Over 200 technology startup founders in Ireland have signed an open letter expressing their opposition to the government’s decision to cease funding for the National Digital Research Centre (NDRC). The accelerator program, which has played a key role in supporting early-stage startups, is set to shut down by the end of 2025, and the founders are calling for the decision to be reconsidered.
The founders, representing a range of successful tech companies, argue that the closure of NDRC is a critical blow to the Irish startup ecosystem, particularly at a time when Ireland is aiming to foster more resilient and self-sufficient businesses. In their letter, they stress that the country needs to reduce its reliance on foreign multinationals, which currently account for more than 80% of its corporation tax revenue, and focus on building homegrown, high-impact startups. The closure of NDRC, they warn, threatens to dismantle a proven model for nurturing indigenous businesses.
The letter highlights the significant achievements of NDRC under the management of Dogpatch Labs, which has developed regional hubs and built a thriving ecosystem of early-stage startups. Since 2021, NDRC-backed companies have raised €200 million, contributing to a total of €500 million in funding over the past four years. These companies have also created over 650 jobs, according to the signatories.
The founders also point out that the closure of NDRC will leave Ireland with only generalist programs such as New Frontiers and the Competitive Start Fund, which they believe cannot provide the specialized support that technology startups need. They argue that these initiatives are not tailored to meet the specific demands of high-growth companies and the challenges they face.
“We acknowledge the merits of initiatives from Enterprise Ireland and the government,” the letter reads, “but they are not designed to meet the specific needs of high-growth startups or address the unique challenges these businesses face.”
The letter was co-written by prominent founders including Paul Sheridan of Lynq, Luke Mackey of Kota, Eoin Cambay of Swan, and Will O’Brien from Ulysses, and has been endorsed by 200 others. Together, the signatories have created an estimated 2,745 jobs and raised over €1.1 billion in funding.
In response to the backlash, NDRC stated that it would continue to operate as usual until its contract expires in November 2025. The Department of the Environment, Climate and Communications, in consultation with other government bodies, decided that the enterprise ecosystem in Ireland has evolved and that a new service contract for NDRC would not be procured beyond 2025. Neither the Department of the Environment nor the Department of Enterprise has yet responded to requests for comment on the matter.
NDRC was originally established in 2006 and has been instrumental in supporting the growth of Ireland’s tech sector, with its most recent contract awarded in 2020 to Dogpatch Labs in partnership with regional collaborators.