Against the backdrop of conflict and uncertainty, Ukraine's tech industry has not merely survived but thrived, achieving a record $8.3 billion in revenue in 2023 while fueling the nation's economic resilience and showcasing its formidable position as a global innovation hub.
Key Takeaways
- In 2023, Ukraine's IT industry revenue reached $8.3 billion, representing a 4.5% growth from $7.95 billion in 2022 despite ongoing conflict
- The Ukrainian tech sector contributed 5.2% to the national GDP in 2023, up from 4.8% in 2021
- Projected IT export revenue for Ukraine in 2024 is estimated at $9.1 billion, driven by outsourcing services
- As of 2023, Ukraine has over 300,000 IT specialists, growing 15% annually since 2019
- Average IT salary in Ukraine reached $3,500 per month in 2023, up 12% YoY
- 65% of Ukrainian IT professionals work remotely full-time as of 2023
- Ukraine produced 4 unicorns including Grammarly valued at $13B in 2023
- Over 5,000 IT companies operate in Ukraine as of 2023
- EPAM Systems, largest Ukrainian-rooted IT firm, has 50,000+ employees globally in 2023
- Ukraine VC funding to IT startups reached $850M in 2023
- 320 funding deals for Ukrainian IT startups in 2023, up 10% YoY
- Genesis invested $200M in own portfolio IT firms in 2023
- Ukraine IT exports totaled $7.6 billion in 2023, 90% of sector revenue
- USA is top client market with 45% of IT exports worth $3.4B in 2023
- EU countries account for 35% of Ukraine IT exports at $2.7B 2023
Ukraine's tech industry shows remarkable resilience and growth despite the ongoing war.
Companies and Startups
- Ukraine produced 4 unicorns including Grammarly valued at $13B in 2023
- Over 5,000 IT companies operate in Ukraine as of 2023
- EPAM Systems, largest Ukrainian-rooted IT firm, has 50,000+ employees globally in 2023
- SoftServe employs 12,000 in Ukraine out of 14,000 total in 2023
- GlobalLogic Ukraine has 10,000+ staff in 2023
- 1,200+ startups in Ukraine's IT ecosystem per 2023 directory
- Genesis (Petrovich) portfolio includes 10+ unicorns like Avito
- GitLab has over 200 Ukrainian contributors in core team 2023
- Preply, Ukrainian edtech unicorn, valued at $3B in 2023
- Rozetka, top e-commerce, processes 10M orders/year in 2023
- Ajax Systems, IoT security, exports to 130 countries in 2023
- Over 300 accelerators/incubators support IT startups in 2023
- 450 IT companies in Lviv cluster alone in 2023
- Kyiv has 2,000+ IT firms registered in 2023
- 15% of Ukrainian IT companies founded post-2022 invasion by 2023
- Top 100 IT exporters list includes 85 outsourcing firms in 2023
- Intellias grew to 3,500 employees in Ukraine 2023
- Ciklum has 4,000 Ukrainian staff in 2023
- Sigma Software employs 2,500 in Ukraine 2023
- N-iX Software has 2,000+ in Lviv/Dnipro 2023
- 70% of IT companies are SMEs with <250 employees in 2023
- 25 Ukrainian SaaS companies bootstrapped to $10M+ ARR by 2023
- Fintech startups number 350 in Ukraine 2023
- Gaming studios: 150 active in Ukraine 2023
- 50+ HealthTech startups emerged since 2020 by 2023
Companies and Startups Interpretation
From the trenches to the tech forefront, Ukraine's IT sector reveals a remarkable narrative of innovation and resilience, boasting everything from corporate giants and billion-dollar unicorns to a thriving ecosystem of startups and specialists, all while navigating extraordinary challenges.
Exports and Global Presence
- Ukraine IT exports totaled $7.6 billion in 2023, 90% of sector revenue
- USA is top client market with 45% of IT exports worth $3.4B in 2023
- EU countries account for 35% of Ukraine IT exports at $2.7B 2023
- 2,500+ Ukrainian IT companies export services to 80+ countries in 2023
- UK market share of Ukraine IT exports: 12% or $910M in 2023
- Canada receives 8% of exports at $610M from Ukraine IT 2023
- Australia/New Zealand: 5% share, $380M in 2023 exports
- Germany top EU client with $800M from Ukraine IT 2023
- Poland IT imports from Ukraine: $450M in 2023
- 75% of Ukraine IT exports are software development services 2023
- Ukrainian diaspora contributes $1B+ to IT exports via networks 2023
- Fortune 500 clients: 60% of top Ukrainian IT firms serve them 2023
- Israel market: 4% of exports at $300M in 2023
- Asia-Pacific exports grew 20% to $450M in 2023
- Nearshore outsourcing to Ukraine popular, 30% of EU nearshore in 2023
- 85% contracts with foreign clients are long-term >1 year in 2023
- Ukraine holds 4% global custom software market share 2023
- Top 100 exporters generated 70% of total IT exports 2023
- SaaS exports from Ukraine to US: $1.2B in 2023
- Gaming exports revenue: $400M globally from Ukraine 2023
- Fintech services exports: $500M in 2023
Exports and Global Presence Interpretation
Even as it defends its homeland on the ground, Ukraine's tech industry is mounting a formidable, billion-dollar economic counteroffensive by becoming the digital workshop for the Fortune 500, a testament to the nation's resilience and intellectual capital.
Investments and Funding
- Ukraine VC funding to IT startups reached $850M in 2023
- 320 funding deals for Ukrainian IT startups in 2023, up 10% YoY
- Genesis invested $200M in own portfolio IT firms in 2023
- US VCs accounted for 45% of Ukraine IT funding in 2023 at $380M
- Seed stage deals dominated with 60% of total rounds in 2023
- Series A funding averaged $5.2M per deal for Ukrainian IT in 2023
- Fintech received $250M in VC funding in Ukraine 2023
- Gaming startups raised $120M in 2023
- AI/ML startups secured $180M funding in 2023
- Horizon Capital invested $100M in Ukrainian tech in 2023
- TA Ventures led 15 rounds totaling $50M for IT startups 2023
- Number of Ukrainian IT unicorns grew to 5 by end-2023
- Corporate VC investments in Ukraine IT hit $150M in 2023
- EU funds contributed 20% of total VC at $170M in 2023
- Angel investments totaled $60M for early-stage IT in 2023
- Grant funding from USAID/others: $80M to IT ecosystem 2023
- Kyiv-based startups received 55% of national IT funding 2023
- Lviv startups raised $120M in VC 2023
- Post-invasion funding resilience: only 25% drop in 2022 before rebound
- 40 new VC funds focused on Ukraine IT launched 2022-2023
- Average valuation of Series B IT startups: $50M in 2023
- Cybersecurity startups funding: $90M in 2023
- EdTech investments reached $70M for Ukrainian firms 2023
- Agritech IT funding: $40M in 2023
- PropTech startups raised $30M in Ukraine 2023
Investments and Funding Interpretation
Despite the shadow of war, Ukraine's tech ecosystem defiantly blossomed in 2023, with $850 million in VC funding sprouting five new unicorns and proving that innovation, from Fintech to AI, is a force more resilient than any invasion.
Market Size and Growth
- In 2023, Ukraine's IT industry revenue reached $8.3 billion, representing a 4.5% growth from $7.95 billion in 2022 despite ongoing conflict
- The Ukrainian tech sector contributed 5.2% to the national GDP in 2023, up from 4.8% in 2021
- Projected IT export revenue for Ukraine in 2024 is estimated at $9.1 billion, driven by outsourcing services
- From 2019 to 2023, the IT sector's annual growth rate averaged 18.2%, outpacing the global average of 7.5%
- In Q4 2023, monthly IT revenue averaged $700 million, with a 2% quarterly increase
- Ukraine's software development market size was valued at $6.2 billion in 2022, with a CAGR of 15% from 2018-2022
- The fintech subsector within Ukraine's IT industry grew by 25% in 2023, reaching $1.2 billion in revenue
- By 2025, Ukraine's IT market is forecasted to hit $12 billion, assuming stabilization
- In 2023, Kyiv accounted for 42% of national IT revenue at $3.5 billion
- Lviv's IT cluster generated $1.8 billion in 2023, a 12% YoY growth
- Dnipro IT revenue hit $1.1 billion in 2023, up 8% from prior year
- Odesa IT sector revenue was $850 million in 2023, growing 6.5%
- Kharkiv IT revenue reached $700 million in 2023 despite challenges
- The gaming industry in Ukraine generated $450 million in 2023, 22% growth
- Cybersecurity services revenue in Ukraine's IT sector was $650 million in 2023, up 30%
- AI and ML development contributed $300 million to IT revenue in 2023
- Cloud services market in Ukraine grew to $250 million in 2023, 35% increase
- E-commerce tech solutions revenue was $400 million in 2023
- Ukraine's IT services market share in CEE region is 12.5% as of 2023
- Post-2022 invasion, IT sector revenue dipped only 2% in 2022 before rebounding
- In 2021, peak pre-war IT revenue was $7 billion
- SaaS products from Ukraine generated $1.5 billion in 2023 exports
- Big Data services revenue hit $200 million in 2023, 28% growth
- IoT development in Ukraine reached $150 million revenue in 2023
- Blockchain tech revenue was $180 million in 2023, up 40%
- EdTech sector revenue in Ukraine's IT was $120 million in 2023
- HealthTech IT revenue grew to $100 million in 2023
- AR/VR market in Ukraine generated $90 million in 2023
- DevOps services revenue was $550 million in 2023
- Mobile app development revenue hit $750 million in 2023, 15% growth
Market Size and Growth Interpretation
In the face of relentless bombardment, Ukraine's tech industry has demonstrated the ultimate growth hack: building resilient code and unbreakable businesses that not only survive but thrive, with projections suggesting they'll soon be wiring the reconstruction funds back home.
Workforce and Talent
- As of 2023, Ukraine has over 300,000 IT specialists, growing 15% annually since 2019
- Average IT salary in Ukraine reached $3,500 per month in 2023, up 12% YoY
- 65% of Ukrainian IT professionals work remotely full-time as of 2023
- Over 200,000 Ukrainian developers are proficient in JavaScript, top language in 2023
- Ukraine ranks 7th globally in GitHub contributions per capita in 2023
- 42% of IT workforce is female, highest in CEE region per 2023 data
- Annual influx of 25,000 new IT graduates from Ukrainian universities in 2023
- Lviv has 35,000 IT specialists, 12% of national total in 2023
- Kyiv IT workforce numbers 120,000 as of 2023
- Average age of Ukrainian IT specialist is 28 years in 2023
- 85% of IT pros have English proficiency at B2+ level in 2023 survey
- Java developers earn average $4,200/month in Ukraine 2023
- .NET developers average $3,800/month salary in 2023
- Python specialists average $4,000/month in 2023
- 70,000 Ukrainian IT workers relocated abroad post-2022 but 40% returned by 2023
- IT outsourcing employs 220,000 people in Ukraine as of 2023
- 15,000 IT freelancers registered on Upwork from Ukraine in 2023
- Ukraine has 50+ IT training bootcamps graduating 10,000 annually in 2023
- QA engineers number 45,000 in Ukraine 2023
- DevOps engineers: 25,000 professionals in 2023
- Data scientists: 12,000 in Ukraine IT sector 2023
- Cybersecurity experts: 18,000 in 2023
- UI/UX designers: 30,000 in Ukraine 2023
- Project managers in IT: 20,000 as of 2023
- 92% IT employment rate among graduates within 6 months in 2023
- Turnover rate in Ukrainian IT is 15% annually in 2023
- 25% of IT workforce has 5+ years experience in 2023
Workforce and Talent Interpretation
Ukraine’s tech sector is a dynamic, brain-rich powerhouse—boasting an army of young, well-paid, polyglot specialists, a remarkably balanced gender landscape, and a resilient diaspora that keeps boomeranging home, all while coding its way to global prominence from bedrooms and bunkers alike.
Sources & References
- Reference 1ITUKRAINEitukraine.org.uaVisit source
- Reference 2DOUdou.uaVisit source
- Reference 3UKRAINEukraine.uaVisit source
- Reference 4STATISTAstatista.comVisit source
- Reference 5LVIVITCLUSTERlvivitcluster.comVisit source
- Reference 6KPMGkpmg.uaVisit source
- Reference 7FINTECHUKRAINEfintechukraine.orgVisit source
- Reference 8UKRAINEINVESTukraineinvest.gov.uaVisit source
- Reference 9UKRAINEGAMESukrainegames.comVisit source
- Reference 10CYBERSECURITYUAcybersecurityua.orgVisit source
- Reference 11ECOMMERCETASKFORCEecommercetaskforce.org.uaVisit source
- Reference 12KPMGkpmg.comVisit source
- Reference 13BIGDATAUAbigdataua.comVisit source
- Reference 14IOTUKRAINEiotukraine.orgVisit source
- Reference 15BLOCKCHAINUAblockchainua.comVisit source
- Reference 16EDTECHUAedtechua.orgVisit source
- Reference 17HEALTHTECHUAhealthtechua.comVisit source
- Reference 18GITHUBgithub.comVisit source
- Reference 19UPWORKupwork.comVisit source
- Reference 20CRUNCHBASEcrunchbase.comVisit source
- Reference 21EPAMepam.comVisit source
- Reference 22CAREERcareer.softserveinc.comVisit source
- Reference 23GLOBALLOGICgloballogic.comVisit source
- Reference 24GENESISgenesis.worldVisit source
- Reference 25ABOUTabout.gitlab.comVisit source
- Reference 26ROZETKArozetka.com.uaVisit source
- Reference 27AJAXajax.systemsVisit source
- Reference 28INTELLIASintellias.comVisit source
- Reference 29CIKLUMciklum.comVisit source
- Reference 30SIGMAsigma.softwareVisit source
- Reference 31N-IXn-ix.comVisit source
- Reference 32PITCHBOOKpitchbook.comVisit source
- Reference 33HORIZONGLOBALhorizonglobal.vcVisit source
- Reference 34TAVENTUREStaventures.com.uaVisit source
- Reference 35EIBeib.orgVisit source
- Reference 36USAIDusaid.govVisit source