Why this is important to Wisconsin businesses: Advancements in Germany may open doors for Wisconsin companies to participate.
Germany has become a hub for artificial intelligence (AI).
The German government first developed a national AI strategy in late 2018 through a joint effort by the Federal Ministries of Education and Research, Economic Affairs and Energy, and Labor and Social Affairs. Since then, an action plan has been developed, calling for AI education and job training, with priority sectors that include health care, environment and climate, aerospace, and mobility.
Centers of excellence are being created in Germany to assist with AI research, and regional hubs are developing targeted training and innovative learning techniques for companies and employees, according to the European Union.
The U.S. Commerce Department’s International Trade Administration (ITA) said that Germany had more than 500 AI-related startups by the end of 2023, a 67% increase over the previous year. Significant growth is expected to continue until 2030.
Manufacturing is one area being targeted for AI. A survey by the Ifo Institute for Economic Research showed that 17% of German manufacturing companies were using AI in early 2024 and about 40% were discussing ways to implement AI.
In a May 2024 report, ITA said Germany ranked third on a worldwide scale of robot density in manufacturing in 2022, after South Korea and Singapore, and it is among the top 10 in the 2023 Network Readiness Index, a measure of the state of technology infrastructure in various countries.
For example, German carmakers are using AI to improve sensors and develop autonomous vehicles; logistics companies use it for supply chain optimization and warehouse management; and in health, AI is providing better data for personalized medicine.
One noteworthy project is the Innovation Park Artificial Intelligence in Heilbronn, which ITA called “one of Europe’s most ambitious AI ecosystems.” It will provide opportunities for startups, businesses, research institutions, and the public sector to explore using AI in practical applications. The German government also said it will provide €1.75 billion ($2 billion USD) to support tech startups.
Another project is Manufacturing X, a joint initiative with 10 other countries, including the US, to establish a cross-sector digital ecosystem for data exchange.
Wisconsin companies looking to embrace AI or share their technologies may find opportunities within a variety of sectors in Germany.
