Ukrainian IT Industry Brought a Record $2 Billion Export Revenue in Q1 2022
The IT industry’s export earnings for the first quarter of 2022 amounted to $2 billion according to the National Bank of Ukraine. During the same period in 2021, the IT export generated $1.44 billion. Despite the war, the tech industry revenue is growing – in the first quarter of 2022 it has increased by 28% compared to last year according to the IT Ukraine Association.
The war forced many IT companies to evacuate to safer areas and suspend business for some time. However, even in such tough conditions, the IT sector has demonstrated an extremely high resilience in the new challenging environment. This was achieved to a large extent over the company’s had been getting ready for a possible full-fledged Russian attack and the instant implementation of BCP plans.
Foreign clients continue to cooperate with IT companies from Ukraine, the IT Research Monitoring survey data proves. Based on it, 72,3% of respondents keep working on projects with the extension of timelines. Another 29.2% of the surveyed received new orders during the first month of the full-scale Russian invasion. Lviv IT Cluster member companies pointed out the customers’ favorable attitude and support from abroad who appreciate the high quality of the Ukrainian IT services.
Lviv IT Cluster, which has six years of experience in industry research, launched the IT Research Resilience project to closely analyze the impact of war on the IT industry. It aims, in particular, to explore how the war is changing the Ukrainian IT market and where new tech hubs are likely to emerge. Data collection is ongoing, and the results will be available to Lviv IT Cluster member companies in late May.
“IT Research Resilience will provide the most up-to-date information on how the IT industry has changed after February 24. As part of the project, we will survey over 6,000 representatives of the tech industry. Our verified methodology, adapted to the conditions of the war, will provide a systemic and scientific approach and a basis for forecasting the further scenarios for the industry development,” comments Stepan Veselovskyi, CEO of Lviv IT Cluster.
IT Research Resilience will also provide representative data on migration intentions and plans of IT professionals, given different possible scenarios for the war ending. The project will study the structure of companies in terms of human capital during the war and the changes that happened in the labor market after February 24, as well as a temporary economic effect on the regions to which IT specialists relocated during the war.
As part of IT Research Resilience, a team of analysts, futurists, economists and industry experts will work out an analytical forecast for the Ukrainian IT industry. It will enable companies to quickly adapt to new realities and build effective strategies during and after the war.