Digital economy
2025 State of the Digital Decade report urges renewed action on digital transformation and technological sovereignty

The European Commission's State of the Digital Decade 2025 report assessed the EU's progress along the four target areas for the EU's digital transformation by 2030, highlighting achievements and gaps in the areas of digital infrastructure, digitalization of businesses, digital skills, and digitalization of public service.
The report shows that although there are certain advancements, the rollout of connectivity infrastructure, such as fibre and 5G stand-alone networks, is still lagging. More companies are adopting Artificial Intelligence (AI), cloud and big data, but adoption needs to accelerate. Just over half of Europeans (55.6%) have a basic level of digital skills, while the availability of ICT specialists with advanced skills remains low and with a stark gender divide, hindering progress in key sectors, such as cybersecurity and AI. In 2024, the EU made steady progress in digitalising key public services, but a substantial portion of governmental digital infrastructure continues to depend on service providers outside the EU.
The data shows persisting challenges, such as fragmented markets, overly complex regulations, security and strategic dependence. Further public and private investment and easier access to venture capital for EU companies would accelerate innovation and scale up.
The member states will review the Commission's recommendations and discuss the way forward with the Commission. In 2026, the Commission will review the DDPP's targets to assess whether they still reflect the evolving digital landscape and meet the demands of the EU's priorities and ambitions.
Find more information online and on the factpage.
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