The Startup Ecosystem of Slovakia

Slovakia has an enviable geographical location, allowing easy access to the startup hub of Vienna (less than 1-hour ride from Bratislava), sharing a border and language with Czechia, and adjacent to two of Eastern Europe’s largest markets: Ukraine and Poland. This allows Slovakian startups to tap into several markets with high potential. Slovakia is also one of the most politically stable countries in the region. With an innovative startup scene and lots of investment opportunities, especially in the research and development of digital products, Slovakia’s ecosystem has much growth potential.
There is a vibrant community of young entrepreneurs gathered in incubators, accelerators, and coworking places in Bratislava, as well as around major technical universities in other regional centers like Zilina and Kosice. Some of the emerging innovation communities involve industries like healthcare, climate resilience, fintech, digital and creative, and mobility. An important startup ecosystem organization to mention is the Slovak Alliance for Innovation Economy (SAPIE) that runs several projects, such as Innovate Slovakia, to strengthen entrepreneurship in the country.
The government still has work to do in supporting individual communities with a better regulatory environment, creating suitable public funding policies, and collaborating with other stakeholders. There have been positive changes made by the government through cooperation with SAPIE; these changes focus on encouraging new startups with legislation tailored for high-growth companies, tax incentives, startup visas, and educational reform.
Slovakia’s startup scene is still waiting for its first unicorn, but there have been several inspiring early exits among Slovak tech companies, including internet portals Azet and Zoznam. As the neighbors of the country boast a number of unicorns, Slovakia needs a success story to restore motivation in the ecosystem. Another challenge for Slovakia is the shortage of IT talent, which signals the country should take a step towards attracting and retaining IT professionals.
To further improve its international positioning, Slovakia should focus on strengthening Bratislava’s position while helping the Kosice ecosystem establish its position as an important secondary startup ecosystem both nationally and in the region. With a competitive location, strong digitally oriented universities, and R&D tax incentives, Slovakia is a country with high innovative and entrepreneurial potential.