“Digital infrastructures are the foundation for a successful Switzerland”

Geopolitical tensions, strategic shifts in power, and the growing fragmentation of the global order are fundamentally changing the business environment in which Swiss companies operate. This has implications for markets, supply chains, and partnerships. For a small, highly interconnected country like Switzerland, this development is particularly challenging. Our economic strength isn’t based on size or natural resources, but on innovation, openness, and effective networks. The sames applies to infrastructures. Not only are high-performance communication networks and secure data infrastructures the technical foundation of digitalization, they’re also a strategic competitive and locational advantage. Strengthening these is becoming more and more challenging.

Crises are nothing new. What’s remarkable is the immediacy and speed with which they reinforce one other. Financial, geopolitical, technological, and social developments are becoming more and more intertwined. This puts constant pressure on businesses, policymakers, and society to adapt. Digitalization has also made global connectivity even more extensive. Supply chains, energy grids, data flows, and communication networks are closely linked. That’s why disruptions have a more immediate and widespread impact than they used to. This is particularly relevant for Switzerland because our prosperity is very much based on openness, stability, and international connectivity. That’s precisely why digital infrastructures, the ability to innovate, and a reliable regulatory framework are crucial. This makes it concerning to see attempts being made under the banner of “digital sovereignty” to regulate digital infrastructures or services from a national perspective or even to isolate Switzerland.

These efforts are hard to miss with the latest bills and various legislative initiatives underway in parliament. These range from restricting the use of cloud services by the public sector, to new obligations for hosting and cloud providers, and regulating platform services, all the way to introducing new network blocks and banning Starlink ground stations in Switzerland. While many of these initiatives are intended to strengthen Swiss IT companies and our digital ecosystem, isolation and restrictions are not the way. Favorable conditions and a level playing field for Swiss companies competing with global providers are far more important.

According to the IMD, Switzerland holds the top spot in the “Digital Competitiveness Ranking”. But if you look at where the big tech companies are based, the outlook for Switzerland and Europe isn’t so rosy. This raises the question of what role Switzerland intends to play: Are we just along for the ride, or do we want to take an active role? If we want to be innovators, there are areas where we are very well-positioned; for example, Switzerland is a world leader in the fields of drones and robotics. Research, skilled workers – especially those from abroad – and digital infrastructures underpin Switzerland’s strong position. And yet, it’s often companies from other industries that benefit from digitalization when it comes to maintaining or strengthening their competitive position. Think fintech, pharmaceutical, or industrial companies. Nevertheless, we must also be realistic: We still have a lot of catching up to do in the SME and public sectors. This is where fragmentation, federalism, and the resulting slow decision-making processes are holding back the digital transformation. It will be crucial that we scale innovations more quickly in the future and become more agile in terms of regulation.

Switzerland has highly efficient digital infrastructures at the moment, but this is precisely where the danger lies: Many things are taken for granted now. It’s easy to forget that these infrastructures need to be continuously modernized and upgraded. In our industry, standing still can quickly turn into falling behind. This is also reflected in public perception: Everyone wants good cell phone coverage and fast data connections, but objections are leading to years of delays in the construction of cell towers. We all use apps and cloud services on our smartphones, but when new data centers are built, the focus is on criticizing their energy consumption rather than highlighting their importance for digital sovereignty. What is needed here are facts and education. And our association has a lot to offer here. In fact, we pointed out in a study three years ago that moving from inhouse computing centers to large data centers can reduce electricity consumption through efficiency gains. This was confirmed by a recent data collection drive by the Federal Office of Energy at the start of May 2026.

Take AI for example. Swiss universities and companies excel in research and innovation and have achieved major breakthroughs. The challenge now is to develop successful business models based on this and hold our own against international competitors. We must be careful not to make the same regulatory mistake as Europe and limit innovation and market opportunities. The biggest challenge, therefore, is to create an environment conducive to innovation and thus to strengthen our digital infrastructures.

e-ID is a key tool for building trust in the digital space, simplifying many procedures and processes and making them more secure. The approval of Swiss voters was an important milestone, and the task now is to quickly introduce practical, value-adding applications based on this trust infrastructure. Government entities are benefiting from this too and, as a result, e-ID is strengthening digital sovereignty while also promoting innovation. When it comes to cloud services, the first question to consider is which data and processes are key to the functioning of the government and how a secure cloud environment can be created to support them. It makes sense that critical data and processes – for example, those of the federal government – are stored and processed in dedicated data centers. But not all data is critical. A risk assessment is required, and then government data can be stored in a public cloud too. Digital sovereignty can also be ensured through risk management and governance – and this can in turn improve efficiency. That’s a win-win situation, too. Digital sovereignty isn’t about isolation or technological self-sufficiency, it’s about striking the right balance. Switzerland is still dependent on international technologies, suppliers, service providers, and global value chains. We must ensure that we have the power to shape the future and the ability to take action in an interconnected world.

When we reviewed the association’s strategy last year, we set the bar high: In future, Switzerland shouldn’t simply be making progress with digitalization. In fact, we believe that Switzerland can play a leading role in digital infrastructures – even internationally. Our goal is to be among the world leaders in digitalization. Not just as a user, but as an active contributor. For that to happen, several things need to come together. First of all, we still need first-rate communication, network, and data infrastructures. Secondly, we need to make our regulatory framework more agile and open to innovation. Thirdly, Switzerland needs greater scalability so that research and technological innovations can be turned into successful business models. Finally, Switzerland must hold on to its traditional strengths – openness and international connectivity – even in the digital age. Our future doesn’t lie in isolation, but in being a competent, trustworthy, and self-sufficient hub in a globally connected digital world.