In the heart of Europe, between technological innovation and geopolitical transformations, the researchers of Handelsblatt identify three strategic sectors that promise to redefine the industrial and technological future of the continent: robotics, quantum computers, and defense, with particular attention to cybersecurity. Each of these fields develops autonomously, but with a common thread: “the urgency to strengthen European competitiveness in a global scenario marked by new threats, economic challenges, and scientific acceleration.”
These are three sectors on which a new generation of German entrepreneurs is playing the challenge of their own future and that of the national industry, engaged in a structural transformation.
The report by the Handelsblatt Research Institute (HRI) offers a snapshot of how these technologies are evolving, with concrete examples and data illustrating their potential and limits.
TOWARDS MORE AUTONOMOUS ROBOTS
“The evolution of industrial robotics towards adaptive-type systems marks the overcoming of rigid automation models in favor of integrated cognitive architectures.” In the Fraunhofer-Institut laboratory in Sankt Augustin – writes the Handelsblatt – research focuses on “the convergence between advanced language models and computer vision for managing non-deterministic operational contexts.” The innovation “lies in the ability of artificial intelligence to translate instructions from natural language into autonomous operational code for mechanical manipulators.” This technological leap allows “freeing the machine from detailed manual programming, enabling a dynamic and real-time response to environmental variables in unstructured contexts.”
This transition towards “software-defined” robotics aims to “democratize automation in industrial sectors so far excluded due to high setup costs and rigidity of production cycles.” From a macroeconomic perspective – underline the German researchers – projections developed by Spherical Insights, a market research and consulting company, estimate that the global robotics market value “will rise from $100.7 billion recorded in 2023 to $435.7 billion forecast for 2033.” In this expansion framework, Germany confirms its technological leadership with a density of 419 robotic units per 10,000 workers, a figure that positions the country as “the leading automated manufacturing hub in the Western sphere, second only to Singapore globally.”
However, there are critical issues. One above all: the German sector is heavily dependent on the automotive industry, currently contracting. The revenue decline recorded last year is a sign of this. The Fraunhofer IAIS therefore seeks to promote the integration of generative robotics in small and medium-sized enterprises, also through awareness workshops. “Crucial – concludes the Handelsblatt – will be the availability of data to further enhance intelligent systems and support scalability.”
IN THE FORMER COLD WAR BUNKER
“The development of scalable quantum computing systems today represents the technological frontier of applied physics, with a focus on hardware solutions resilient to environmental disturbances.” The Handelsblatt tells of the research conducted by the start-up Eleqtron (incidentally in an old Cold War bunker, beneath the old central post office of Siegen, in Westphalia) which focuses “on the implementation of ion traps and laser cooling systems, a choice aimed at overcoming the bulk and complexity limits of voluminous infrastructures” (like those adopted by IBM).
The potential is enormous: “from advanced materials to meteorology, to logistics optimization,” quantum computers could solve problems currently beyond the reach of conventional supercomputers. The Siegen start-up has already received orders from the German Aerospace Center (Deutsches Zentrum für Luft- und Raumfahrt) and the Jülich Research Center, one of the largest and most important interdisciplinary research centers in Europe, for a total of 54 million euros. However, global competition is fierce and well-funded, especially in the United States, where companies like Google, IBM, and Quera “enjoy massive venture capital investments.”
Despite the quality of German research evidenced by numerous scientific clusters, gaps remain in the funding infrastructure. According to Eleqtron’s founders, Germany struggles to provide resources comparable to those of the United States. As Claudia Linnhoff-Popien, a professor at the University of Munich, observes, “the development of quantum hardware is still an open bet, and German innovation will have to prove it can keep pace.”
DEFENSE AND SECURITY
The war in Ukraine has produced a profound rethink of European defense strategies, accelerating investments and technological innovation. Global military spending has reached enormous sums, with the United States always leading but European countries strongly catching up. Germany ranks fourth, with ambitious plans: Friedrich Merz promises to make the Bundeswehr the largest army on the continent.
Europe, however, suffers from the fragmentation of weapon systems and the absence of a unified strategy. To address this weakness, the EU launched the European Defence Industrial Strategy (EDIS) and the EDIP program, aiming to allocate at least 50% of military spending to European suppliers by 2030.
Meanwhile, the start-up sector in defense and cybersecurity is experiencing a real boom with growing investments in new companies in the sector. Particular attention is given to drone development: from marginal tools to protagonists of contemporary conflicts. While the Eurodrone – developed by Germany, France, Spain, and Italy – will only become operational in 2030, numerous European start-ups, such as Munich’s Helsing in Germany, are already developing advanced drones with cutting-edge technologies, managing to secure billion-euro contracts from the state over more renowned companies.
CYBERSPACE: WARFARE AND DIGITAL DOMINANCE
Modern warfare is increasingly played out in the digital domain. In the military cybersecurity sector, the market is still dominated by the United States, with Israeli Check Point as the only exception among the main non-American players. Palantir remains the leader in military intelligence software, but Europe is trying to close the gap. The goal is not only to reduce dependence on the United States but also to develop autonomous cyber defense capabilities, essential to protect critical infrastructures and strategic assets.
Also in this sector, as in defense, the German industry can play an important role in economic recovery, especially if it manages to act in concert at the continental level. In a rapidly evolving landscape, Europe has indeed initiated reorganization processes that, if accompanied by targeted investments and greater integration, could strengthen its position in the key sectors of future technology.
German companies, also strengthened by the financial support allocated by the Merz government, are rising to the challenge of this sector: intelligent robots, quantum computers, and advanced defense systems are no longer just futuristic scenarios, but “the foundations on which technological sovereignty is played.”
(2. continues; the first part can be read here)
