The ability to organize into clusters has become one of the most important components of the development of the IT industry in Ukraine. They help companies find staff, attract investment, implement the latest technologies, and survive during the war. Lviv IT Cluster, headed by Stepan Veselovskyi, is currently the largest business association of IT companies in Ukraine. The community unites hundreds of tech companies employing tens of thousands of specialists.
Perhaps the most famous project of the cluster is the IT Arena technology conference, which has been bringing together more than 5,500 entrepreneurs and innovators in Lviv for three days of discussions, networking, and inspiration for eleven years.
We learned from Stepan Veselovsky about the development of the CodeUA tech marketplace, the creation of a research center for students and scientists, the launch of a new media about Ukrainian tech business, the planned IT Future Fest event, and, of course, IT Arena 2025. You will also find a selection of useful books for IT professionals and top managers from the CEO of Lviv IT Cluster.
How does the Lviv IT community work during the war?
Stepan Veselovskyi told us that over the past three years, Lviv IT Cluster has grown significantly, with the number of members doubling: the association now includes more than 300 tech companies employing more than 100,000 specialists. "Before the outbreak of full-scale war, I did not fully understand whether the time I devoted to creating the association and ecosystem had enough positive impact. However, the war has given me a clear focus and understanding that I am in the right place and investing my resources where it is needed. Over the past three years, my team and I have taken a lot of risks and done everything we could to ensure the stable operation of the business even in such difficult conditions. The team has also doubled in size. Currently, the cluster cooperates with almost 100 specialists. These are specialists who not only do their job professionally, but also sincerely care about the development of the industry and the association," said the cluster head.
During the war, the community team continues to actively develop specialized education, launch and implement legal aid services, and implement projects aimed at providing comprehensive support to tech companies.
| Довідка: Lviv IT Cluster — is the largest business association of IT companies in Ukraine, which unites more than 300 tech companies employing more than 100,000 professionals. The cluster conducts analytical research, works on the development of specialized education, launches and implements legal support services, as well as projects aimed at providing comprehensive support to tech companies. The CEO is Stepan Veselovskyi. One of the most famous projects of the cluster is the IT Arena technology conference, which has been bringing together more than 5,500 entrepreneurs and innovators in Lviv for three days of discussions, networking, and inspiration for eleven years. It is the largest conference in Ukraine and one of the largest IT events in Eastern Europe. Since the start of the full-scale war, the cluster has launched a series of projects that help the Ukrainian Defense Forces and enhance their security and defense capabilities.Lviv IT Cluster also has several communities of its own:M&A Community — is a community that aims to foster innovation, increase global competitiveness, and improve the investment climate in Ukraine; its members can learn all about the peculiarities of successful M&A from top experts and funders who already have experience in this field;Executive Connect — community, which was created to respond quickly to external threats, has grown into an initiative that now brings together top managers and CEOs for prompt information and informal communication;Product Community — is a community for the development of new IT products that gives professionals an understanding of where to go during changes; it is a community for CPOs, Product Managers, Product Owners, Head of Product, marketers, brand managers and UX/UI designers, IT specialists and everyone who works on product development;Sales Community — is a community that brings together representatives of sales departments of companies that are members of the Lviv IT Cluster; the association is aimed at expanding opportunities for finding customers, new markets, and lead generation;HR Community — is a community of Lviv IT Cluster members who have united to create new projects for HR professionals, achieve common goals, and share experiences;Game Community — is a community that brings together gaming industry professionals who aim to improve the level of education of their own and potential staff, exchange experience, and discuss current topics and ideas;СТО Community — a community that brings together technology industry professionals with similar interests, goals, and responsibilities (CTO, Deputy CTO, Director of Engineering, Technical Director, VP of Engineering, VP of Technology);IT Law Community — was created to coordinate the efforts of IT cluster member companies to implement joint legal and legislative initiatives to protect the interests of the IT industry.For industry professionals, there is also the IT Meets project, a series of one-day professional events that bring together practitioners from different areas of the IT industry to share knowledge and network.The community is also working on the largest loyalty program for IT professionals in Ukraine - IT Club Loyalty. Currently, 32,000 professionals use the program and receive discounts at more than 1,000 partner brands across the country. The cluster's activities have long gone beyond the city of Lviv. Its representatives organize many different events in the regions, help other clusters build infrastructure, and conduct global market research. Lviv IT Cluster also has a representative office in Kyiv. All cluster projects are available here. |
"I want to believe that these efforts have a positive impact on hundreds of thousands of people. And we see the results of these efforts. We are trusted. In addition, after the outbreak of full-scale war, the cluster launched a series of projects that help the Ukrainian Defense Forces, strengthen the security and defense capabilities of the region and the country, and support temporarily displaced persons. In total, since the beginning of the invasion, our member companies, clients, and partners, as well as the Lviv IT Cluster itself, have donated UAH 142,700,000 to Victory Projects, which is equivalent to $4,088,825. At work, I learned not to get stressed even in difficult situations. However, of course, the war affects the general psychological state. The work on the Lviv IT Cluster's charity fund helps to cope with this. The realization that the actions of our team help the Defense Forces of Ukraine," said Stepan Veselovskyi.
About a challenging but productive 2024
According to the CEO of Lviv IT Cluster, last year's IT Arena technology conference was a record-breaking event, bringing together more than 5,500 participants from 30 countries. "2024 was a challenging but productive year. We also organized 10 professional IT Meets conferences in Lviv, Ternopil, and Kyiv, which were attended by 1800 participants. The first Ukrainian Outsourcing Summit was held in Kyiv, bringing together more than 500 market leaders and government officials. Together with the Ministry of Digital Transformation, we launched CodeUA, a tech marketplace that helps Ukrainian IT companies expand their presence in the global market. We also presented a large-scale study of the tech industry , IT Research Ukraine 2024. We continued to develop education. And, of course, we worked on services and projects aimed at supporting tech companies," Veselovskyi said about the year's results.
The activities of the Lviv IT Cluster have long gone beyond Lviv. The association has a representative office in Kyiv. And it seems that the capital will soon have more specialized events from Lviv. We asked specifically about the Ukrainian Outsourcing Summit, the first all-Ukrainian event for C-level executives, top managers, and founders of service IT companies, which took place on November 21, 2024, in Kyiv. The Lviv IT Cluster explained that the conference was created as a platform for discussing issues of the technology industry, bringing together leading IT market players, government representatives, the financial sector, and donor organizations for a dialogue.
"During the event, we presented two tools that will help businesses maintain stability even in times of challenges: a unique business platform CodeUA, which will allow service companies to expand into new markets; and the results of the largest study on the state and prospects of the IT industry in Ukraine and in each of the regions - IT Research Ukraine 2024. One of the main benefits of this event was M&A Bar Talks, a private networking event organized by our M&A office, where participants had the opportunity to discuss M&A tools with practitioners who have closed many M&A deals. We saw a huge interest in this format of the event, both among representatives of companies and the government. Therefore, the Ukrainian Outsourcing Summit will be an annual event. And in 2025, we will all meet again in Kyiv on November 20," said the event organizer.
As for IT Research Ukraine 2024, Stepan Veselovsky said the following:
▪️the downward trend in IT services exports that began in 2023 continues;
▪️last year, exports of IT services decreased by 8.5%, and according to the study, an additional decline is expected this year: up to 6%;
▪️even in the month when revenue grew month-on-month, the dynamics remained weaker than in 2023;
▪️as of today, neither the state of the economy, nor the current market dynamics, nor the solutions proposed by the authorities give grounds for optimism;
▪️if a full-scale war continues in 2025, there is no reason to expect an increase in IT exports - all the challenges the industry faces will remain and even deepen.
"Our task, as the largest association of technology companies, remains to work on slowing down the decline in IT services exports, stabilizing the industry, and creating conditions that would help us reach the so-called plateau with further growth," said the CEO of Lviv IT Cluster.
| Reference: IT Research Ukraine — is the largest study on the state and prospects of the IT industry in Ukraine and in each of the regions. According to Stepan Veselovsky, it is a research network with a unique methodology that has been conducting analytical research of the industry since 2015 at the initiative of Lviv IT Cluster. Through this series of projects, the community provides high-quality industry analytics to its members and partners, which creates the basis for validating solutions or adapting plans to current market trends. |
As for IT Arena 2024, according to the Lviv IT Cluster, the conference was a record-breaking event for the industry:
▪️more than 5,500 participants from 30 countries gathered, the largest number in the conference's 11-year history;
▪️among the guests were tech specialists, startups, owners and managers of IT companies, developers, marketers, and many other professionals who make the tech industry dynamic;
▪️there were more than 100 speakers, and 120 stands of companies and startups at all locations, 55 of which represented defense tech;
▪️there was a great interest in such topics as AI technologies, cybersecurity, and green transition, but the cross-cutting and most discussed topic was defense tech;
▪️an exclusive stage was opened in the Lviv IT Cluster Executive Lounge, where topical issues were discussed at the highest level;
▪️the participants of the Startup Competition were able to attract a record $1.5 million in investments, which demonstrates confidence in the industry even in difficult conditions.
"I would like to emphasize the importance of the offline format, as the demand for live communication and networking was enormous. We have already started preparing for IT Arena 2025. We expect even more participants, new exclusive guests from abroad, expansion of the defense tech theme, more networking opportunities, and, of course, an increase in investment for Ukrainian startups. We are also planning to change the location, but we will tell you more about that later. We can already see how IT Arena sets trends, and I am sure that next year's conference will become even bigger and more powerful," said Stepan Veselovskyi.
About educational projects and the research center
According to the head of Lviv's IT community, the cluster is focused on ensuring that Ukrainian youth stay at home and receive high-quality, modern education in Ukraine. "Education has always been important to me, so I am especially proud of our educational projects. As part of the IT Expert project, we have launched 19 educational programs at four of the best universities in Lviv: Ivan Franko National University of Lviv, Lviv Polytechnic National University, Lviv National Academy of Arts, and Lviv State University of Life Safety. More than 4,500 students are enrolled in them. Currently, we place a special emphasis on developing entrepreneurial skills in all our programs. During their studies, students of our programs create their own projects that can grow into real startups. They learn not only technical skills, but also how to implement business ideas, attract investment, and pitch," said the CEO of Lviv IT Cluster.
Some statistics from Lviv IT Cluster on educational projects:
▪️every second applicant for technical specialties in the Lviv region in 2024 chose the cluster's programs, which is 51%, which is 7% more than in 2023;
▪️work has begun on new programs that will be launched for the first time outside of Lviv, in Kyiv, which is an important step for the cluster;
▪️another important initiative for the cluster is the IT Future initiative, which introduces schoolchildren to the opportunities of the IT industry; as part of this project, a conference for high school students is held - IT Future Conf, which this year will change its format and name to IT Future Fest.
▪️as part of the Vo-Tech School project, in 2024, the first graduation of students enrolled in the updated Information and Software Processing Operator program at Higher Vocational School No. 29 took place.
"At IT Future Fest, we will focus on live interaction between participants and expect more than 2000 guests, including companies, schoolchildren, students, teachers, and university representatives. The idea of the event is to create a space where everyone can share experiences, get inspired for learning and development. We understand that even in times of war, we cannot stop the development of education. Although the market has changed now and the need for young specialists is not as high, the tech industry remains key to Ukraine's recovery after the victory," said Stepan Veselovsky.
Lviv IT Cluster is also currently creating a research center where students and researchers will be able to study additionally, work on their projects and startups, and attend lectures. This center will combine laboratories for cross-sectoral research and spaces for developing startups and entrepreneurial skills. The project has already received support from both local authorities and the Ministry of Education and Science.
"We have 4,500 students enrolled in our programs, but they are all scattered across their faculties. We want to unite them all. We want to bring together future developers and hardwired with young salespeople and designers. And also with all the important stakeholders: scientists, representatives of companies, government, and partners. We hope that the center will allow us to develop the deep tech industry, as there are few science-based products in Ukraine. We have begun to equip the premises to stop its further destruction and create the basic conditions for the project. A fundraising campaign is currently underway to raise funding, and we are open to cooperation with partners who are ready to join the creation of this innovative space. The next stage will be an architectural competition for the best concept of the center for the reconstruction of the building," explained the head of the Lviv IT community.
What are Lviv IT Cluster's plans for 2025?
In the new year, Lviv residents plan to continue expanding key initiatives aimed at developing the industry and overcoming wartime challenges. The priorities include new analytical studies, the development of the CodeUA tech marketplace, which will facilitate the integration of Ukrainian companies into the global market, and educational projects: the creation of a research center, the launch of training programs in Kyiv, and the IT Future Fest.
"IT Arena 2025 will be even bigger, with a focus on defense tech and creating the best conditions for startups to attract investment. We will continue to support IT business in Ukraine, creating a favorable environment for innovation and ensuring adaptation to the challenges of our time. Recently, at the initiative of the cluster and with the support of nearly three dozen Ukrainian IT companies, a new media outlet about Ukrainian tech business, Scroll.media, was launched. An independent editorial team headed by Ilya Kabachinsky is working on the project. The goal of the media is to tell about Ukrainian business domestically and globally, as well as to increase the amount of information about the Ukrainian investment market. In the new year, I would like to wish IT professionals resilience, innovative thinking, and successful implementation of projects that will contribute to the development of the industry," summarized Stepan Veselovskyi.
Bonus: Book tips from the CEO of Lviv IT Cluster
"Speaking of books, I believe that every Ukrainian should read the book Cities for People by Ian Gale. In it, he explains why some cities are comfortable to live in and others are not. I am convinced that by creating comfortable cities, we are building a country where we want to live. IT professionals and top managers can benefit from books that help develop management, strategic thinking, and self-development skills. We have organized a library in our office. It currently contains more than 80 books that I personally selected. They are divided into several categories: business, sales, marketing and PR, books on self-development and leadership. I chose the literature that would be suitable for each of our departments, useful and interesting for them," Stepan Veselovskyi told us. Here are some of them:
1. Self-development
▪️Essentialism by Greg McKeown
▪️It's Okay to Be the Boss by Bruce Tulgan
▪️Do No Harm by Henry Marsh
2. Business
▪️The Black Swan by Nassim Taleb
▪️The Upstarts: How Uber, Airbnb, and the Killer Companies of the New Silicon Valley Are Changing the World by Brad Stone
▪️Measure What Matters by John Dore
3. Marketing & PR
▪️This is marketing by Seth Godin
▪️Marketing Warfare by Al Ries and Jack Trout
▪️The Design of Everyday Things by Don Norman
4. Sales
▪️Super Sellers by John Maxwell
▪️Sell or Be Sold by Grant Cardona
▪️SPIN sales technique by Neil Rackham
5. Leadership
▪️Winston Churchill, CEO by Alan Axelrod
▪️Rework by Jason Fried and David Heinemeyer Hansson
▪️My life and work by Henry Ford
Read also: IT clusters in Ukraine - how the community lives during the war