Estonia - Country Commercial Guide
IT Services and Equipment
Last published date:

Overview

Digital Services

Estonia ranked ninth among EU countries in the 2022 EU Digital Economy and Society Index. The country is known for its online provision of public services and scores above the EU average in digital skills and the use of Internet by citizens. Estonia is a leader in the use of e-prescriptions by physicians.  Estonians are skilled in the use of digital technologies and keen users of a variety of internet activities.  Estonia also has introduced a digital highway, called X-Road, via which all state IT systems communicate, allowing the creation of integrated e-services.  To ensure security, the system uses timestamps and keeps records of who has accessed which sites.

In 2014, Estonia launched an e-residency program for foreigners, which provides secure access to Estonia’s digital services, such as business registration and the use of digital signatures in an electronic environment.  An e-resident receives a digital identity document (smart ID-card) from the Republic of Estonia, but this does not entail full legal residency, citizenship, or right of entry to Estonia.  Digital identification and signatures are the legal equivalent to face-to-face identification and handwritten signatures in the European Union.

The Estonian digital society development plan for 2030 aims to strengthen the necessary foundations in three areas: digital state development, national cyber security, and transmission connections.

Cyber Defense

 Estonia’s cybersecurity sector remains at the forefront of global digital defense, building upon its strong foundation as a pioneer in the field.  The country’s commitment to cybersecurity has evolved and adapted to the changing landscape of cyber threats and technological advancements.

Estonia continues to prioritize cybersecurity as a matter of national security and economic development. The government, in partnership with the private sector and academia, has invested significantly in research and development, education, and infrastructure to bolster its cyber resilience.  This has resulted in a thriving cybersecurity ecosystem that attracts talent and investments from around the world.

Estonia remains at the forefront of cybersecurity technology.  Its cybersecurity firms and startups are known for developing innovative solutions, including AI-driven threat detection, blockchain-based security measures, and advanced encryption protocols.

The Estonian government has continued to update and refine its national cybersecurity strategy, focusing on proactive threat prevention, incident response, and international collaboration.  This approach helps protect critical infrastructure and secure sensitive data.  Estonia has also developed an innovative public-private partnership, called the Cyber Defense League, to enhance the country’s ability to prevent and respond to further cyber-attacks affecting national security.  Lines of effort aim to combat cybercrime, cyber espionage, the use of cyber tools in armed conflict, and lack of cyber security awareness among information systems users.  You can find more information from the Cyber Security in Estonia 2023 report.

Estonia hosts the NATO Cooperative Cyber Defense Center of Excellence (CCDCOE), which the United States joined in 2011. 

Leading Sub-Sectors

Identification and secure data communication-related applications, software and hardware

  • Data storage
  • Cloud computing
  • Upgrading of government e-services and interoperability of databases

Opportunities

More information on the sector and opportunities is available from Invest in Estonia.

Resources

Information System Authority

Estonian Cyber Defense Companies Cluster