Yes. I am living in a small country (Czechia). Tech products that cannot be internationalized easily, such as software tailored to uses of local legal system, are very visibly underinvested/underdeveloped. A country of ten million just isn't a very attractive market for such niche products.

On the other hand, Czech antivirus business exploded with the advent of the Internet. Everyone and their dog needed some kind of protection against malware.