Daria Solovieva
Latvia partners with Microsoft to advance AI
REGION
Deep-Tech Startups Showcase Female Innovation at Slush 2024
The EmpoWomen Programme celebrated its inaugural year by showcasing 11 innovative women-led deep-tech startups from across Europe, selected from 170 applicants at Slush 2024 in Helsinki. The program provided €45,000 in equity-free funding and comprehensive support to entrepreneurs working on groundbreaking technologies ranging from AI earthquake forecasting to portable genetic diagnostics. The initiative will launch its second open call for applications on December 2, 2024, continuing its mission to empower women in the deep-tech startup ecosystem.
Corporate Capital Emerges Surges to 25% of Startup Funding in 2025
Corporate Venture Capital (CVC) has rapidly evolved, increasing from 22.7% of startup funding in 2023 to over 25% in 2024, marking a significant upward trajectory from just 15.3% a decade ago. CVCs are positioning themselves not just as investors, but as strategic partners that help startups scale while bringing transformative technologies into traditional corporate environments. With 89% of corporate investors planning to maintain or increase startup investments, CVCs are becoming essential bridges between entrepreneurial agility and established corporate capabilities. [Source: Vestbee]
UKRAINE
European Drone Startup Helsing Valued at €5B Amid Military Market Surge
European drone startup Helsing, based in Munich, Germany, reaches a valuation of €5 billion amid a surge in military demand for drones and AI technology driven by the Ukraine war. The company’s HX-2 strike drone, capable of autonomous navigation without GPS, has positioned it as a key player in the defense technology market, with plans to produce thousands of drones annually and contracts already in place with the German government for supplying UAVs to Ukraine.The global military drone market is experiencing rapid growth, with market research projecting the industry to expand from approximately USD 14-15 billion in 2023 to around USD 33-47 billion by 2032, growing at a consistent Compound Annual Growth Rate (CAGR) between 9.5% and 13.15%. [Source: Ukraine Business News]
Ukraine IT Sector Sees Slight Decline Amid Ongoing Conflict
The Ukrainian IT industry faces economic challenges in 2024, with export volumes projected to decrease by 4-6% and reaching between $6.3-$6.45 billion by year’s end, according to the Lviv IT Cluster’s annual report. The sector’s median specialist income has dropped to $2,590 per month, while 75.6% of professionals report increased living expenses, underscoring the financial pressures created by the ongoing conflict.
The report reveals that despite these challenges, the industry maintains a workforce of 302,000 specialists, with 238,000 working domestically and 62,000-64,000 abroad. Over 43% of IT professionals have more than six years of experience, and the sector continues to contribute 4.4% to Ukraine’s GDP, remaining the largest service exporter at 38% of total service exports.
Notably, 97% of IT companies are actively supporting projects contributing to Ukraine’s national defense, with 67.6% of companies having mobilized employees and many providing support to specialists serving in the Armed Forces. [Source: Ukraine Tech]
LATVIA
Latvia Partners with Microsoft to Boost AI and Digital Innovation
Latvia has signed a Memorandum of Understanding with Microsoft to establish a National Center for Artificial Intelligence and advance digital initiatives across public administration. The collaboration aims to modernize public services, with an initial pilot project focusing on integrating AI solutions into the Investment and Development Agency of Latvia’s processes, while positioning the country as a competitive player in the digital economy. Currently ranking 6th in the EU for digitized services, Latvia has already digitized over 91% of public sector services and scored 88.22 on the European Commission’s Digital Economy and Society Index. [Source: Labs of Latvia]
Selfnamed Expands to U.S. Market with New North Carolina Factory
Selfnamed, a Latvian on-demand cosmetics manufacturing platform, has opened a new factory in North Carolina to serve the U.S. market, where it already sees 5% of its client base. Owned by SIA Cosmetics Nord—with 30% held by its team members and 70% by SIA Kalvi Capital (linked to Madara Cosmetics co-owners)—the company aims to attract external capital and accelerate growth by creating personalized beauty products more efficiently for U.S. customers. Since its inception in 2021, Selfnamed has helped thousands of clients create their own brands and achieved a turnover of €2.03 million in 2023. [Source: Labs of Latvia]
Finnish Firm Buys Latvian AR Startup Lightspace
Latvian-founded Lightspace Group, a deep technology company specializing in augmented reality solutions for defense and healthcare, has been acquired by Finnish defense technology group Summa Defence Oy. The startup, known for developing advanced AR glasses for military applications and surgical use, was previously backed by investors including HansaMatrix, BaltCap, and the European Innovation Council, with the acquisition representing an exit for all previous investors. [Source: BalticVC]
Latvia Approves Crypto Assets for Company Share Capital Payments
The country’s Parliament has amended the Commercial Law to allow companies to use MiCA-regulated crypto assets like asset-backed tokens for share capital payments. The new rules simplify investment procedures, removing the need for professional appraisers and enabling founders to self-assess token values, positioning Latvia as an attractive destination for Web 3.0 companies while implementing safeguards against potential financial risks. [Source: Labs of Latvia]
LITHUANIA
AI Startup Repsense Secures €425K to Expand Reputation Tracking Platform
Vilnius-based Repsense, an AI-powered platform that decodes online reputation across 165 countries, has secured €425,000 from key Lithuanian investors to supercharge its global expansion. The startup’s Adler technology, which processes 1.5 million data points to predict content reactions and identify digital misinformation, is positioning itself as a critical tool for businesses navigating the complex landscape of digital perception. [Source: BalticVC]
Tech Campus Zity Vilnius Secures €37M in Funding
Lithuanian tech hub Zity Vilnius has raised €37M, with investments from Bigbank, private investors, and the EfTEN Special Opportunities Fund, to develop its first campus phase. The 16.5K square meter complex, set to open in summer 2025, is already 75% leased and aims to become the largest tech campus in Europe, hosting companies like Vinted, HeavyFinance, and game development studios. [Source: BalticVC]
POLAND
Polish Biotech IMAGENE.ME Secures €1.4M for Global Expansion
Genetic testing startup IMAGENE.ME has raised €1.4 million from ABAN.VC and NCBR Investment Fund to scale its personalized medicine services internationally. The company, which has analyzed DNA for over 4,000 people, aims to use the funding to expand in Europe and develop new AI-driven health management solutions. [Source: Vestbee]
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