Almost two years ago, Scotland’s first chief entrepreneur, Mark Logan released the Scottish technology ecosystem review. The document set out a list of five major recommendations (among a total of 34), with a goal of maturing Scotland’s technology ecosystem. 

The ‘Tech-Scaler National Backbone’ was one of the recommendations put forth – it set out a list of parameters including incubation, intensive founder education in Internet Economy best practice, ecosystem social infrastructure, and integrated funding that would form the framework of support the Scottish Government must create to ensure any tech scaler programme goes beyond tokenism.  

“For the ecosystem, by the ecosystem,” says Dec Mclaughlin, Director of Startup Grind Scotland, as Barclay’s new Glasgow hosts the official unveiling of Scotland’s Tech Scalers – a network of seven hubs around Scotland that aims to fulfil the recommendation set out by the chief entrepreneur while helping 300 Scottish startups over the next five years.  

The hubs will be established by CodeBase, who won the £42 million contract. 

First Minister Nicola Sturgeon 

The programme is clearly a point of pride for the Scottish Government, with First Minister Nicola Sturgeon, Cabinet Secretary for Finance and the Economy Kate Forbes and Chief Entrepreneur Mark Logan on hand to offer their take on the importance of the Tech Scaler hubs. 

Before welcoming the First Minister to the stage, Mclaughlin said: “Scotland is planning to become the European home of startups – this new Tech Scalers hub will be ‘critical’ in achieving this.” 

It’s a sentiment largely shared by Sturgeon, but before she got to Tech Scalers, the First Minister had plenty to say about the sector-at-large. “Some of the most inspiring events I’ve been to in my time as First Minister have been representative of the Scottish Tech sector,” she said. 

“It’s indicative of how the sector has developed a strong sense of community.” 

The First Minister went on to cite the recently published National Strategy for Economic Transformation, saying that “to help us achieve the aims set out in [the strategy], we need to establish a sense of common purpose. That sense of common purpose is already very strong in the tech and entrepreneurship areas.” 

This sense of entrepreneurship has clearly taken hold within modern Scotland. The First Minister cited statistics saying Scottish startups and scaleups employ more than 135,000 people – “more than anyone in the UK, outside of London and the Southeast,” she added. 

She referred to Scottish tech as a “success story” within the wider economy. However, she goes on to say the sector can still do “much better,” using tech unicorns as a point of reference for wider health in the sector – especially when compared to other big hitters on the continent like Sweden – in recent years, Scotland has produced three unicorns, Sweden has 35.  

However, Sturgeon was quick to clarify that “the creation of unicorns isn’t the only measure of the success of a country’s tech sector, but it is a strong indicator and one that we should take seriously”. 

Finally, the First Minister moved to address the unveiling of Scotland’s Tech Scalers. 

On this, she said: “Today we can confirm a further step in implementing one of the reviews most important recommendations, which is of course, the establishment of a nationwide network of tech scalers.” 

She added: “These scalers will provide the infrastructure that new companies need – not simply in terms of premises, but in terms of support and education as well. They represent an investment not only in facilities, but crucially, in people.  

“The scalers will offer five separate courses for companies at different stages of development – from new startups onwards. The course for advanced companies will include free access to a programme called Reforge, which is Silicon Valley’s most prestigious education programme for tech startups.” 

The First Minister also expanded on CodeBase’s role within the establishment of the network, saying that they have “promised” to develop a national calendar of events for the tech community.  

She finished by saying that companies led by women and minorities (“currently significantly underrepresented in tech startups,” she noted), will be prioritised for entry into the incubators, with these companies given extra support in light of the extra challenges they face in raising investment and developing peer networks. 

Cabinet Secretary for Finance and the Economy Kate Forbes 

“Two years on from the release of the Scottish Technology Ecosystem: Review (STER),” Forbes says, speaking at her final event before going on maternity leave. 

“For me, it is a mark of great success that we have reached this critical milestone in delivering what is perhaps the most critical part of the infrastructure to deliver the review’s recommendations.”  

She adds: “Tech Scalers will enable our tech ecosystem to grow rapidly through word class education and mentorship. Our startups will be exposed to the most relevant playbooks so they can learn, iterate, and do more, faster. There’s currently no equivalent to this programme anywhere in Europe.” 

Detailing more of what startups can expect if they are part of the 300 chosen to engage with the scalers programme, Forbes says: “Our startups and founders will be supported at every stage as they grow from being individuals thinking they could begin a startup to the point where they achieve competitive advantage and scale. 

“By the end of this year, there will be online and offline infrastructure for communities and entrepreneurs described in STER as the marketplace. That marketplace will enable people to come together to learn, enjoy meetups and events. 

In her final thoughts, with regards to the Tech Scalers Hubs, Forbes ruminates on the importance and potential long-term benefits of such a programme, even in a time of financial unease and soaring living costs. 

She says: “The tech scalers role in this is as a front door to the ecosystem that will be pivotal in creating that network effect. We will work with partners at home, we will see tech scalers being delivered with support from enterprise agencies, local authorities, as well as wider public sector partners alongside businesses.” 

The cabinet secretary ended by saying: “Some might ask: why focus on this during a time of significant economic challenge? When households and businesses alike are struggling with the cost of living and rising inflation.  

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“Well, my answer is that Scotland, we know, must improve its rate of sustainable economic growth and productivity – and to do that, the tech sector offers an unrivalled opportunity. It’s forecast to grow faster than the economy overall and startups already account for significant levels of job creation. So, when we invest in Scottish tech, we invest in sustainable economic growth.” 

Chief Entrepreneur Mark Logan 

Last on the evening’s agenda was Mark Logan, the newly appointed – and Scotland’s first – Chief Entrepreneur. He was previously tasked by Kate Forbes to give a review on the tech ecosystem and how we best take it forward. 

“Even when you’re at the peak, you have to be striving to build to be ready for the next wave of technology,” says Logan, as he rues Scotland’s loss of confidence and period of “lamentation” following the collapse of industry as we knew it in Scotland (specifically, Glasgow) by way of ship building. 

This dovetails the Chief Entrepreneur to the Tech Scalers network.  

He says: “Although this is an incubation environment and although it’s now going to be in cities where it wasn’t before, we’re going to strengthen our long-term incubation capabilities. We are equipping our founders with world-class technique.  

“That is not optional anymore, because the internet means that all of the customers in the world are available to us – as well as all the other competitors. So, to be successful, you have to be as good as the best companies on earth, that’s just the way it is now.” 

He adds: “If we can equip our people with the best possible technique, then they have more chance of taking their company to scale and success – I think that’s an incredibly important part of this offering.” 

Logan is a huge proponent of the peer-learning environment brought on by initiatives like Tech Scalers – extolling their virtues for the wider ecosystem’s health. 

He says: “The tech scalers are going to have spaces that are free to use for meetups so we can learn from each other.”  

He adds: “In the future, we’re hoping to introduce grant funding, we’re sure the programme is going to become a gravitational pull for investors outside the country, which in turn will create strength.” 

Logan ends by giving an insight as to what might come after this initial five-year run of Scottish Tech Scalers. “As we move forward in the future, we want to generalise Tech Scalers to be an environment that’s available for startups in every category. It’s a very powerful platform if we choose to use it properly.