Like its neighbours Lithuania and Latvia, Estonia is referred as a “Baltic Tiger” given its rapid growth since its independence from the Soviet Union in 1991. The progresses made in its capital Tallinn are particularly impressive. The city has managed to build a strong digital entrepreneurship culture throughout the years. It is home of many digital start-ups of which some turned out to be great, international success (e.g. Skype). The process of becoming a digital city model was not easy though. Being a small and sparsely populated country, Estonia has faced major difficulties in attracting foreign investments and talents. It has also witnessed the departure of many of its start-ups who were not able to find locally the support and infrastructure they needed to move to the next stage of their development.
In October 2015, the organisation that compiles the European Digital Cities Index (EDCI) ranked Tallinn 20th out of 35 European cities. Tallinn came first for its connections to the local market and achieved the fourth place for a lifestyle that promotes entrepreneurship Over the years, Tallinn has developed a strong digital entrepreneurship culture. Skype, for example, was developed by a team of Estonians and since then the country has caught investors’ attention and inspired other entrepreneurs, especially in the field of technology.