Ahead of Cabinet Retreat: eco Calls for a Boost to Germany as a Location for Digital Infrastructure and AI

• eco calls for concrete policies to strengthen Germany as a business location and boost competitiveness and technological sovereignty

• eco Chair Oliver Süme: Faster approvals and less bureaucracy must facilitate investment in digital infrastructure

• 96 billion Euro in AI potential in industry – eco calls for clear and practical AI rules

Berlin, 24 August 2026: Berlin, 24 August 2026: Competitiveness, technological sovereignty and the reduction of red tape are at the heart of the German federal government’s cabinet retreat, which begins on 25 August 2026. eco is calling for the discussions after the summer recess to be followed by concrete decisions to strengthen Germany as a digital location. The focus must be on better investment conditions for digital infrastructure and a regulatory environment that enables innovation rather than delaying it. 

“By putting competitiveness, technological sovereignty, key technologies and the reduction of red tape on the agenda, the German federal government is focusing on the crucial issues at its retreat. These priorities must now be translated into concrete policies to strengthen Germany as a business location. Anyone who wants technological sovereignty and greater competitiveness must ensure that companies in Germany can invest more quickly and scale up digital business models,” says Oliver Süme, Chair of the Board of the eco Association. 

For eco, the expansion of digital infrastructure is the top priority. Germany needs additional data centre capacity, high-performance networks and sufficient cloud capacity. To achieve this, approval procedures must be accelerated, network connections made more predictable and the framework conditions for investment made more reliable. 

At the same time, the German federal government must move beyond announcements when it comes to reducing bureaucracy. Today, new digital business models face numerous documentation, verification and reporting requirements arising from different regulatory frameworks. For startups and SMEs in particular, these parallel regulatory structures are becoming an obstacle to growth. 

The current eco study, “The Germany Case: How AI Is Transforming the Industrial Business Model”, illustrates just how much is at stake economically. In German industry alone, the potential for value creation through AI and automation stands at 96 billion Euro. Companies are already generating around 120 billion Euro in turnover from product innovations that incorporate AI elements. Companies using AI are also significantly more likely to be innovators than companies that do not use AI. 

To realise this potential, the AI Act must be implemented in a practical manner after the summer recess, with clear responsibilities, a uniform nationwide interpretation and robust technical standards. Overlaps with data protection law and sector-specific regulations must be reduced. Where European standards are still lacking, companies must not be burdened by differing national interpretations or additional evidence requirements. 

For eco, the success of the cabinet retreat will therefore be measured by whether concrete improvements follow after the summer recess: a better legal framework for investment in digital infrastructure, less bureaucracy and rules that genuinely facilitate the use of new technologies in Germany. 

Link to the eco Study “The Deutschland Case: How AI Is Reinventing the Industrial Business Model”