8 min read

Stay calm

Stay calm
Photo by Michaël Bakker on Unsplash
Lithuania Tech Weekly #167
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Job board - early-stage Baltic startups - here

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work in progress

We're not too worried - given NordVPN was idea number 30-34, guys just please get back to that drawing board and have some fun.

Only couple of days left – meet and hear the Founder and former CEO of Trustpilot, Partner from Impellent Ventures and give your sales AI boost

Special offer - use TECHPHILOMATHS15 for 15% discount (only a handful of tickets)

Just Walk Out - after nearly a decade - still relied on 1,000 humans, actually Indians (aka AI), to review videos, check shopping carts and make sure receipts were correct.
  • Scaling hardware. How things got started at Vargas, which is now likely #1 climate-focused industrial financier in Europe? Northvolt, H2 Steel, AIRA, Syre, this is an accelerator producing unicorn cleantech factories (every prime minister would love to have one). Europe and US, however, have had manufacturing potential declining for some time – we even fail to understand more nuanced developments in robotics and automation.

    In the Baltics, which hardware plays have explosive potential? LABA7 is making fun solutions, don't see a scale yet but it might come around. 8devices have been growing really well. Elinta Motors and Elinta Charge are both on the right track. We might need to also look at lasers and defence, such as RSI Europe, Aktyvus Photics, Brolis Semiconductors, Litilit..

    Need a playbook how to fail a consumer hardware brand, after raising $75m? Easier than it seems, here is CAKE analysis.

rounds and capital


Privileged to receive support from a group of core sponsors, who decided to get onboard. All spots taken. They have some newsletter invites, too!

Cloudvisor [AWS partner dedicated to startups], Vinted [largest C2C European marketplace, always hiring], Tech Zity [tech hubs and campuses], Presto Ventures [investing in early-stage B2B startups and marketplaces], 15MIN Group [all the news you need to know], Wargaming [award-winning game developer, careers].

resources for supporters

three questions

Check our recent interviews with some of the smartest minds around. Might be able to help with an intro if you need, please reach out.

founder's guide

further insights

if history repeats, we might be getting out of the bottom
  1. Small VCs win
  2. Emerging Managers win
  3. Specialist VCs win
  4. Larger, more diversified portfolios reduce risk dramatically → higher risk adjusted returns
If a company is a technology company in a “good” vertical, then the valuation might be 7-10x revenue. If it’s not a technology company, the valuation might be 2-5x revenue. The rationale behind this difference is that a technology company should be able to push its gross margin to 70+% as it matures, which will drive significantly higher cash flow, and most valuations are anchored in discounted future cash flow.

In simplistic terms, Ben Thomson has defined software businesses as having zero marginal costs – effectively new customer is generating almost negligible costs. But looking broader, one can define this via R&D impact:

If you’re trying to determine whether you’re in this ex-technology striation, the question I’d encourage you to ask yourself is whether R&D at your company can significantly change your company’s financial profile over the next three years. If the answer is yes, then I don’t think you’re a member.


Dutch are getting good promoting cycling lifestyle, you can play around with any street - which one is here?

Following sound PISA scores, Guardian explores Estonian schools and education policy... being famous for public schools is a serious flex in Europe these days.

4%. Just sign up for this. It's an investment, also insurance, absolutely fundamental for a nation in our region. But also the second point. Investing in defence for Baltic countries means lower costs elsewhere: lower cost of capital, easier to borrow (both for economy and business), easier to build partnerships, secure investments, more tourism flows, and more. We have to be confident when risks are around, otherwise, we are paying "Putin's tax" as Arnas (Hostinger) explains.

Tech entrepreneurs and other business leaders expected that politicians will pick this up with pleasure (did not happen). But we all know it's the right thing to do. It's not an easy one, but we can find a way. Is this the kind of speech we are still waiting to hear?

J.F.Kennedy at Rice University

Now if we find some courage to invest much more into defence (only EUR 2B more is required), some smart minds have to work on "productive capacity" thinking. It is military "spending" that gave United States DARPA, which resulted in... internet! Not to mention all other advancements in GPS, UAV tech, robotics... It's also defence budgets that contribute to a record number of unicorns in Israel, a true powerhouse in cybersecurity and other deep technologies. Investing into military-related R&D crowds in private investment, research has shown:

"increases in government-funded R&D for an industry or a firm result in significant increases in private sector R&D in that industry or firm. On average, a 10% increase in government-financed R&D generates a 5% to 6% additional increase in privately funded R&D" (link)

A related point is that these large budgets are pointless if political leaders don't have goals to achieve. Percentage is not a goal, it is a tool. Without ambitious goals, we won't be able to bring top talent to the defence. What if instead, we would aim to build a "world-class military institute for cybersecurity" or perhaps finance "drone-powered air-superiority" research program. These mission-driven budgets could turn military "spending" into productive investing, attract talented leaders to take charge, and teach young people skills they can benefit from later.


75% of a successful career in tech is... choosing the right team. So here are some great startups to consider, depending on your taste of risk and ambiguity.

Early-stage startup jobs, Baltics
Join the leadership team before Series A
(Submit your opening for free)

Hostinger - Head of Product Innovation
Bikeep - B2B Enterprise Sales Executive
Planner 5D - Product Manager
kevin. - Head of AML Operations
NFQ - Head of Business Unit
ZENOO is looking for growth marketing/hacking advice/mentoring