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e-Estonia

guide
the most
advanced Estonians are pathfinders, who have

digital
built an efficient, secure, and transparent
ecosystem that saves time and money.

society in
e-Estonia invites you to join
us on a digital journey.

the world
– Wired
about the journey of a
Estonia digital pathfinder

Estonia is an innovative nation in Northern SITUATED: on the Gulf of Finland


Europe known for its digital ambitions.
Estonia, as a small country, has never enjoyed abundant
POPULATION: 1.3 million natural resources or a huge internal market. Yet, we do
Thanks to smart e-solutions created here, it
takes only a few hours to start a company OFFICIAL LANGUAGE: Estonian have a lot of industrious and entrepreneurial people.
and minutes to declare taxes. The nation
is in the top countries in Europe in terms
TOTAL AREA: 45,339 sq. km In fact, according to the World Economic Forum, we
of start-ups per capita and ranks first in CAPITAL CITY: Tallinn are the most entrepreneurial country in Europe.
the Entrepreneurship Index by the WEF.
CURRENCY: Euro (€)
However – there’s a lot more to GOVERNMENT: Parliamentary democracy
discover! We have world-famous choir In just the last few decades, Estonia has
music and Simple Session – the most
MEMBERSHIP: EU, NATO, OECD, Siim Sikkut become a place where new solutions get
WTO, Eurozone, Schengen Area
international action sporting event in Estonian their start. We are used to being pathfinders
the world. Meanwhile, we hold the Government Chief in digital society and government. What
fourth place in urban air quality in the Information Officer began slowly, step-by-step, has become
world, with forests covering about half our nation’s calling card. Estonian tech
of Estonian territory. And still, as a startups are also disrupting industry
digital society, almost 90% of Estonian Estonia has realised that our size is verticals one by one. Our credo: We
households have broadband coverage. actually an advantage which helps us constantly seek and develop new digital
create effective solutions that the world solutions that allow things to get done
Discover what our innovative needs. That´s probably the reason faster, better, and cheaper. Estonian digital
country has to offer! Estonia is among the top countries in solutions, in government and beyond, are
Europe ranked by start-ups per capita. geared for practical benefits – not just the
The examples range from the private cool factor (though they are cool, too).
sector’s Skype to the e-Residency
program created by government.
Iceland
e-Residency is our governmental startup
Norvegian sea with great potential to revolutionize
Finland location-independent, global business
management. (If you haven’t joined yet,
you should – visit e-resident.gov.ee).
Norway

Sweden

Baltic sea

Russia

Latvia
North sea

Denmark
Lithuania

Ireland Belarus
United
Kingdom
Netherlands Poland

Germany
Belgium
Luxembourg Czech republic Ukraine

Slovakia

Austria Moldova
Our credo: We constantly seek and develop
new digital solutions that allow things to we have built a digital
society – and so can you
get done faster, better, and cheaper

Of course, every coin has two sides. In


the complicated IT world, you can expect
e-Estonia is an incredible success story that grew out of a
to sometimes err. For a country which partnership between a forward-thinking government, a pro-
has consciously chosen a pathfinder role, active IT sector, and a switched-on, tech-savvy population.
adopted rapid reforms, and been a role
model for the creation of new solutions, it is
Being a pathfinder in public sector e-services meant that
inevitable that things sometimes go wrong. nothing was prepared for us – we had to cut our own trail
It is important to stick to your principles, to discover how to provide services in a form that did not
learn from your mistakes (quickly!), and to
talk about them openly – features common
yet exist, and which could be available to everyone 24/7.
to true experts. This is how a successful
digital society was built in Estonia, and
Here are some indicators that show
it’s the way we intend to continue.
how IT-solutions have improved e-Government
everyday life in Estonia. indicators:
We have built a digital government
and society from scratch, and so can
you. Today, Estonia has shared its
Savings and →→ 98% of Estonians have
e-governance journey with more than
efficiency: a national ID-card
60 governments that follow our example
and employ our competence. If you want →→ Over 54,000 people have
to see how a truly successful information applied for e-Residency
→→ At least 2% of state GDP is saved due
society works, come to Estonia – or
to collective use of digital signatures →→ 46,7% of Estonian voters from 109
start by checking out e-estonia.com. Our
countries used i-Voting during last
private companies, experts as well as →→ 1407 years of working time saved
European Parliament election
government officials are happy to share annually thanks to data exchange
our digital know-how and solutions to
→→ Time to establish a business
make the world a more efficient place.
reduced from 5 days to 3 hours
Healthcare:

Financial
indicators: →→ 99% of patients have countrywide-
accessible digital records
→→ 99% of prescriptions are digital
→→ 98% of companies are
established online →→ 2,3 million queries by doctors
and 1,8 million queries by
→→ 99% of banking transactions are online
patients every month
→→ 95% of tax declarations are filed
online – it takes only 3 minutes!
In 2007, Estonia set a world
record for establishing a our success
story
company online in 18 minutes

X-Road data Cyber


When Estonia started building our information society
exchange platform: security: about two decades ago, there was no digital data being
collected about our citizens. The general population
→→ 99% of public services →→ Locked Shields is the world’s largest and
did not have the internet or even devices with which to
online with 24/7 access most advanced international technical use it. It took great courage to invest in IT solutions and
→→ 900 million queries annually via X-Road
live-fire cyber defence exercise – it takes take the information technology route. Here are some of
place annually in Estonia concurrent
with the CYCON conference
our best e-solutions that have led to Estonia becoming
one of the world’s most developed digital societies.
→→ Estonian government started live
Public
tests with KSI Blockchain technology
safety:
in 2008. Today, KSI Blockchain Principles of Estonian e-governance: →→ No legacy – Continuous legal
service is available globally. change and organic improvement
→→ Decentralisation – There’s of the technology and law
→→ e-Police system available in police cars →→ Estonia hosts the NATO Cooperative
no central database and every
unites over 15 databases, including Cyber Defence Centre of Excellence →→ Once-only – Data is collected only
stakeholder, whether a government
those of Schengen and Interpol and European IT agency once by an institution, eliminating
department, ministry, or business,
duplicated data and bureaucracy
→→ Estonia was the first country in the →→ Estonia is an elected member of the UN gets to choose its own system
EU to legalise testing self-driving Security Council, active from 2020. →→ Transparency – Citizens have
→→ Interconnectivity – All system
vehicles on public roads the right to see their personal
elements exchange data securely
information and check how it is used
and work smoothly together
by the government via log files
Education: →→ Integrity – Data exchanges,
M2M communications, data at
rest, and log files are, thanks
to KSI blockchain technology,
#1 INTERNET FREEDOM
Freedom House 2018
→→ Among the first in Europe
independent and fully accountable
in the OECD PISA test
→→ Open platform – Any institution
→→ Two times more students in
may use the infrastructure and
ICT-related courses on the average
it works as an open source
than in other developed countries
→→ 100% of Estonian schools
use e-solutions
the journey of
e-Estonia
Population Register
The state’s database for
holding basic information
about each person ID bus ticket
living in Estonia. On buses and trams, a
ID-card passenger may dial a Mobile-ID
X-Road Estonia has by far the telephone number to buy Allows people to use a
The backbone of most highly-developed a ticket or a monthly pass. mobile phone as a form
e-Estonia. Invisible yet national ID card system Because the ticket is tied of secure digital ID. Like
e-Tax board crucial, it allows the in the world. Much more to the passenger’s state- Estonian Education the ID-card, it can be
Electronic tax filing than a legal photo ID, issued ID code, any ticket Information System used to access secure
nation’s public and
system. Each year, the mandatory national controller who checks the A state database that e-services and digitally
around 95% of all tax private sector e-Service card also provides digital passenger’s ID card will brings together all sign documents but has
declarations in Estonia databases to link up and access to all of Estonia’s instantly see that a ticket information related to the added advantage of
are filed electronically. function in harmony. secure e-services. has been purchased. education in Estonia. not requiring a card reader.

2000 2000 2001 2002 2002 2002 2003 2003 2004 2005 2007 2007

m-Parking eSchool Digital signature e-Land Registry i-Voting e-Police system


Mobile Parking is a One of the most widely Since 2002, every Estonian A one-of-a-kind web A unique solution that Involves two main tools:
convenient system that can used web applications resident has been able to application that contains simply and conveniently a mobile workstation
be used in privately-owned for schools in Estonia, it provide a digital signature. information on all property helps engage people in installed in each patrol car,
and public parking facilities provides an easy way for Today, this is done via ID- ownership and rights for the governance process. In and a positioning system
in Estonia, allowing drivers parents, teachers, and card, Mobile-ID, or Smart- properties and land parcels. 2005, Estonia became the that shows headquarters
to pay for parking using children to collaborate ID, for safe identification first country in the world to every officer’s location
their mobile phones. and organise all needed and use of e-services. hold nationwide elections and status.
information for teaching using this method.
and learning.
e-Prescription
KSI blockchain A centralised paperless
A blockchain technology system for issuing
designed in Estonia and handling medical EV quick-charging e-Receipt
and used since 2012 to prescriptions. At the network Data Embassy A portal that enables
make sure networks, pharmacy, all a patient The charging infrastructure Currently in its testing end users to manage
systems, and data, such needs to do is present an project created an period, the Data Embassy their receipts, as well Testing intelligent
as national health, judicial, ID-card. The pharmacist Estonian network of quick is an extension of the as documents related transportation
legislative, security, and then retrieves the patient’s chargers. Quick chargers Estonian government to those, such as Estonia took an important
commercial code systems, prescription from the for electric cars blanket in the cloud, meaning letters of guarantee step when the government
are free of compromise, system and issues the Estonia today and ensure the state owns server and product manuals, made it legal to test
all while retaining medicine if it has been freedom of movement for resources outside its in a single, convenient self-driving vehicles on
100% data privacy. prescribed to the patient. drivers of electric cars. territorial boundaries. web environment. all public roads.

2008 2008 2010 2011 2012 2013 2014 2014 2015 2017 2017 2018

e-Health system Smart Grid X-Road Europe e-Residency Reporting 3.0 Healthcare 4.0
A nationwide system A digitally enabled Estonia was the A transnational digital The goal of the Thanks to personalised
integrating data from electrical grid that gathers, first in the world identity for which anyone Reporting 3.0 project medicine and genome-
Estonia’s healthcare to interconnect in the world may apply is to reduce the burden based analysis, people
distributes, and acts upon
providers to create a decentralized allows the user to run on entrepreneurs will be more aware of
common record every information regarding the components of a trusted location- concerning obligatory the factors influencing
patient can access online. behaviour of all participants state- and public independent EU business submission of data to their health and
(suppliers and consumers) sector databases at online with all the tools state institutions by the individuals will become
in order to improve the the national level. needed to conduct automatisation more responsible
business globally. of data flow. for managing their
efficiency, importance,
own health.
reliability, economics,
and sustainability of
electricity services.
building blocks Estonia is the first in the
world to offer 99% of public

of e-Estonia services online 24/7

After our experience with cyberattacks in


e-Estonia’s success relies on an open-minded Interoperability 2007, scalable KSI blockchain technology
citizenry, who are eager to use e-solutions, and a services was developed in Estonia. Besides securing
strong infrastructure that has made it possible to build its own e-services with blockchain, such as
e-Law and e-Court, Estonia also became
a safe and user-friendly e-services ecosystem. The 21st-century keywords, citizen-centred host to the NATO Cooperative Cyber
state, and service-oriented information Defence Centre of Excellence and the
system, require information systems European IT agency. Also in regular use,
to function as an integrated whole to e-Police, Alarm Centre, and e-Ambulance
e-Governance e-Identity support citizens and organisations. To Fast Reaction keep Estonian streets safe.
do that, organisations and information
systems, such as the Population Register
or State Portal, must be interoperable
Thanks to a safe, convenient, and flexible Thanks to a digital identity issued to every Healthcare
and able to work together so that data
digital ecosystem, Estonia has reached Estonian and e-Resident of Estonia, the
is requested from the citizen once.
an unprecedented level of transparency country is years ahead of countries still
Estonia’s solution for maintaining a
in governance and built broad trust in its trying to work out how to authenticate
modern state is the data exchange layer Estonia’s healthcare system has been
digital society. For example, our government people without physical contact. In
X-Road, which saves Estonians 1407 revolutionised by innovative e-solutions.
uses e-Cabinet to pass laws, while citizens Estonia, every person can provide digital
years of working time every year. Patients and doctors, not to mention
use i-Voting to have their say. As a result signatures using their ID-card, Mobile-ID,
hospitals and the government, benefit
of digital signatures, Estonia annually or Smart-ID, so they can safely identify
from convenient access and savings that
saves 2% of GDP and has become a themselves and use e-services. Digital
Security e-services deliver. Each person in Estonia
hassle-free environment for business and signatures have been used in Estonia
and safety has an online e-Health Record and can
entrepreneurship. Estonia is probably the since 2002, over 600 million signatures
use e-Prescription to get medicine without
only country in the world where 99% of have been provided since then – this is
paper prescriptions. The electronic ID-
public services are available online 24/7. more than in the entire European Union.
Being a digital society means exposure to card system and blockchain technology
cyber threats. With solid investments in are used to ensure health data integrity
cybersecurity infrastructure, Estonia has and mitigate internal threats to data.
developed extensive expertise in this area,
becoming one of the most recognised and
valued international cybersecurity experts.
Estonia was the first in the No. 1 most entrepreneurial
world in 2005 to vote using country in Europe
an internet-based solution (World Economic Forum 2016)

Location-based Business
Education
services and finance

Thanks to the location-based aspect of Modern e-solutions make setting up The goal of the educational digital
many of our public services, Estonia has and running a business in Estonia revolution in Estonia is to implement
been able to increase the well-being and quick and easy. Estonian solutions modern digital technology, such as
safety of its citizens. In 2000, Estonia like digital signatures, electronic tax e-School or the Estonian Educational
made headlines by pioneering a system filing, the e-Business Register, and the Information System, more efficiently and
that can instantly pinpoint the location availability of public records online effectively in learning and teaching, and
of any GSM mobile phone used to have pared down bureaucracy to to improve the digital skills of the entire
make an emergency call. Today, Estonia a bare minimum and facilitated an nation. For example, our goal includes
continues its commitment to innovation environment where business is easy, ensuring that every student receives
and new technologies by offering the yet also secured with blockchain the knowledge and skills to access the
opportunity to use Estonia as a test technology. It’s a simple fact: Where modern digital infrastructure for future use.
bed for self-driving technologies and business is easy, business will Estonia’s success in the digital revolution
intelligent transportation systems. grow. That’s why Estonia is among is reflected in the fact that twice as many
the countries hosting the highest students pursue IT-careers in Estonia versus
concentration of start-ups per capita. the average in other OECD countries.
#1 MOBILE NETWORK
COVERAGE

#1 #1
Global IT Report 2016 ENTERPRENEURAL DIGITAL HEALTH INDEX
ACTIVITY Bertelsmann Foundation 2019
World Economic Forum 2017

#1 STARTUP FRIENDLINESS
Index Venture 2018
an ambitious Estonia is the first country to offer e-Residency
– a government-issued digital identity

future available to anyone in the world interested in


running a global EU company fully online

Successful countries must be ready to experiment. Intelligent


Building e-Estonia, one of the most advanced e-societies Blockchain
transportation
in the world, has involved continuous experimentation
and learning from mistakes. Estonia sees the natural Although blockchain has only become Estonia is already an innovation leader in
next step in the evolution of the e-state as moving basic a hot technology in the private sector in IT with electronic identity cards, i-Voting,
services into a fully digital mode: for citizens, things recent years, Estonia has been testing the and e-Residency. In 2017, we took another
technology since 2008 and is leading the important step when the government made
can be done automatically and, in a sense, invisibly. blockchain revolution. In order to provide it legal to test self-driving vehicles on on all
an unchangeable historical data record, public roads. We believe that self-driving
the technology has been in active use technology helps improve road safety and
In order to remain an innovative,
since 2012 in Estonia’s registries, such road use efficiency. With self-driving cars,
effective, and successful Northern Data
as national health, judicial, legislative, Estonia will continue its commitment to
European country that leads by example, Embassy
security, and commercial code systems. providing a state-of-the-art platform for
we need to continue executing our
There are plans to extend its use to other innovation and new technologies, as it
vision of becoming a safe e-state with
spheres, such as personal medicine, already has all the prerequisites in place.
automatic e-services available 24/7. The Data Embassy is an extension in the
cybersecurity, and data embassies.
cloud of the Estonian government, which
means the state owns server resources
A new outside its territorial boundaries. This is Reporting 3.0
Cross-border
digital nation an innovative concept for handling state
data exchange
information, since states usually store
their information within their physical
The goal of Reporting 3.0 is to reduce
e-Residency is building a new digital nation boundaries. Data Embassy resources are
As businesses and citizens become more entrepreneurs’ burden of obligatory data
for citizens of the world where no-one under Estonian state control, secured
mobile, the need for truly international submission to state institutions. A new
is held back from their entrepreneurial against cyberattacks or crisis situations
e-services becomes all the more pressing e-Tax and Customs Board portal will be
potential because of where they choose with KSI blockchain technology, and are
to remove the red tape involved in the completed in 2020, where the information
to work or reside. This has enormous capable not only providing data backups,
cross-border movement of people and exchange between companies and the tax
potential for unlocking global growth by but also operating the most critical services.
companies. Estonia has begun this work authority will be automatic and require only
democratising access to entrepreneurship
with a public sector data exchange facility, the granting of access to data. This will
and e-commerce. We believe that countries
established between Finland and Estonia save time and money, allowing companies
will one day compete for e-residents based
in 2017. Estonia hopes that cross-border to focus on growth and productivity.
on the quality of their public e-services
data exchange will soon become possible
and their business environment.
between all European countries.
Estonia was first in the world Estonia was first in the world to interconnect
to test and use blockchain decentralised components of state and
technology on national level public sector databases at a national level

Digital transformation Real-Time


Healthcare 4.0 Industry 4.0
in education Economy

Healthcare 4.0 is Estonia’s solution for We in Estonia believe that raising smarter Introduction of Industry 4.0-type solutions The-Real Time Economy (RTE) is
the future. First, thanks to personalised kids is the smartest investment a country could impact everything from how quality an environment where financial and
medicine and genome-based analysis, can make. But we also understand the is monitored to how much effort goes administrative transactions connecting
people will become more aware of the importance of lifelong learning. Estonia’s into supply chain management. Several citizens, business and public-sector entities
factors influencing their health, and educational digital revolution implements players in Estonia’s ICT sector focus on are in structured standardized digital
individuals will take more responsibility modern digital technology more efficiently Industry 4.0 solutions development. At form. These transactions are increasingly
for managing their own health. Second, and effectively in learning and teaching, the centre of their strategy is a concept generated automatically and completed
patients will be able to access information improving the digital skills of the entire called Real-Time Factory which, as the in real time without store and forward
wherever they happen to be at a time of nation. One example: by 2020 all study name suggests, allows managers to track processes. Digital services should be
their choosing, enabled by point-of-care materials in Estonia will be digitized and key performance indicators in real time, designed so that they are easy to use
devices – equipment provided by the state available through an e-schoolbag. showing where improvements can be made and secure for the EU citizen (also for
that patients may use themselves. Finally, and allowing the entire factory to operate the handicapped and those who do not
Estonia will provide global health accounts as one integrated system. Tallinn-based use the internet). Incentives should be
and introduce the benefits of medical SimFactory, for example, specializes in provided for the migration from paper,
procedures based on artificial intelligence. helping electronics manufacturers adopt the e-mail, and manual versions, and data
Real-Time Factory approach, giving them connected from all relevant sources. For
the kind of data-driven production that can example, solutions like real-time payments,
streamline every aspect of their operations. e-ID services, real-time e-Invoicing, and
e-Receipts, automated and real-time
accounting and VAT-reporting, automated
credit and investment risk evaluation and
processing, can hugely benefit the digital
single market through direct cost savings.
IT sector the e-state
of mind

IT plays a central role in Estonian life To date, Estonia has shared its The e-Estonia Briefing Centre offers a full Immersive experience of e-Estonia
because people trust IT solutions. Essential e-governance journey with over 60 overview of Estonia’s e-solutions. Our
e-solutions in Estonia that enable the governments and exported its solutions goal is to inspire global policymakers, During the visit, guests receive an
digital society to function smoothly were to over 130 countries around the world. political leaders, corporate executives, inspirational introduction about the
all built by local Estonian companies. Our The Estonian IT sector and ambitious investors, and the international media underlying mechanisms involved in
IT sector has over 20 years of expertise start-up community dare to create with Estonia’s success story and build digitising a society, an overview of
and experience in automating public and innovative e-services that change the links to leading IT service providers. the main challenges and policies, an
private sector services. Today, virtually world – from Skype to e-Residency. understanding of the infrastructure,
all state-related operations can be done 59,000 visitors and e-solutions and services, as well as contacts
online 24/7 – prescriptions are issued 4,500 delegations hosted with the IT industry. Apart from hosting
digitally and only a tiny fraction of individual from over 130 countries delegations and arranging B2B meetings,
tax declarations are filed on paper. we also create custom programmes
and deliver professional presentations at
We have hosted 59,000 visitors and
international conferences and events.
4,500 delegations from over 130 countries.
Working closely with our public and private
Get in touch and book
sector partners, we astound delegations
a visit e-estonia.com
by tailoring the content of every briefing

the Estonian to suit the needs of our guests, focusing


on presenting the e-Estonia concept and
coordinating G2G, B2G, and B2B relations.

ICT cluster

The Estonian ICT cluster is the main force e-solutions in Estonia have been made
behind cooperation and development in the using ICT cluster partners. Through
Estonian IT sector. It forms a collaborative the ICT cluster, Estonian IT companies
platform for enterprises which combines can cooperate in order to find partners
competences and provides access to and develop new solutions, create new
a dynamic network of companies. products, and improve their competitive
For example, most public and private ability on international markets.

Contact: find us
Doris Põld Maarja Rannama
Cluster Manager Cluster Project Manager The e-Estonia Briefing Centre is conveniently
doris.pold@itl.ee maarja.rannama@itl.ee located just a two-minute drive from the
+372 511 4411 +372 5558 2672 airport and seven minutes from the city
e-estoniax.com e-estoniax.com centre: Valukoja 8, 11415 Tallinn, Estonia.
get in touch
and book a visit:
e-estonia.com

Copyright © 2019 by Enterprise Estonia

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