Iceland’s small size offers both unique opportunities and challenges. It provides us with flexibility, speed, and closer ties to the business community—factors that are crucial for entrepreneurs and innovation. Startups benefit from testing solutions in a small market, receiving quick feedback, and adapting rapidly to new conditions. This is an invaluable advantage.
However, smallness also has its limitations. A lack of specialized expertise and access to capital can hinder companies from expanding beyond Iceland’s borders. Most Icelandic startups share a common long-term goal: establishing operations abroad to ensure sustainable growth. In the intellectual property industry, startups aim to be acquired or taken over by larger entities—more often than not, foreign ones.
This presents an opportunity for Iceland: to support Icelandic entrepreneurs, provide them with the best possible environment, and enable them to grow rapidly with the goal of eventually being acquired. Such a strategy can generate significant value for the Icelandic economy, as past examples have demonstrated.
However, success in the Icelandic market does not automatically translate into growth abroad. Funding, market entry strategies, and specialized expertise are among the hurdles that must be overcome. To give Icelandic startups a realistic chance of achieving international success, a clear strategy is needed to ensure access to these critical factors.
The intellectual property industry is growing rapidly, yet there are still many untapped opportunities for Iceland. If managed correctly, it could become a key export sector and contribute to increased value creation. However, this requires an innovation and business environment that is efficient, simple, and supportive of companies aiming to expand.
We must think big and build an economy that supports startups with global ambitions from the outset. This means ensuring clear regulatory frameworks, making Iceland an attractive option for investors, and fostering strong international networks.
Our small size is not a weakness—unless we allow it to be. It can be a strength if we create conditions that facilitate innovation and global growth. We need to remove barriers rather than erect more.
With a new government taking office, it is essential to ensure that innovation and intellectual property policies go beyond empty promises and translate into concrete actions. If we play our cards right, Iceland could become a leader in the intellectual property industry. But that won’t happen on its own.
