Estonia dominates EU defence funding, a cybercriminal pays €8.5M back, and Latitude59 is days away
Welcome to the April edition of Kood Letter!
News
Estonian Companies Secure Over €700M in EU Defence Fund: Nortal Leads €19.9M Project
The results of the European Defence Fund’s 2025 call are in, and Estonia has punched well above its weight: 26 Estonian projects were selected out of 57 funded across Europe, with the total value of projects involving Estonian partners exceeding €700 million. Work packages going directly to Estonian companies amount to more than €28 million.
One of the headline stories is Nortal’s Talgen Cybersecurity leading the consortium behind STRATUS, Swarm Threat Resilience and Adaptive Tactical UxV Security, a €19.9 million initiative to build next-generation cyber defences for autonomous military vehicle swarms. The 36-month project spans 13 European partners.
Other Estonian companies involved include Milrem Robotics, Frankenburg Technologies, Krattworks, Cybernetica, DefsecIntel, SpaceIT, and Cafa Tech, covering domains from drones and air defence to space, underwater systems, and cyber. Two projects are led from Estonia: Eurodamm (by Frankenburg Technologies) and the STRATUS project itself.
Siim Sukles, the Defence Ministry’s undersecretary for defence industry and innovation, noted that Estonian participation in successful EDF projects has nearly doubled year-on-year.
Siim Viidu, Former Skype and Twilio Exec, Joins Bolt as VP of Engineering
Siim Viidu, who built his career at Skype, Electronic Arts, and Twilio (where he led the ~300-person Tallinn engineering site), has joined Bolt as Vice President of Engineering. His remit covers payments, billing, core services, and developer tooling, essentially the infrastructure that lets Bolt ship faster and scale its services globally. He stepped into the role in March. His predecessor, Sergei Anikin, departed after five months to start an independent AI lab.
Latitude59 Pitch Competition Draws 465 Startups from Five Continents
This year’s Latitude59 startup pitch competition received 465 applications from 53 countries across five continents, the most diverse field in the event’s 14-year history. The New Nordic region accounts for 44% of applicants, while African representation has more than doubled year-on-year with 70 startups applying. Ukraine also shows strong engagement, with 24 teams in the running.
The grand prize fund has grown to over €400,000, backed by EstBAN (up to €200K), LatBAN (up to €100K), and FiBAN joining the syndicate for the first time. The top 15 teams advance to the semi-finals for mentoring and pitch training, with the final seven pitching on the main stage on 22 May. Latitude59 2026 takes place at Kultuurikatel, Tallinn on 20–22 May.
Margus Vaino Leaves Telia to Launch Cybersecurity Startup Guild Security
Margus Vaino, who led Telia Estonia’s cybersecurity and business growth division, left Telia in early April to launch a new cybersecurity startup. The company, Guild Security, is already a month old and has been holding community events to build its profile. Vaino has also announced a partnership with a prominent US firm. The initial focus is on the Nordic market, with broader European expansion planned. The timing is deliberate: the rapid pace of AI development is creating new attack surfaces faster than existing tools can handle, and Vaino sees a clear gap in the market for more agile, AI-aware security products.
Cyber
Cybercriminal Who Caused €5.4M Damage in Estonia Agreed to Pay Back €8.5M
In a notable criminal deal, the Estonian Prosecutor’s Office reached an agreement with Artur Ermolaev, a Ukrainian national identified as one of the leaders of an international telephone fraud network. His group is estimated to have earned around €100 million from fraud globally between 2019 and 2022, with Estonian victims losing approximately €5.4 million.
Under the deal, Ermolaev agreed to pay €8.5 million to the Estonian state, covering all Estonian victim losses and then some. State Prosecutor Jürgen Hyva confirmed all Estonian victims will be made whole, with the remainder going to the state treasury. If the Harju County Court approves the agreement, Ermolaev will be sentenced to five years in prison, released immediately (having already served around five months in custody), expelled from Estonia, and barred from re-entering for 10 years.
March in Estonian Cyberspace: 886 Incidents, Train Disruptions, and an Iranian Threat
RIA logged 886 cybersecurity incidents in March, with technical errors causing the most visible disruptions:
- March 9–10: A software fault caused ABC border control gates at Tallinn Airport to fail biometric verification, and passengers were redirected to manual passport control.
- March 16: The digital prescription service went down, leaving pharmacies unable to dispense medicines on that day’s prescriptions.
- March 19: Estonian Railways’ traffic control system failed after a scheduled server restart, leaving controllers at Baltic Station unable to manage trains until afternoon.
- March 25: During a national drone threat alert, the Estonian app (Eesti app) went offline due to a sudden spike in traffic triggering security controls.
On the threat intelligence side, an Iranian-linked group began retaliating for attacks against Iran by hitting US medical device manufacturer Stryker, severely disrupting operations. RIA notes that the same attack vector poses risks for Estonian organisations and has published a threat assessment. LHV phishing campaigns also circulated in March, directing victims to a credential-harvesting page.
RIA Cyber Accelerator Open for Applications: Focus on Fighting Cyber Fraud
The fourth edition of RIA’s Cyber Accelerator, run jointly with the Tehnopol Startup Incubator, is now accepting applications until 21 June 2026. Selected teams receive up to €60,000 in financial support along with mentoring, product development guidance, and help preparing for seed rounds.
This year’s edition places extra emphasis on solutions that combat cyber fraud and phishing. RIA recorded a record 10,185 cyber incidents in Estonia in 2025, the majority fraud and phishing-related. Research-based solutions and university spinoffs are especially welcome. The programme also remains open to automation, AI for security, and quantum-resistant solutions.
Previous participants include PhishBite, TrustOps, ScamGuardian.ai, and Complok. Applications at startupincubator.ee/en/cyberaccelerator/.
Upcoming Events
Bilt.me Riigikaitse Häkaton
Date: May 16, 2026
Location: Vabamu Museum of Occupations and Freedom, Toompea tn 8b, Tallinn
A one-day defence-themed mobile app hackathon by Bilt.me. Participants build solo or in pairs, with free food and mentors on hand (including HexTech CEO Sten Nurmsalu for drone and airspace topics). The top 3 teams win free App Store publication for their app. Spaces are limited to 25 teams, and participation is free.
Registration: Register here
Health Tech Day 2026
Date: May 20, 2026
Location: Erinevate Tubade Klubi, Telliskivi tn 60a-1, Tallinn
An official Latitude59 side event for health tech, organised by Health Founders Estonia. The programme includes a keynote on startup needs vs investor expectations by Erki Mölder (Verge Healthtech Fund), startup pitches, spotlights from Singapore and the UK, a reverse investor pitch session featuring funds including Norrsken, Superangel, and Karma, and a rooftop party to close the evening. Free to attend; seats are limited.
Registration: Register here
Latitude59 2026
Date: May 20–22, 2026
Location: Kultuurikatel, Tallinn
Estonia’s flagship startup and tech conference, this year under the theme The Global Village Experiment. With 465 startups having applied from 53 countries, the pitch competition final on May 22 will be one to watch, with over €400,000 in investment on the table. Organisers expect participants from 70+ countries.
More information: latitude59.ee
Ecosystem Study Trip for e-Residents and Global Founders
Date: May 21, 2026
Location: Tallinn
A free one-day programme by the e-Residency team and Estonia’s Startup Visa, for e-resident founders and international entrepreneurs curious about building through Estonia. It includes accelerator overviews, founder stories, a high-growth startup visit, and open networking. Travel and accommodation are not covered.
Registration: Register here
MarineHäkk
Date: May 8, 2026
Location: TalTech, Tallinn
A hackathon focused on maritime, marine tech, and blue economy innovation, combining hands-on hacking with workshops and startup-focused meetups.
More information: taltech.ee
HIPTHER Baltics: Tallinn Summit
Date: June 2, 2026
Location: Tallinn
A one-day summit connecting policy leaders, tech entrepreneurs, investors, and regulators to discuss digital-first governance, data infrastructure, and trust frameworks, set against Estonia’s e-government backdrop.
More information: hipther.com/events/tallinn
EestiStartup Summer Meetup 2026
Date: June 6, 2026
Location: Pudel Baar, Telliskivi tn 62, Tallinn
A casual summer networking meetup for the Estonian startup community. Show the EestiStartup logo at the bar for 10% off your drinks. Join their Telegram community at t.me/eestistartup.
Registration: Register here
Presidential Hackathon (Presidendi Haridushäkaton)
Date: May 8–9, 2026
Location: Telliskivi Creative City, Tallinn
A 36-hour education-focused hackathon where students, teachers, founders, developers, and education professionals build practical solutions for the future of learning in Estonia. The event focuses on rapid prototyping, collaboration, and turning ideas into real products.
More information: Presidential Hackathon
Garage48 Future of Wood 2026
Date: October 16–18, 2026
Location: EWERS Tehnomaja / TSENTER, Väimela, Võrumaa
A three-day makeathon for students, designers, engineers, and wood industry professionals to prototype sustainable solutions for forestry, wood processing, and circular economy. The focus is on green innovation and higher-value wood products.
More information: Garage48 Future of Wood 2026
Job Offers
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See you next month!