Germany's AI market forecast to grow nearly 50% this year, with generative AI at 40%
Bitkom's IDC-based forecast lifts Germany's AI market to €28.7bn, with generative AI spending doubling — a projection, usable as a European demand benchmark.
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Germany's IT and telecom association Bitkom published a forecast on September 22: the German AI market will reach €28.7 billion this year, up 48% year on year, from €19.4 billion in 2025.
By segment, software spending is expected to grow 65% to €16 billion, more than half the market; services grow 30% to €6.8 billion and hardware 32% to €5.8 billion. Generative AI spending is forecast to double from €5.7 billion last year to €11.5 billion, about 40% of the total.
These are Bitkom's projections based on IDC data, relayed by Xinhua Finance, not measured spending; the association also expects a further 40% rise to €40.3 billion by 2027, which is likewise an extrapolation.