Digitalization and Innovations as a priority

The digital economy and an innovation-friendly environment are high on the Czech Republic's list of priorities. By mobilising stakeholders and utilising financial resources, the Czech Republic aims to support the competitiveness of businesses and the creation of a thriving digital ecosystem.

Towards the innovation friendly digital future

The Czech Republic has a rich tradition of high-quality education, cutting-edge research, and leading industries. To maintain its position among the most innovative countries, the government and businesses are making substantial investments in research, development, and innovation in technologies such as artificial intelligence (AI), high-performance computing or quantum computing.

Leveraging pivotal national strategies such as the Digital Czechia, the National Artificial Intelligence Strategy 2030 (NAIS), the Smart Specialization Strategy for Research and Innovation (RIS3), the aim is to create a clear, predictable business environment that stimulates innovation. The active participation of stakeholders is ensured through specialised committees.

The Czech Republic is actively pursuing the development and use of digital technologies to strengthen economy's competitiveness and increase society's resilience in the context of dynamic technological development. According to the latest available data from Eurostat, over 47 % of businesses with at least 10 employees in the Czech Republic use cloud-based solutions, above the EU average and higher than in countries such as France or Germany.

 

To support the development and use of AI in a strategic and coordinated way, the Ministry of Industry and Trade (MIT) has updated the National Artificial Intelligence Strategy of the Czech Republic 2030. Approved by the Czech government in July 2024, the NAIS aims to fully leverage AI's potential for the benefit of the Czech Republic while addressing the new challenges brought by recent developments. NAIS’s priority areas are AI in R&D; in industry and business; in education and expertise; AI skills and its impact on the labour market; ethical, legal and security aspects of AI, and AI in public administration and services.

Approved in June 2024, the TWIST (Transfer, Research, Development and Innovation for Strategic Technologies) programme focuses primarily on strengthening the application of industrial research results in selected strategic technologies (artificial intelligence, semiconductors, quantum technologies) and energy and resilience RIS3 missions. The programme duration is 2025-2031 with allocation from the state budget of EUR 209 million. The first call for projects focuses on AI.

Six European Digital Innovation Hubs all across the Czech Republic, together with the AI Testing and Experimentation Facility, offer businesses their expert services, such as pre-investment testing (test-before-invest) both in the lab and in a real-world environment, training and skills development, investment search support (access to finance), networking, and access to innovation ecosystems to businesses to support their digital transformation.

To stimulate the growth of the startup ecosystem and to strengthen their competitiveness, young businesses can apply for support from CzechInvest's Technology Incubation programme where up to 250 of them will receive mentoring from the seven thematic hubs covering AI, Advanced Tech, Mobility, Space, EcoTech, Biotech, Defence and Creative Industries. Furthermore, to establish themselves in foreign markets, start-ups can apply for CzechInvest's Acceleration programme, which provides mentoring services, helps with expansion strategy and development plan, and allows them to participate in workshops, B2B meetings, conferences or short-term acceleration programmes abroad.

Through all the above initiatives and many others beyond the scope of this article, the Czech Republic is trying to contribute to the emergence of a digital economy and society from which everyone can benefit.

Petr Očko
Director General

Digitization and Innovation Section
Ministry of Industry and Trade
posta@mpo.cz
www.mpo.cz

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