Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Digital technology has kept us connected during the pandemic - how can it help Europe's recovery?

Digital technology has kept us connected during the pandemic - how can it help Europe's recovery?

Can the EU’s multi-billion pandemic recovery fund help Europe go fully digital? A century-old Danish manufacturer has made the switch to a fully digital production line and is already reaping the benefits. With the help of EU funds, many other SMEs are expected to follow suit. #Realeconomy

Digital technology is changing the way we live and work. The pandemic and lockdowns has shown how much we depend on it, from remote working to online medical consultations to video calls with family and friends.

However, the pandemic has also highlighted the gap between the digital ‘haves’ and ‘have nots.’ More than 40% of Europeans have no basic digital skills and almost a quarter of homes have no broadband.

Fewer than 20% of SMEs (small and medium-sized enterprises) use internet cloud services or use the internet to sell their products or services.



How are the EU recovery funds helping Europe’s digital transformation?


The transition to a digital world is a key element in the EU’s pandemic recovery plan. At the heart of the plan is the €672.5 billion Recovery and Resilience Facility will be spent on public investments and reforms.

To access the money, member states have submitted national recovery plans earmarking 20% of the money for initiatives to digitise their economies.


To make sure everyone benefits, the EU wants to see investment in ultra-fast broadband, training people in digital skills, helping start-ups and small businesses innovate and grow, and using technology to become climate-neutral.

Why is investing in the digital transition so important?


Paolo Gentiloni is the European Commissioner for Economy. He says that as in the US, the goal in Europe is to "build back better" after the pandemic and that digital concerns "all sectors of our economy."

"You can improve through digital how the public administration works, how the healthcare system works, how companies are competitive and working. This is the strength of the investment in digital that they can have an impact on all our economy."

Paolo Gentiloni, European Commissioner for Economy talking to Euronews' Naomi Lloyd


The pandemic has shown how how connectivity problems exacerbated social differences, such as in learning from home for children and young people.

"This is, of course, unacceptable" says Gentiloni, stating "we have to seize the opportunity to reduce and cancel the digital divide. It's now or never."

Europe's frontrunners in digitisation


Nordic countries and the Netherlands are leading the way when it comes to going digital. But even there, projects are hoping for Recovery Fund money to help their digital transition.

The UN’s ‘e-Government Survey ranked Denmark as world champion when it comes to e-government. There’s no need to leave the house with your driver's license in your pocket, for instance, you can simply download it straight to your smartphone.

Now, other sectors of the economy are jumping onboard the digital transition.



Company transformations


HMK Bilcon is based in Jutland. Founded by a blacksmith in 1895, the company went from building carriages to truck trailers throughout the 20th century.

Four years ago, Peter Jensby the CEO, launched a complete overhaul of the company to go fully digital, spending two million euros to change the company.

"This transformation has meant a world of change to this workplace, and we now have a company that is profitable and it was losing a lot of money in the old days", Jensby explains.

The newly digitised company, HMK Bilcon


More companies, like HMK Bilcon, are expected to go fully digital in the coming months.

Denmark has requested 1,6 billion euros of subsidies from the European recovery plan and will be required to dedicate one-fifth of this amount to the digital transition.

This funding is also of interest to those already in the digital sector, but hoping to expand.

Sahra-Josephine Hjorth created an AI-based software to help teachers and HR managers create online learning programs. The company has quadrupled its staff in 2021 but has had difficulty finding private investors.

"In terms of investment, it can be tricky to attract regular investors for very high-risk features at the forefront of innovation", says Hjorth. explaining that they hope to combine private investors with EU support.

Sahra-Josephine Hjorth, CEO, CanopyLAB


Gentiloni supports countries investing Recovery Fund money in companies like Hjorth's, saying they should not only be looking to "the world of giants, it is also a world of start-ups, midsize companies that have their role in this new digital world."

European competitivity


The EU’s recovery fund will see €134.5 billion dedicated to digitisation, but will it be enough to make Europe a global leader, able to compete with the US and China?

Katrine Forsberg is a Member of the Danish Board of Business Development. She believes the EU can compete at a global level as it has sufficient infrastructure and the skills. She says what is crucial is "investments in small and mid-sized companies to create jobs and to grow the businesses".

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
France Faces New Political Crisis, again, as Prime Minister Bayrou Pushed Out
Nayib Bukele Points Out Belgian Hypocrisy as Brussels Considers Sending Army into the Streets
France, at an Impasse, Heads Toward Another Government Collapse
The Country That Got Too Rich? Public Spending Dominates Norway Election
EU Proposes Phasing Out Russian Oil and Gas by End of 2027 to End Energy Dependence
More Than 150,000 Followers for a Fictional Character: The New Influencers Are AI Creations
EU Prepares for War
Trump Threatens Retaliatory Tariffs After EU Imposes €2.95 Billion Fine on Google
Tesla Board Proposes Unprecedented One-Trillion-Dollar Performance Package for Elon Musk
Gold Could Reach Nearly $5,000 if Fed Independence Is Undermined, Goldman Sachs Warns
Uruguay, Colombia and Paraguay Secure Places at 2026 World Cup
Trump Administration Advances Plans to Rebrand Pentagon as Department of War Instead of the Fake Term Department of Defense
Big Tech Executives Laud Trump at White House Dinner, Unveil Massive U.S. Investments
Tether Expands into Gold Sector with Profit-Driven Diversification
‘Looks Like a Wig’: Online Users Express Concern Over Kate Middleton
Florida’s Vaccine Revolution: DeSantis Declares War on Mandates
Trump’s New War – and the ‘Drug Tyrant’ Fearing Invasion: ‘1,200 Missiles Aimed at Us’
"The Situation Has Never Been This Bad": The Fall of PepsiCo
At the Parade in China: Laser Weapons, 'Eagle Strike,' and a Missile Capable of 'Striking Anywhere in the World'
The Fashion Designer Who Became an Italian Symbol: Giorgio Armani Has Died at 91
Putin Celebrates ‘Unprecedentedly High’ Ties with China as Gazprom Seals Power of Siberia-2 Deal
China Unveils New Weapons in Grand Military Parade as Xi Hosts Putin and Kim
Rapper Cardi B Cleared of Liability in Los Angeles Civil Assault Trial
Google Avoids Break-Up in U.S. Antitrust Case as Stocks Rise
Couple celebrates 80th wedding anniversary at assisted living facility in Lancaster
Information Warfare in the Age of AI: How Language Models Become Targets and Tools
The White House on LinkedIn Has Changed Their Profile Picture to Donald Trump
"Insulted the Prophet Muhammad": Woman Burned Alive by Angry Mob in Niger State, Nigeria
Trump Responds to Death Rumors – Announces 'Missile City'
Druzhba Pipeline Incident Sparks Geopolitical Tensions
Cost of Opposition Leader Péter Magyar's Economic Plan Revealed
Germany in Turmoil: Ukrainian Teenage Girl Pushed to Death by Illegal Iraqi Migrant
United Krack down on human rights: Graham Linehan Arrested at Heathrow Over Three X Posts, Hospitalised, Released on Bail with Posting Ban
Asian and Middle Eastern Investors Avoid US Markets
Ray Dalio Warns of US Shift to Autocracy
Eurozone Inflation Rises to 2.1% in August
Russia and China Sign New Gas Pipeline Deal
Von der Leyen's Plane Hit by Suspected Russian GPS Interference in an Incident Believed to Be Caused by Russia or by Pro-Peace or by Anti-Corruption European Activists
China's Robotics Industry Fuels Export Surge
Suntory Chairman Resigns After Police Probe
Gold Price Hits New All-Time Record
UK Fintechs Explore Buying US Banks
Greece Suspends 5% of Schools as Birth Rate Drops
Apollo to Launch $5 Billion Sports Investment Vehicle
Bolsonaro Trial Nears Close Amid US-Brazil Tension
European Banks Push for Lower Cross-Border Barriers
Poland's Offshore Wind Sector Attracts Investors
Budapest Central European Fashion Week Kicks Off
U.S. Celebrates Labor Day
Hungarian National Team Captain Scores Epic Goal
×