Over 300,000 Specialists: An Overview of Ukraine’s Tech Ecosystem – IT Research Study

Ukraine’s tech industry is the country’s largest service exporter. In 2022, the tech sector was the only one to show growth, rather than decline, despite the full-scale invasion. The industry’s core comprises about 300,000 specialists and over 2,000 technology companies. The tech industry’s share of GDP stands at 4.9%. What does this sector look like, and why might it be attractive to foreign partners?

For many years, Lviv IT Cluster has analyzed Ukraine’s tech industry, releasing the annual IT Research Ukraine study. For the past three years, the project has been implemented in collaboration with the Ministry of Digital Transformation. This report is based on IT Research Ukraine 2023.

In 2023, the tech industry contributed $6.7 billion to Ukraine’s economy through service exports. Clients are from global markets, primarily Europe and the U.S., with Ukrainian service companies also expanding their presence in Latin America and the EMEA region in recent years. The volume of tech industry exports to the European Union remains consistently high, underscoring the reliability and competitiveness of Ukrainian tech companies on the global stage.

According to the IT Research Ukraine study, most clients are willing to work with Ukrainian companies despite the challenges of war. Ukraine is known worldwide for its highly skilled technical specialists and strong educational resources, which enable the training of professionals and ensure high-quality software development and innovative technology. According to IT Research Ukraine, 84% of companies have ongoing long-term projects (one year or more), and 27% report an increase in potential new projects.

A notable indicator is the rapid growth of the industry. Every year, between 10,000 and 30,000 new specialists enter the market, driving growth. Despite forced migration due to the full-scale invasion, more than 300,000 specialists are employed in the tech industry in Ukraine, with 60% of all technology specialists working in primarily technical fields. Over the past year, the number of tech professionals has increased by nearly 8%, reaching 307,600.

• Almost half of those employed in the tech industry have obtained or are obtaining a technical education related to computer sciences.
• Over 43% have more than 6 years of overall experience in tech, with 9% having over 15 years.
• More than 82% of the entire pool of technical talent are specialists at the Middle, Senior, and Lead levels.

Today, there are over 2,100 active verified tech companies. Of these, half are service companies, with 47% being outsourcing and 3% outstaffing. Over recent years, despite the challenges of the full-scale invasion, Ukraine has shown continuous development in the tech sector and is creating conditions for innovation, which has attracted interest from foreign partners and clients.

The share of product companies is growing, serving both the domestic and global markets. The list of the largest tech companies in the country includes both service and product businesses, with thousands of employees.

Among those surveyed, 36% of Ukrainian tech companies plan to open new offices in the next year, with 28% aiming to open branches abroad. Ukrainian tech companies are currently one of the main exporters to the global market, with new locations opening in Europe, Asia, the Middle East, and Latin America.

It is notable that the tech industry is one of the sectors building the middle class in Ukraine. The median income for tech specialists in Ukraine is $2,630. By hiring just one technology professional, a company creates and maintains 2.7 jobs, and employees themselves are actively donating – nearly 94% of tech specialists direct part of their budget to charity.

Research for the Development of Ukraine as a High-Tech Digital State

IT Research Ukraine is one of the largest studies of the Ukrainian tech market. In 2023, the research surveyed over 400 tech companies and more than 7,000 respondents. The survey included both tech specialists and representatives of tech companies, regardless of their affiliation with industry associations. In 2023 and 2024, the margin of error for the IT Research Ukraine survey did not exceed 2.1%. This makes IT Research Ukraine the most accurate study of the tech industry among existing ones.

The availability of such research provides stakeholders – tech companies of all sizes, partners, and potential investors – with better insights into the tech industry and tech market. Nationwide and regional studies by IT Research Ukraine help track the current state and future prospects of the tech industry across the country and in each of its regions, based on data from government organizations, registries, and surveys of CEOs and tech specialists.

CEOs and owners of Ukrainian tech companies rely on the accurate analytics provided by IT Research. Based on the report’s data, tech companies optimize their business processes, choose the appropriate development direction, and have the opportunity to adapt their plans according to the situation in the tech market. IT Research Ukraine is a detailed nationwide study implemented by Lviv IT Cluster as part of the IT Research project, and it serves as the foundation for determining priorities and support vectors for the development of the tech industry by government representatives.

Additionally, the research data provides an opportunity to thoroughly study the state of the tech industry and elevate collaboration with clients or partners to a new level through an in-depth understanding of the market and client needs. International funds, investors, and business angels can identify the optimal investment focus and gain the necessary information to create and adapt development programs through the report.

The basic report is available for download to everyone and provides answers to important questions for the tech industry: how the sector impacts Ukraine’s economy and what to expect for the Ukrainian  tech industry in the coming year.