Serhii Tokarev on Conditions for Developing Ukraine’s Tech Market
To ensure the growth of Ukraine’s AI, the tech industry should focus on tech education, fostering collaboration among market players, and avoiding overly strict regulations are critical steps.
Serhii Tokarev, a tech entrepreneur and co-founder of Roosh, highlighted these priorities in his recent op-ed for Forbes Ukraine, where he discussed the challenges and opportunities within the sector.
According to Serhii Tokarev, Roosh, in partnership with the AI HOUSE community and with support from the Ministry of Digital Transformation of Ukraine, has conducted an in-depth study of the Ukrainian AI ecosystem. Their findings reveal that Ukraine currently ranks second among Central and Eastern European countries in the number of AI companies.
Moreover, in 2023, funding for AI startups in Ukraine increased by 35% compared to the previous year, reflecting growing international interest in the country’s AI capabilities. Serhii Tokarev pointed to Zibra AI, a Roosh X deep-tech portfolio company, as a prime example of this progress.
Zibra AI, which simplifies game development using AI, has attracted over 116,000 developers globally and secured half a million dollars in investment from the Speedrun accelerator launched by a16z in 2023.
Despite these successes, the Ukrainian AI industry faces significant challenges, largely due to the ongoing war. The full-scale invasion has led to an outflow of skilled personnel, as many Ukrainian specialists have relocated abroad.
It has weakened the local tech industry’s ability to grow and innovate.
Additionally, the war has caused a sharp decline in venture capital investments in AI-related projects. The risks associated with the conflict have made international investors hesitant to fund Ukrainian companies, further stalling the industry’s development.
Serhii Tokarev emphasizes the urgency of addressing these challenges, as the future of Ukraine’s economy and its ability to recover from the war are closely tied to technological advancement. One of the most critical steps, according to Tokarev, is improving tech education in Ukraine.
He argues that the education system must not only provide high-quality technical training but also ensure that students acquire essential soft skills such as communication, organization, and practical experience.
These competencies are crucial for competing in the global labor market. Tokarev notes that some Ukrainian universities have already begun collaborating with tech companies to train specialists, which he sees as a model for how the education system should operate.
However, Ukraine’s tech education sector faces its own challenges, particularly a shortage of qualified teachers and insufficient funding. Many tech professionals prefer to work in the industry rather than academia, limiting the pool of educators available to train future experts.
Furthermore, most educational institutions lack the autonomy to raise funds independently, hampers their ability to improve and expand their programs.
In addition to enhancing education, Serhii Tokarev advocates for better collaboration between academic institutions, businesses, and the state. He believes that creating platforms and events where these stakeholders can interact and cooperate is vital for the country’s technological development.
Such partnerships can help align the educational system with the needs of the AI industry, ensuring that graduates are well-prepared to enter the workforce.
Serhii Tokarev stresses the importance of liberal regulation in fostering the growth of Ukraine’s AI sector. He warns that overly strict controls on AI development could stifle innovation and slow progress.
Instead, Tokarev suggests that Ukraine could position itself as a testing ground for AI technologies, attracting large companies to develop and refine their products in the country. He points out that the Ukrainian government is already working towards this goal.
The Ministry of Digital Transformation of Ukraine has developed a roadmap for AI regulation that prioritizes collaboration between the state and AI companies, allowing for the development and testing of new technologies.
The roadmap also outlines plans to establish a legislative framework that will regulate the sector in the future.