Estonian film shooting lighting manufacturer Digital Sputniк Lighting files for bankruptcy

Estonian film and TV lighting manufacturer Digital Sputniк Lighting has filed for bankruptcy.

Founded in Tallinn in 2007 by brothers Kaur and Kaspar Kallas, Digital Sputniк Lighting designs, manufactures, and distributes LED lights and other lighting equipment for the film and television industry. The lighting systems can be combined with software to provide lighting and animation via remote control. Digital Sputnik lighting fixtures have been used in Hollywood films, including Rogue One from the Star Wars franchise. The company has offices in Tallinn and Los Angeles.

Digital Sputnik's investors include Estonian equity funding and trading platform Funderbeam, from which the company raised €600K, Indiegogo (€250K from 232 investors), Jaan Tallinn (founder of Estonian VC Metaplanet), co-founder of United Angels VC Indrek Kasela, Estonian tech incubator Mobi Solutions (founded by Rain Rannu), Estonian VC Lemonade Stand, and others. In total, the company has received almost €8M in investments and grants.

According to Kaur Kallas, the business environment in Estonia has changed over the past two years, and new investors are not interested in financing electronics and equipment production. Existing investors did not agree with the proposal of new investors. It was also not profitable, as the startup had a low turnover. Similarly, the lighting manufacturer found a partner to start mass production of a new product in China, but the existing shareholders did not agree to finance the new product.