Europe’s industrial base is undergoing a transformation as traditional manufacturing faces mounting challenges from global supply disruptions and trade barriers. In response, there is growing debate over whether the continent’s long-term economic strength depends on shifting toward software and artificial intelligence. These digital technologies offer advantages in scalability and resistance to physical supply chain issues, making them increasingly vital in a world shaped by geopolitical tensions and economic uncertainty. The conversation centers on whether Europe can maintain its industrial relevance without leading in the development of core digital infrastructure.
Thomas Saueressig, SAP executive board member, joins the discussion to examine how global business priorities are evolving—from pure efficiency to resilience and security. He explores the implications for Europe’s competitiveness, emphasizing that dominance in software and AI may be essential for sustaining industrial influence. As European leaders consider strategic investments, the question remains: can the region build a future where advanced technology supports its economic foundation, or will it risk falling behind in an increasingly digital world?