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Challenges on Europe's Digital Journey

09. July 2025

In a world where technological innovation increasingly shapes our daily lives, artificial intelligence (AI) is taking on a key role.

AI is not only a driving force for change in the economy but also in public administration and society at large. While AI is already actively used in many areas of the labor market, one central question remains: How will AI shape our working world by 2035, and how can we apply this technology responsibly and successfully?

A Driver of Change

Looking back at recent years shows how quickly AI technologies have entered the world of work. As early as February 2022, experts recognized that AI had the potential to transform the working world more significantly than any previous technology. While older technologies primarily automated routine tasks, AI now also supports more complex and less rule-based activities—such as in medicine, data analysis, or the creative industries.

AI Creates Jobs

AI will not only transform existing jobs but also create entirely new ones. New professional roles are emerging that were previously unimaginable—such as specialists in high-quality data foundations or AI trainers. The future shape of the labor market, however, depends on how we design and integrate AI technologies.

Significant increase in usage

Recent figures from Austria show a significant rise in AI adoption among companies, illustrating this transformation. As of October 2024, 20% of Austrian companies are using AI technologies—nearly double the number from 2023. This trend is particularly evident in large enterprises, which use AI mainly in areas such as text recognition, language generation, and data analysis.

Three Key Success Factors

Three aspects are especially important for the successful integration of AI into the working world:

  1. Awareness:
    AI is changing not only business processes but also the way we work. It is essential that leaders actively promote the use of AI and help reduce fears. In a world where every employee will eventually use AI as a tool, the willingness to grow and learn new skills must be fostered.
  2. Framework Conditions:
    Data is the foundation for AI usage. A clear data strategy and efficient data management are essential for integrating AI into existing processes and boosting productivity. Organizational adjustments and a commitment to lifelong learning are also necessary to keep up with technological developments.
  3. Synergies:
    Especially in public administration, a coordinated strategy is crucial. Only by identifying synergies and leveraging shared solutions can AI be successfully deployed in government.
    A good example is the recently published implementation plan by the Austrian government for its AI strategy, which provides a foundation for future steps.

The Administration of the Future

Digital transformation is not just a question of technology, but also of culture and collaboration. European public administrations must be guided in the right direction to harness AI effectively.
A unified European approach to AI and consistent administrative alignment with the EU AI Act are especially important for setting standards and promoting synergy.

Five Key Factors

To effectively integrate AI in public administration, five key factors must be considered:

  • Leveraging existing technological capabilities
  • Creating framework conditions for integrating AI into existing processes
  • Empowering employees through targeted skill development
  • A unified European approach to implementing the EU AI Act
  • Promoting innovation and sustainable digitization in the public sector

Europe’s Responsibility

Digital transformation is a team effort. Only if all actors—from public administrations and businesses to individual citizens—pull together can Europe successfully shape its digital future. The opportunities AI offers must be seized responsibly, with legal, ethical, and moral standards strictly upheld.

A Coordinated Strategy

Meeting the challenge of digital transformation requires collective effort, a clear vision, and a coordinated strategy. On this basis, Europe must set the course for its digital future. Together we must create structures designed to sustainably support innovation, digitization and Europe’s long-term success.

A Sustainable Digital Future

Digital transformation is not purely a technological challenge—it is above all a societal one. Only through cooperation and the responsible use of new technologies can Europe build a successful and sustainable digital future.

Shaping Digital Transformation

Artificial intelligence presents enormous opportunities, particularly in the world of work and in public administration. The coming years will be decisive in determining how we, as a society, use this technology and what frameworks we create for its integration into our work processes. It is up to us to actively shape digital transformation and ensure that AI is deployed in line with our values and goals.