Long read: The Key to Trondheim’s Startup Success - A Strong Community Culture
At the heart of Trondheim's vibrant startup scene lies a strong community culture, defined by open knowledge-sharing and an environment rich in authenticity.
- Our culture is our unique advantage over other cities. It's fundamentally value-driven. Those of us leading the startup community in Trondheim understand our role: to facilitate knowledge and ideas without seeking the spotlight, says Thor Rickard Isaksen, CEO of the renowned 6AM accelerator program. On a snowy February morning, Zebr Magazine speaks with him at DIGS, a bustling coworking hub nestled in the city’s entrepreneurial heart. Joining us is Arnstein Johannes Syltern, the founder of DIGS and a stalwart of Trondheim's evolving startup landscape.
We gather to explore why Norway's third-largest city continues to spawn a remarkable number of tech startups year after year. From the sunlit space in downtown Trondheim, surrounded by the snow-covered rooftops that frame the iconic Nidaros Cathedral, the spirit of this city, steeped in Viking history, remains dynamic and alive. It boasts one of the country’s most robust communities supporting tech startups and institutions.
While the rise of coworking spaces is a global phenomenon, DIGS stands out among its peers. With sleek Scandinavian furniture and a professional restaurant at its entrance, it reflects a chic atmosphere—think modernity over heavy Chesterfields.
Founded in 2013, DIGS is part of one of the Nordic region’s largest startup networks, the Mesh Community—also prominent in Copenhagen and Oslo. Launched by entrepreneurs Anders Mjåseth and Audun Ueland in 2012, the community transformed Norway's startup ecosystem. As students at the Norwegian School of Technology and Science (NTNU), they created the innovative company Prampack, later sold to the multinational Stokke. With their newfound capital, they aimed to cultivate a thriving community of entrepreneurs, aspiring to engage at least 100,000 prospective innovators over time. The establishment of DIGS quickly followed.
From Basements to Community Hubs
Trondheim is home to around 790 tech startups, with 55 new companies emerging last year alone, according to the recent “Tekanalyse” report from Trondheim Techport. Syltern and Isaksen emphasize that a remarkable portion—between 15 and 25 startups annually—are birthed from students, rather than seasoned researchers or established companies.
In 2012 and 2013, Trondheim’s startup scene was relatively conventional. Entrepreneurs often found themselves in makeshift offices within engineering school basements or tucked away in corporate settings that stifled creativity. Today, upon entering DIGS, you can feel the community spirit—this isn’t a factory; it’s a thriving ecosystem.
At 43, Arnstein Johannes Syltern has recounted his journey numerous times. With a background in industrial design, he initially launched a consulting firm to assist startups with design and branding. However, he quickly realized that many startups lacked the funds for such services. This experience inspired him and his partner to forge a community of shared purpose among Trondheim's startups, taking cues from the burgeoning global coworking trend.
- We wanted to create an open arena for innovation—a space that truly belonged to the city, accessible to anyone driven to create. Our model lowered barriers to entry, embracing a diverse array of participants, says Syltern.
Back in 2012, Trondheim had limited options for startups: rundown university offices and a disconnected startup community. Syltern and Isaksen chose instead to collaborate with local artists and musicians, who embodied a ‘get-it-done-now’ attitude. They recognized parallels between the cultural scene and the entrepreneurial environment and envisioned a similar energy within technology.
Inspired by the vibrant artistic and festival culture, they sought to replicate that dynamism within the tech community. They applied for a grant from «Innovation Norway», securing about 8,000 Euros, and traveled the globe—London, Paris, Silicon Valley, and Berlin—to study successful coworking spaces. “This is what we need to build,” they thought.
A key influence on their vision came from Brad Feld's book, Startup Communities – Building an Entrepreneurial Ecosystem in Your City, published in 2012. It quickly became a foundational text for aspiring entrepreneurs. Isaksen likens their efforts to building a church—the community thrives on shared values.
- The larger institutions wanted control but understood little of what was happening on the ground. They struggled to pick up on emerging trends. We aimed to lead with a bottom-up approach, letting the established business sectors support our vision. It worked remarkably well, Isaksen explains.
While Trondheim may not yet rival the entrepreneurial cultures of Stockholm or Helsinki, a gradual transformation is underway.
Building a Thriving Community, Step by Step
- We built our community step by step, inviting many others to join us in the journey. We wanted everyone involved to feel a sense of co-ownership in what we created, and that spirit is what defines our community today. At DIGS alone, we now host 130 companies in one dynamic coworking space. It’s been quite the journey,” reflects Syltern.
Thor Richard Isaksen followed a slightly different path, but his friendship with Arnstein has always been a cornerstone of their success. The two have collaborated closely, playing crucial roles in fostering the strong community culture that thrives in Trondheim today. In 2016, Isaksen launched Zedge, a content-producing app, and later developed Instapoll in 2019, combining his passion for sports with his tech expertise. When that venture eventually folded, the 6AM accelerator program approached him to establish a Trondheim branch, where he now serves as CEO. Their efforts paid off—recently, 6AM was recognized by the Financial Times as one of the top accelerator programs in the Nordics.
- The challenge for Trondheim was the presence of several small players, each with a distinct startup culture. These initiatives didn’t emerge from established businesses in the area; instead, they developed alongside each other, inspired by global trends, explains Thor Rickard.
- The relationship between new and traditional businesses still faces some strain today, largely due to an older, hierarchical, club-driven business environment, primarily funded by public money. From Isaksen’s and Syltern`s point of view, this conservatism has hindered the potential of emerging technologies and trends. The two men share a knowing camaraderie, their deep connection evident as they converse. If there is indeed a ‘heart’ within the startup community of Trondheim, these two embody it.
Disruptors Redefining the Startup Landscape
- Arnstein has poured countless hours and an unwavering idealism into this venture. I vividly remember when he first launched DIGS—the renovations were in full swing as new tenants moved in. When we first met, he was limping around after a glass wall had fallen on his foot, Isaksen recounts with a chuckle.
- I asked him if he knew about the ‘Harmonien’ club—the most exclusive business network still going strong today. I told him, ‘We need to be the ‘disharmonien’—the disruptors! Our goal was to redefine the role of startups in a city where the establishment wants to retain its privilege. It’s tough to build in that environment, but we’ve managed to do it remarkably well. One of our greatest strengths has been our independence; we aren’t tied to any large institutions or the university. Most of us have built this community out of passion and with very limited funds, Isaksen adds. After 10-12 years of hard work, they’re now beginning to see great rewards.
Today, the Trondheim Startup Community encompasses around 50 smaller organizations, all united in a shared direction. This unity is partly a testament to the dedication and time invested by Arnstein and Thor Richard, along with a growing network of supporters.
The Scaling Dilemma in Norway's Startup Ecosystem
Nestled further up the hillside, beyond Trondheim’s elegant rows of classical villas, we find Bess Olluri— a serial entrepreneur renowned for his work with Bryte Batteries. Today, he serves as an assistant professor in Norway's top Master’s program in Entrepreneurship at the Norwegian School of Science and Technology (NTNU). In his early 40s, Olluri is among Norway’s most seasoned entrepreneurs of the new generation.
- Yes, it’s true! We struggle with scaling in this country, Olluri emphasizes.
- The real question is: Is it hard to reach the scaling phase, or do we face challenges once we’re there? We continually hear about the same issues in the media—the lack of incentives for stock options for startup owners and employees, increased taxation on owners, and an exit tax that has become a pressing concern under the current government, says Olluri.
The venture capital landscape in Norway has long been scarce, particularly following the downturn since 2022. Now, leading business angels express concerns about their ability to continue supporting new ventures. Yet, resilient companies manage to secure the funding they need to grow, albeit after an exhausting and lengthy process, often leading to burnout and diminishing the energy that could be channeled into development.
Olluri shares a compelling example of a promising company in Trondheim that recently faced a year-long struggle to find investors—eventually connecting with prospective partners in Ireland.
- In Oslo, securing seed capital for initial phases isn’t too difficult, and Trondheim is not far behind. However, as companies scale up, particularly those valued between 500,000 and 2 million Euros—or even more so between 2 million and 8 million Euros—the challenges intensify. In Bergen or Stavanger, the situation is even more precarious. Local capital often relies on the wealth of oil or salmon families, he says.
Having navigated the challenges with Bryte Batteries, Olluri took a moment to regroup. Today, he thrives in the dynamic environment at NTNU, mentoring a creative group of students as they explore real-world business ideas.
- In Trondheim, we face a significant brain drain. Most students tend to migrate to Oslo after their time here, driven by personal motivations or a desire to join established businesses. For startups, we’re essentially supplying talent and the foundation for the entire community across Norway. Around 80% of the accelerators in the country have alumni from Trondheim. This can likely be attributed to the highly practical approach of our entrepreneurial program at NTNU, where we’re continually striving to elevate the quality of startups emerging from our students, Olluri notes.
There’s a clear reason why NTNU’s master’s program stands out as the best in Norway. It began its forward-thinking model back in 2004, drawing inspiration from Chalmers University of Technology in Gothenburg, Sweden, which had established its program much earlier. While NTNU embraced this approach, few other Norwegian universities have followed suit, resulting in a lag compared to other Nordic countries in effectively channeling students into the startup scene.
- Today, a holistic startup ecosystem is flourishing in Trondheim, benefiting our students immensely. We have a long-standing legacy of tech entrepreneurs originating from the city, including notable names like Kahoot and Nordic Semiconductors, dating back to the 1990s and early 2000s. Moreover, the emergence of Startup TRD as an umbrella organization brings together various actors, including coworking spaces and incubators, further stimulating the flow of ideas and capital, Olluri explains.
The key lies in enabling young people to take risks before they become encumbered by heavy responsibilities such as family and mortgages.
Although Olluri doesn’t claim a political background, he has insights for Norway's decision-makers: - We need to define what our country should focus on selling in the future. Without oil, we would have faced a substantial trade deficit. It’s not sustainable for everyone to work in the public sector. If we fail to foster more growth-oriented entrepreneurs now, we won’t be prepared for a post-oil economy. This means we must establish a more favorable tax regime for startups. The current exit-tax structure is detrimental, as it drives our best talent away. Instead, we should create an environment conducive to company growth and tailor tax options accordingly. Ultimately, we need to cultivate policies that make it easier for startups to attract the talent necessary for expansion, Olluri asserts.
As we converse in a bustling lunchroom at the School of Entrepreneurship, students fill the space, eliciting a sense of excitement for innovation. Olluri invites them to share their diverse backgrounds, ranging from physiotherapy and economics to marketing and engineering.
- Everyone can contribute to a startup, as long as there’s a collaborative effort, he summarizes.
Perhaps, the most significant takeaway from our time with Trondheim's entrepreneurial community is the recognition that it truly takes a village—a strong, interconnected community—to nurture an entrepreneur’s growth and potential. It appears they are on the verge of something remarkable.
