I was in Prague earlier this month conducting a partner search for a social networking company. While I cannot comment on the specifics of that business, I can pass on a few observations about the Central European Internet market.
The online populations of Hungary, Czechia, Slovakia and Austria are relatively small. They are linguistically and culturally isolated. Even the Austrians, who share a common language with Germany and part of Switzerland, prefer to use Austrian websites. This limits the scale of any online business that addresses a single Central European market.
However, it would be a mistake to conclude that there aren’t any decent opportunities in these markets.