Why is it so important for Luxembourg to become a leading data economy?
Lex Delles: Data is a crucial driver of innovation, economic growth and societal development. The amount of data will continue to grow rapidly, and as the world increasingly relies on digital technologies, the ability to efficiently manage, analyse and utilise data is essential for competitiveness.
The availability of large, high-quality datasets enables the deployment of data-based solutions, including artificial intelligence (AI) applications. Recent and ongoing developments in fields such as large language models, generative AI and explainable AI clearly indicate that all economic players will be impacted. We expect to see AI applications in different sectors such as cybersecurity, mobility, energy and healthcare in the near future, on the national as well as on the European and international scale.
By positioning Luxembourg as a leader in the data ecosystem, we aim to attract high-tech industries, foster innovation and create high-value jobs.
In this context, secure data management forms the backbone of a robust and trustworthy AI ecosystem. It is essential for ensuring that AI systems operate on reliable, compliant and ethically sourced data while maintaining privacy, security and legal as well as regulatory compliance.
By positioning Luxembourg as a leader in the data ecosystem, we aim to attract high-tech industries, foster innovation and create high-value jobs, thereby ensuring long-term prosperity and resilience.
On what foundation from the past are you building the strategy to achieve this ambition?
Luxembourg has a solid legacy of economic diversification and innovation. Once a leading steel producer, the country has been transformed into a diversified, service-based economy and a global financial hub.
This evolution required the development of a robust infrastructure, a highly skilled workforce and a pro-business environment. The expertise acquired in data management and security, combined with our investments in digital infrastructure, our constant drive for innovation as well as our commitment to regulatory excellence, today form the foundation for our data economy ambitions.
These ambitions are also complementary to and aligned with our efforts to maintain the competitiveness of the national economy through innovation. We focus in particular on key sectors ranging from finance and space to mobility, energy and healthcare.
Luxembourg has invested heavily to foster a flourishing data economy. What do you consider as the most important achievements so far?
Key initiatives include the deployment of optical fibre across the country, placing Luxembourg among the most connected countries in the world. The development of high-performance computing facilities, such as the business-oriented supercomputer MeluXina, and the establishment of the Luxembourg House of Financial Technology (LHoFT), also helped drive innovation. Earlier investments in secure, state-of-the-art datacentres and the creation of the national innovation agency, Luxinnovation, were also pivotal. These achievements have positioned Luxembourg as a prime location for data-intensive businesses and research.
Several services and initiatives are put in place to encourage the use of this state-of-the-art infrastructure by a wide range of actors. One example is the thematic calls for research projects launched to build expertise and explore the development of data and AI-based solutions for specific use cases.
What are Luxembourg’s main assets in the field of data?
The world-class digital infrastructure is of course a cornerstone, but I would also like to highlight our political stability and highly skilled, multilingual workforce. Luxembourg’s strategic location in the heart of Europe, combined with our advanced regulatory framework for data protection and cybersecurity, further enhances our appeal.
The world-class digital infrastructure is of course a cornerstone, but I would also like to highlight our political stability and highly skilled, multilingual workforce.
Additionally, our strong commitment to fostering innovation through public-private partnerships and research initiatives contributes to the supportive ecosystem for data-driven enterprises.
The cross-border dimension is always essential for Luxembourg. What role can the country play in the European data economy?
Luxembourg aims to be a key player in the European data economy by acting as a hub for cross-border data flows and collaboration. We contribute with our expertise in data security, our advanced digital infrastructure and our role in initiatives such as GAIA-X, a European initiative aimed at developing a federated and secure data infrastructure. By promoting interoperability and data sharing across borders, we support the creation of a unified digital market that enhances Europe’s global competitiveness.
Why are initiatives fostering internationally interoperable data so important?
Initiatives like GAIA-X and CLINNOVA, an international project focused on enabling precision medicine through data federation, standardisation and interoperability, are crucial because they promote the development of a secure, sovereign and interoperable data infrastructure that can be trusted across borders.
For a small, open country like ours, interoperability is always key. These initiatives facilitate collaboration and innovation by ensuring that data can be seamlessly shared and utilised, driving progress in areas such as healthcare, research and industry. They also help safeguard data sovereignty and enhance the competitive edge of European businesses on a global scale.
For a small, open country like ours, interoperability is always key.
This type of transversal initiative – whether sector-agnostic like GAIA-X or domain-specific such as CLINNOVA – foster the creation of synergies between different parties concerned by enabling and facilitating data sharing. The resulting increase in accessible high-quality datasets forms the starting point for developing innovative AI-based solutions by both the academic and the industrial communities.
What role can Luxembourg play in data collaborations with countries outside Europe?
Luxembourg can serve as an experienced and reliable partner in international data collaborations. Our technological expertise and secure datacentres, combined with our deep knowledge of regulatory frameworks, make us an ideal location for hosting and managing sensitive data.
Luxembourg can serve as an experienced and reliable partner in international data collaborations.
By facilitating cross-border data initiatives, we can help bridge gaps between different regulatory environments, promote global standards for data interoperability and drive international research and innovation projects. Luxembourg can also play an important role in guaranteeing European sovereignty.
What are the next important steps for Luxembourg to further develop its data economy?
We will continue to invest in cutting-edge digital infrastructure and foster a culture of innovation. We are currently preparing to set up a next-generation supercomputer that will be particularly suited for the training, validation and inference of AI models. In line with our general sustainability efforts, state-of-the-art technology will be used to guarantee minimised environmental impacts. LuxProvide, the company in charge of MeluXina, will host one of the first quantum computers in the EU.
Our long-term vision is to create a dynamic and resilient data economy that not only supports local businesses, but also positions Luxembourg as a leader in digital transformation.
Our long-term vision is to create a dynamic and resilient data economy that not only supports local businesses, but also positions Luxembourg as a leader in digital transformation. The implementation of AI-based solutions in sectors where exceptionally significant benefits are expected, will be explored. These include sectors which are particularly well aligned with the national economy and our diversification strategies, such as finance and space, but also others that are crucial for the welfare of the broader society, like energy and healthcare.
I envision a future where Luxembourg leverages data to improve public services, empower businesses and enhance the quality of life for its citizens, all while maintaining the highest standards of data security and ethical use.
Photo credits: Luxinnovation/Jessica Theis