TechSverige on the Productivity Commission's conclusions
Sweden is in a period of geopolitical and economic uncertainty. Strong long-term productivity growth and high competitiveness are crucial to securing prosperity and jobs. Here, AI and digitalisation are key elements - as engines of innovation and growth. The Productivity Commission's final report confirms this and makes several welcome proposals.
In particular, the Commission warns that the EU risks falling behind in global competition and highlights the need for excellence, more research in AI, quantum technologies and cybersecurity, and faster digitization of the public sector. It also highlights the importance of data infrastructure and computing power - areas that TechSverige has emphasized in our input, where digital infrastructure, data centers and computing power have been identified as crucial for both innovation and competitiveness.
Rules that enable - not hinder
The Commission, in line with TechSverige, notes that today's regulations - such as GDPR and the AI Regulation - too often inhibit innovation and create unnecessary administration.
- Sweden needs regulations that create clear rules but at the same time give companies and the public sector the conditions to benefit from the full potential of technology, says Christina Ramm-Ericson, Chief Economist at TechSverige.
Sweden needs a regulatory framework that creates clear rules, but at the same time gives companies and the public sector the conditions to benefit from the full potential of technology
- We also welcome the Productivity Commission's advice against statutory or centrally negotiated working time reductions as they risk reducing GDP. For many of our member companies, charging for time and delivering services based on time is business-critical. Productivity and growth are therefore directly dependent on not reducing working time. Maintaining or increasing available time is crucial to safeguard companies' long-term competitiveness and ensure that jobs, investments and innovations continue to grow in Sweden, rather than moving elsewhere," says Einar Humlin, Head of Negotiations at TechSverige.
A digital public sector in step with developments - with the market as a force
The report states that the public sector is lagging behind in its digital development. This poses risks to both efficiency and the ability to meet citizens' needs. At the same time, it is positive that this is made clear - and that the Commission states that the state should not build its own digital solutions when the market already offers better alternatives. The Commission is also proposing stronger rules against anti-competitive public sales activities.
- "It is positive that the Commission shares our view that the state should not compete with the market. Instead, the public sector should focus on its core business and be a strong customer that takes advantage of the market's best solutions and thus strengthens Sweden's digital ecosystem," says Christina Ramm-Ericson.
Sweden is at the forefront of network deployment, which is a strength for both business and the public sector. The Commission stresses the importance of using these resources more efficiently, so that investments in infrastructure can contribute even more to innovation, growth and productivity.
For a long time, the government has referred to the work of the Productivity Commission and future proposals. Now the proposals have been made, and a lot has been said before. What is needed now is action. Sweden needs regulations that promote innovation, a public sector that keeps pace with developments and long-term investment in skills and research. By taking advantage of the opportunities offered by AI and digitalization, we can continue to strengthen our position as a technology nation and thus Sweden's prosperity and competitiveness.