Successful entrepreneurs know that success comes after living through difficulties.

It is a difficult time for Armenia now. We had to take a pause for couple of days but we restart our activities. Our goal is to give even more opportunities to the Armenian startup community to show its strong will and character.

Photo - from Mathew Zein's LinkedIn page.

#armenia #editorial

I've started 3N on Aug 21, so today is the 2nd monthly anniversary of the channel.

During 2 months the number of subscribers grew to 521 people. There are 120 posts. Plenty of local and global grant, acceleration, pitching and training opportunities. Made several startup intros to investors and partners.

It is an incredible moment, when you learn that a startup won a competition or joined an acceleration program thanks to 3N. This is exactly why I created this channel - to make opportunities more accessible to the startups.

So let me take the opportunity and extend my heartfelt thanks to all you for the trust and ocean of motivation!

❤️@rubenosipyan

https://t.me/threenstartups

#editorial #thankyou #portionofemotion

We are glad to share with you this guide to the Armenian Tech Investment Ecosystem. The guide covers Angel Networks and VC funds. It also mentions the key people from each angel group or VC team.

May the force be with you when establishing connections with these bright people!

https://t.me/threenstartups

#guide #editorial #ecosystem #investors

Armenian founders showcased true resilience and adaptability in 2023, announcing a total of $216M in investments.

The year posed significant challenges for Armenia, impacting its startup ecosystem. It wasn't just a challenging period for us; globally, there was a noticeable reduction in VC deals. Consequently, investors now conduct more thorough due diligence, elongating the investment decision-making process. Moreover, the cost of capital is on the rise, leading to reduced valuations for startups.

We have numerous founders establishing startups both domestically and globally. Strong connections between Homeland and Diaspora underscore how the success of startups with Armenian founders significantly benefits the Armenian ecosystem. This impact is twofold: directly, through the establishment of R&D teams in Armenia, and indirectly, as Armenian founders maintain active connections with their homeland, offering their network, knowledge, and advisory support.

To assess the performance of the Armenian startup landscape, 3N tracked investment announcements within both the Armenian ecosystem and startups with Diaspora Armenian founders. For ease of reference, we'll refer to Armenia-born startups and startups with Diaspora Armenian founders collectively as "Armenian Startups."

In total, Armenian Startups announced 24 deals, securing a capital raise of $216M. Notably, 82% of this capital was secured by startups with Diaspora Armenian Founders (7 deals). The lion's share came from Gecko Robotics, securing $100M in Series C capital, led by Co-Founder & CEO Jake Loosararian.

Armenia-born startups raised $27M, primarily closing pre-seed and seed rounds. Among these, Zero Systems stands as the sole Series A startup that announced an investment.

It's heartening to note that Armenian investors (VC firms and Angel Networks) collectively announced investments of $3M. Yet, the actual investment is likely higher, given undisclosed deal amounts.

However, it's apparent that the performance of local incubation and pre-acceleration programs has room for improvement. Presently, only two incubation programs—EPIC AUA and TUMO Labs—are active in Armenia, with others on pause. Furthermore, the absence of graduates from these programs among the top Armenia-born startups underscores that success stems from the founders' talent and a strong Diaspora.

Looking ahead, a more strategic and structured approach from the Armenian startup ecosystem in developing relations with the Diaspora is encouraged. The Armenian Diaspora can be instrumental in positioning Armenia as a regional startup hub, extending support not only to Armenian startups but also to regional startups from neighboring countries like Georgia, Kazakhstan, Russia, Ukraine, and Moldova. This approach could significantly elevate Armenia's status as a regional startup hub.

Additionally, seeing more Armenian enterprises launch venture-building programs and actively engage with the local startup ecosystem will contribute to a growing pool of Armenian high-tech innovations applied within the country's industries.

Ultimately, synergy and cooperation across all the actors in the educational system, research community, startup ecosystem, enterprises, and the Government will pave the way for groundbreaking innovations and elevate the performance of the Armenian startup ecosystem.

We hope to see more investment announcements, programs launched and impactful cooperation formed in the coming 2024.

We wish the Armenian founders to stay strong, resilient and energetic to contribute their talent to rebirth of our homeland.

https://t.me/threenstartups

#editorial #armenianstartupecosystem #annualrecap

On the eve of the New Year, Mkhitar Hayrapetyan stepped into the role of the Minister of High-Tech Industry of Armenia.

We would like to thank the former Minister Robert Khachatryan for his service. It was encouraging to witness Mr. Khachatryan at the ceremony, urging the new minister to uphold recent agreements with the high-tech community.

It's a significant gesture, highlighting the Ministry's commitment to collaborating with the community.

We hope to see energy and pro-activity from the new Minister in his role. Armenia's high-tech industry faces challenges. Armenian startups are thriving thanks to the talent of their founders (mostly Diaspora Armenian founders).

Our ecosystem builders and investors made important steps in the past paving the robust ecosystem. Now it is time to contribute a more sizable impact to the local ecosystem. We see a strong possibility for the local ecosystem to serve not only Armenian startups, but also the regional startups from Georgia, Moldova, Ukraine, Iran, and other countries.

Armenia can't match the financial might of oil-rich nations or offer a vast talent pools like larger countries. Our strategy should focus on nurturing talented founders and strengthening ties with the Armenian Diaspora. Smart, effective startup support programs are the way forward.

We believe in establishing robust private-public partnerships, fostering collaboration within the ecosystem, and building deeper connections with Diaspora Founders and Key Opinion Leaders.

Let's act smart and build a stronger tomorrow for our startups and tech community.

https://t.me/threenstartups

#editorial #mhti

Stand in Solidarity with Ashot Hovanesian and Support Synergy!

Yesterday's news of Ashot Hovanesian's arrest within the scope of an investigation at the Ministry of Economy left me in shock. While we advocate for the eradication of corruption in Armenia, it is crucial to acknowledge the systemic challenges within the state procurement system.

Those familiar with state tenders understand that, unfortunately, low prices often take precedence over acceptable quality. The reluctance of serious vendors to engage in this process due to risks and negative past experiences further exacerbates the issue, leading to a lack of competitive tenders.

Ashot Hovanesian, is one of the pioneers of Armenia's modern high-tech industry and the founder of Synergy. Mr. Hovanesian has played critical role in the company's evolution into a multinational organization with five global offices, providing solutions used in over 80 countries. Obviously this positively impacts Armenian high-tech ecosystem.

In instances like these, we have witnessed individuals facing serious accusations, with their reputations tarnished by irresponsible press releases. Subsequently, investigative bodies struggle to substantiate the charges, resulting in the individuals being released. Such unprofessional and irresponsible behavior is unacceptable.

I am confident that Synergy will overcome these challenges and will stay stronger than ever. However, it is crucial to recognize that the consequences of such incidents extend beyond the immediate impact on individuals or companies. High-tech organizations, including Synergy, may encounter formidable barriers in providing services to the government in the future. This, in turn, will contribute to an unproductive public sector lagging competing and rival countries.

Let us unite in supporting Ashot Hovanesian and Synergy during this challenging time and advocate for a fair and just resolution to this situation.

https://t.me/threenstartups

#editorial #supporsynergy #suportashothovanesian #callforcommunitysupport

Dear Community:

We have recently shared success stories of the Armenian technology companies (Picsart, 10Web and TUMO – see above). So, we wanted to take a moment and once again emphasize the importance of technology innovation for Armenia.

To do that we compared the revenues of Tinder (many of us are celebrating Valentine’s Day today, huh?) and SOCAR (State Oil Company of the Republic of Azerbaijan).

According to public sources in 2022, Tinder made revenues of 1.8 bln USD, which is 72% (!) of SOCAR’s revenues in the same year (2.2 bln USD).

So, our message of the day is that tech should be the Valentine of Armenia 😘.

We should continue focusing on tech development. Tech, innovation and the brains are the “oil” of the modern day. Let’s double, triple our efforts in developing the tech scene in Armenia.

Happy Valentine’s Day ❤️

https://t.me/threenstartups

#editorial

Yesterday, we learned about the legal actions taken against the Armenian startup gg. Although the official press release states that this was part of a process initiated a year ago, there is significant mistrust surrounding this claim. We have strong reasons to believe that these actions were a response to a controversial Facebook post made by gg’s founder during the protests against the government.

❗️We join our voices with those who demand that the government stop reacting in this manner and tolerate protests and criticism.

https://t.me/threenstartups

#editorial

Armenia’s AI Preparedness Index Results: A Call for Action Amid Regional Competition

Modex has recently published AI Preparedness Index 2023 showing that Armenia is at the 70th position, behind regional neighbors Kazakhstan (47th), Turkey (49th), and Georgia (57th).

And this result is not a coincidence. Let's have a closer look at what is done by Kazakhstan and Georgia to boost their innovation ecosystems:

1. Kazakhstan’s AI Vision

Kazakhstan has developed its Generative Nation Strategy, driven by key initiatives:
• Establishing an AI Development Committee and drafting a national AI Law to regulate ethical AI practices.
• Building infrastructure like KazLLM, a large language model, and a supercomputing cluster.
• Training 1 million people in AI skills by 2029 and launching Tomorrow School, a peer-to-peer AI training hub.
• Attracting global talent through the Digital Nomad Visa and fostering over 1,500 startups at Astana Hub, generating $1 billion in revenue.

See more on this topic from Kazakhstan's Minister of Digital, Innovation & Aerospace Zhaslan Madiyev - here.

2. Kazakhstan’s $1 Billion Fund of Funds

Kazakhstan recently announced the creation of a $1 billion Fund of Funds, channeling investments into regional and global VC funds to fuel innovation and position the country as a startup hub.

See more on this topic from Alim Khamitov, CEO of MOST Ventures - here.

3. Georgia’s Strategic Push in Startups and Fintech

Georgia is actively fostering its startup ecosystem by:
• Hosting the 500 Global Program to support startups from Georgia and the broader region (including several Armenian startups).
• The National Bank of Georgia is working seriously on setting Nation's Fintech Development Strategy aiming to transform Georgia into a regional fintech innovation hub.

#Analytics #Editorial

—————————————————
🔥 Join 3N to stay on top of startup news

“Theorizing without data is meaningless.”
Armenia vs. Estonia – A Comparative Look

As reported by Economy of Armenia channel, the minister of high-tech industry of Armenia presented Armenia’s technology sector impressive growth:

🇦🇲
- Annual turnover: 1.15 trillion drams ($2.93 billion)
- Employees in IT: 41,500
- GDP share: 7-8%

Meanwhile, during a meeting with the Estonian Association of ICT on February 5, 2025, they presented country's latest figures:

🇪🇪
- Annual turnover: €10.2 billion ($10.6 billion) - 3.6x bigger than in Armenia
- Employees in ICT: 38,942 - little bit less than in Armenia
- GDP share: 11% - which is 4-5% more than in Armenia

Key Takeaways
Despite Estonia’s smaller population (~1.3 million vs. Armenia’s ~2.8 million), its tech sector contributes more significantly to GDP, operates at a larger scale, and generates higher per-employee revenue. We understand that reasons of the success require deeper analysis, but probably the Estonian success should be found in digital transformation, startup-friendly policies, and deep integration of tech into governance.

While we are proud to see the success of the Armenian private tech sector (as an example, Formula VC recently announced a launch of their 2nd fund  of $30M  🚀) we also realize a massive need of comparing ourselves with countries like Estonia to identify key lessons and strategies that can accelerate Armenia’s growth.

Estonia’s journey from a post-Soviet state to a global leader in digital innovation proves that well-thought policies, strategic investments, and a strong startup ecosystem can drive transformative change.

The Estonian model serves not just as inspiration but as a benchmark for what’s possible. The question is - how fast can Armenia catch up?

#Armenia #Estonia #EcosystemComparison #Editorial

—————————————————
🔥 Join 3N to stay updated on startup opportunities!