Germany ICT Market Report and Forecast 2024-2032

Germany ICT Market Size

The Germany ICT market attained a value of around USD 191.00 billion in 2023. It is projected to grow at a CAGR of 11.3% during 2024-2032 to reach nearly USD 500.60 billion by 2032.

Germany ICT Market Outlook

• In 2021, Germany’s electronics sector recorded a turnover of EUR 200 billion, with production also recording steady growth.

• Germany is Europe’s single largest market for software, where the industry employed over 1 million people in 2023.

• There is a strong demand for American products and services like Adobe in Germany.

Germany ICT Market Growth

As per the Digital Economy and Society Index compiled for 27 EU countries by the European Union, Germany ranks 13th in terms of economic digitalisation. This has prompted the German government to introduce a three-year plan in 2022, through which it aims to boost national digital sovereignty by investing in software development and microchip production.

The German government also aims to expedite the construction of cell towers to provide high-speed internet connections to 50% of all German households by 2025 and eliminate all mobile dead zones by 2026. Furthermore, it is planning to digitalise patients’ health records and improve the delivery of services through e-governance. This indicates substantial potential for growth of the market in Germany over the forecast period.

To strengthen its technological capabilities and regain its position as a key nation for scientific innovation, Germany is expected to invest EUR 500 million in research and development of artificial intelligence and associated technologies. Besides, it also plans on upgrading its supercomputing infrastructure and providing skill-based training to its youth, thereby creating a ready market for technological development that favours economic growth. This investment is a growth of EUR 200 million year-on-year and is expected to sustain the growth of the market in Germany in the coming years.

Germany ICT Industry Segmentation

Germany ICT Market Report and Forecast 2024-2032 provides an in-depth analysis of the different market segments mentioned below:

Market Breakup by Type

• Hardware
  • Network Switches 
  • Routers and WLAN 
  • Servers and Storage 
  • Others 
• Software

• IT and Infrastructure Services

• Telecommunication Services

Market Breakup by Enterprise Size

• Small and Medium Enterprises

• Large Enterprises

Market Breakup by Industry Vertical

• BFSI

• IT and Telecom

• Government

• Retail and E-Commerce

• Manufacturing

• Energy and Utilities

• Others

Market Breakup by Region

• North Rhine-Westphalia

• Bavaria

• Baden-Württemberg

Germany ICT Market Share

Based on region, the market is divided into North Rhine-Westphalia, Bavaria, and Baden-Württemberg.  Over the forecast period of 2024-2032, North Rhine-Westphalia is estimated to grow at a CAGR of 14.6% due to the rapid adoption of digital technologies and the presence of large software companies in the region.

Leading Companies in Germany ICT Market

Major market players are expected to design innovative software solutions that enhance the operational efficiency of energy and waste management and construction companies, which is expected to drive the market growth.

• IBM Corp.

• Cisco Systems Inc.

• Google LLC

• AT&T Inc.

• Fujitsu Ltd.

• Oracle Corp.

• Verizon Communications Inc.

• Huawei Technologies Co., Ltd.

• Fortinet Inc.

• Capgemini SE

• Others

Key Highlights of the Report