The organisation that compiles the European Digital Cities Index (EDCI) ranked Tallinn 20th out of 35 European cities, placing it higher than most capitals in southern Europe as well as Central and Eastern Europe.
The top five in the ranking that maps digital business environments were London, Amsterdam, Stockholm, Helsinki and Copenhagen. The only city in a country that joined the European Union in the last wave that placed higher than the Estonian capital was Prague, the capital of the CzechRepublic. Several large industrial and research centres also achieved a better result than Tallinn, including Munich (10th place), Cambridge (11th), Oxford (13th), Barcelona (14th) and Stuttgart (16th).
Tallinn received first-place points for its connection to the local market, coming in ahead of London (2nd place), Luxembourg (3rd) and Stockholm (4th). According to the compilers of the index, the connection between the information technology field and the local market is important regardless of the fact that these companies are often targeting global markets. Starting in one city, these companies can develop step-by-step by expanding geographically. “A strong position on the local market can provide startups with a noteworthy stimulus for growth,” the explanatory notes for the rankings state.
Tallinn also achieved a high, fourth place for a lifestyle that promotes entrepreneurship. Prague placed first in this category. Tallinn’s digital infrastructure was deemed worthy of 6th place (1st place went to Bucharest) and placed 7th in the category dealing with the predominant entrepreneurial culture (London placed first). Tallinn’s general business environment merited 19th place.
Tallinn received its worst marks for access to capital and competent skills – Tallinn placed 28th in both categories – as well as knowledge spillover, where Tallinn ranked 25th.