Ms. Karlsdottir says companies in Iceland are already seeing demand for their products soften abroad as the global economy slows. Columbia Ventures Corp. of Vancouver, Washington, started an aluminum smelter here three years ago to tap Iceland's abundant hydroelectric and geothermal energy. And the difficulties Iceland-based companies have long faced in attracting venture capital now may help to cushion them from a global pullback in funding. Software developer Oz. Com had to incorporate in San Diego to attract venture capital, says founder Skuli Mogensen.
Many companies here work with Iceland's two universities to attract research funds.
As a result, venture-capital funding didn't reach the heights seen elsewhere. Even as Iceland turns to the global high-tech economy, it isn't neglecting the humble fish. Marel hf, a manufacturer of fish-processing equipment, sees its technology used around the world, including in Mississippi's catfish industry. But Icelanders are innovative people. We've had to be.