Digitalization: Germany is slowing down

Berlin (dpa) - Digitalization in Germany is not keeping pace with the needs of companies. This is the key finding of a survey of 5,381 companies in Germany conducted by the German Chamber of Industry and Commerce (DIHK). Despite the billions invested in fast fiber optic connections and 5G mobile communications, only 73% of the companies surveyed said that the current availability of fast internet met their needs. Compared to the survey results from the two previous years, this figure actually fell slightly by one percentage point in each case.

No cloud applications possible

Volker Treier, member of the DIHK Executive Board, said: "We need faster internet and we need greater bandwidths that reach companies." As an example of the undersupply, Treier cited a medium-sized industrial company that was unable to back up its operating data online and instead had to move hard disks around.

"The digitalization of companies depends largely on how quickly fibre optic networks are expanded into buildings and how quickly modern mobile networks are available nationwide," said Treier.

Network expansion is struggling to keep pace with the increasing demands of companies. Cloud solutions and artificial intelligence in particular are leading to an ever-increasing demand for bandwidth. "We urgently need to speed up the expansion of the network, which is all too often hampered by slow public approval processes."

Authorities make fiber optic expansion expensive

Specifically, the DIHK complained that an existing industry standard for the cost-effective laying of fibre optic cables was not recognized by many regional approval authorities. Many building authorities continue to demand that fiber optic cables be laid unnecessarily deep and at great expense.

"In addition to a consistent expansion of the network, politicians must also set up the administration in a future-oriented way, reduce bureaucracy and create the conditions for innovative AI applications," said Treier. This is important, as artificial intelligence applications have now arrived in the German economy. According to the survey, 38% of all companies are already using AI - eleven percentage points more than in the previous year. A further 32 percent are planning to use AI within the next three years.