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Digitalisation in Europe – here’s how your country ranks

Most European countries are making progress in their digital transformation but the adoption of key digital technologies by businesses remains low.

The European Commission’s Digital Economy and Society Index (DESI) 2022 reveals that there is an overall upward convergence trend in the region, but digital challenges remain across the board.

Finland, Denmark, the Netherlands and Sweden continue to be the EU frontrunners, while at the opposite end of the scale are Poland, Greece, Bulgaria and Romania.

Nevertheless, these countries starting from a lower level are gradually catching up by growing at a faster rate.

Digitalisation in Europe index
Image: EU Commission

The annual Index assesses countries in terms of four parameters – human capital, connectivity, the integration of digital technology and digital public services, with potential for advancements in all of these in all of the countries.

This is how the different countries in Europe rank for digitalisation:

  1. Finland
  2. Denmark
  3. The Netherlands
  4. Sweden
  5. Ireland
  6. Malta
  7. Spain
  8. Luxembourg
  9. Estonia
  10. Austria
  11. Slovenia
  12. France
  13. Germany
  14. Lithuania
  15. Portugal
  16. Belgium
  17. Latvia
  18. Italy
  19. Czechia
  20. Cyprus
  21. Croatia
  22. Hungary
  23. Slovakia
  24. Poland
  25. Greece
  26. Bulgaria
  27. Romania

With connectivity at the heart of the digital economy, while the EU has full coverage of broadband, 5G coverage, while growing, is lagging reaching so far about two-thirds of the populated areas. Spectrum assignment at a little over half also is not complete and the high coverage figures in some countries are due to operators using spectrum sharing on the basis of 4G or low band 5G, which does not yet allow for the full deployment of advanced applications.

Closing these gaps is essential to unleash the potential of 5G and enable new services with high economic and societal value, such as connected and automated mobility, smart energy systems, advanced manufacturing, etc., the Index states.

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The Index records that while businesses are getting more digitalised, the use of advanced digital technologies such as AI and big data remains low. About one-third rely on cloud computing but only 8% on AI.

Moreover, there is a substantial gap between the large companies and SMEs, with only just over half of SMEs reaching at least a basic level in the adoption of digital technologies in 2021.

Human digital skills are another area of concern, with a general shortage of ICT specialists – currently numbering around 9 million – on the EU labour market. While the majority of people use the internet regularly little more than half possess at least basic digital skills.

“Digital transition is accelerating. Most member states are progressing in building resilient digital societies and economies,” commented Margrethe Vestager, Executive Vice-President for a Europe Fit for the Digital Age.

“Because we need to make the most of the investments and reforms necessary to meet the Digital Decade targets in 2030. So change must happen already now.”

These targets include gigabit connectivity for everyone and 5G everywhere, 75% company take-up of cloud, AI and big data and at least 20 million ICT specialists along with a minimum 80% of the population having basic digital skills.

The EC anticipates that its Path to the Digital Decade plan should facilitate deeper collaboration between member states and the EU to advance the four dimensions assessed in the DESI. Actions include the development of individual country roadmaps and the development of multi-country projects.

DESI 2022 is based on Eurostat and other data sources and is anticipated to support EU member states by identifying priority areas requiring targeted investment and action.