Credit: Ali Sahib, Chronicle.lu

On Monday 16 June 2025, the European Commission published its third State of the Digital Decade report, tracking the European Union’s (EU) progress towards its 2030 digital goals, with Luxembourg featured prominently.

The report included detailed country assessments, offering tailored guidance for each Member State in meeting its shared targets. Luxembourg earned recognition as a consistent contributor to Europe’s digital transformation and the Commission highlighted its achievements in digital infrastructure and public digital services, as well as in ICT employment, ranked second in the EU for ICT employment with 8% of the workforce engaged in specialist roles.

The Commission remarked that Luxembourg “continues to position itself as a strategic digital hub, backed by strong infrastructure” but noted that the country faced “persistent challenges in SME digital uptake”. The Commission equated this issue to high integration costs and limited technical capacity.

The report highlighted that Luxembourg maintained one of the EU’s most robust connectivity networks, with 99.6% 5G coverage and 95.2% access to very high-capacity networks. The Commission emphasised that these figures “remain well above the EU average, supporting a high-performing digital environment”.

The Commission praised Luxembourg for being “a European frontrunner in digitalisation” and cited the country’s deployment of the MeluXina supercomputer and its MeluXina-AI development as well as the country’s participation in the EU’s artificial intelligence (AI) Factories initiative.

The report also said that Luxembourg has emerged as one of the most active EU countries in implementing the European Declaration on Digital Rights and Principles, with a supporting study commissioned by the European Commission recording more than 100 national initiatives, including 20 launched in 2024. Sovereignty and cybersecurity were identified as central to Luxembourg’s national digital policy.

Luxembourg scored well on digital public services, achieving a score of 97.7 for citizen access and 100 for business services. However, the Grand Duchy’s e-health sector remained slightly below the EU average, with access to health records unchanged at a score of 76.1.

Despite the progress detailed in the report, several challenges were identified by the Commission. These included small and medium-sized enterprises (SMEs) lagging behind in the use of cloud computing and the adoption of data analytics. The report also noted that while AI adoption in Luxembourg exceeds the EU average at 23.73%, sustained focus is essential to reach the targets set for 2030 and that Luxembourg’s startup sector would benefit from improved access to private venture capital.