tech talents who provide professional services for clients all over the world for affordable hourly rates. Today, there are around 29,000+ IT specialists that are ready to serve and most of them are focused on being outsourced. Tech professionals in Estonia are highly skilled and trained, most of them have a university degree in computer science and can work using different languages of programming. In short, describing a typical Estonian developer, it can be said that this is a professional with out-of-the-box thinking.
Also, it is important to mention that the overall business climate in the country is attractive and developing very rapidly, providing an opportunity for the talent pool to get more experience and for the companies to cooperate well and hire well-trained professionals.
Being a part of the Baltic market, Estonia is still way ahead of its neighbors, Latvia and Lithuania, when it comes to IT. According to research that was made by the local startup community, the revenue of different IT companies in the country earns up to $1 million annually. The IT industry is one of the most important fields in the country as it contributes 30% added value to the Estonian economy. It is such an important factor as thanks to its development many people are able to find a job. But not only that. It is also reported that the IT sector impacts the talent pool in other industries, by being profitable for the entire country.
Another important thing to admit is that the IT industry attracts new investors in Estonia which brings innovation. Thus, the economy, science, and other fields are growing, improving the lives of ordinary people as well. Speaking of taxes, the situation is also pretty attractive as there’s a 23,6% tax for a Private Entrepreneur and a 33,8% tax for an employer. Thanks to the rates, business grows quickly in Estonia, and today, there are about 2,000 companies with a growth of 3,2% annually.
More than 6,000 worldwide companies operate in Estonia and we have to admit that it is one of the countries with high growth of new start-ups. However, most Estonian IT companies are quite small, with only 50 of them employing more than 250 people. Even though it means that a typical Estonian IT company doesn’t really strive for scalability, it still gives others a chance to grow in the country by hiring its tech talents.
The government of Estonia itself sees a bright future for the country in the IT field and they assume in the near future it will become the leading sector of their economy. This is one of the main reasons why we consider opening our doors to the talent pool there. Even today, we can see how many companies have chosen professionals from Tallinn to work on their projects, because this is a great combination of good quality, fair hourly rates, and responsibility.