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More than $5 billion being invested in IoT in Dresden, Germany

International technology groups have invested more than $5 billion in high-tech hub Dresden, one of the facts highlighted by the organisers of the Semicon Europa event.

Dresden is strengthening its position as a centre for internet of things solutions.

Over the next several years, international technology groups and research institutions such as Globalfoundries, Infineon, Bosch, the Fraunhofer-Gesellschaft and the German Aerospace Center will be investing some €4.5 billion in Europe’s leading address for semiconductors. 

The funds will be used to promote the development and production of modern processors, sensors, 5G mobile communication modules and to develop new software tools and IoT platforms.

The investments are the result of the systematic growth in the “Silicon Saxony” ecosystem.


Dresden Mayor Dirk Hilbert, says: “This will make Dresden a leading location world-wide for IoT enabling technologies.

“Technologies and products that are used in IoT applications in industrial production, in new mobility solutions, in intelligent power grids or in the health-care sector, all come from Dresden.”

Examples of these trend-setting technologies include:

  • IoT optimised processors;
  • microelectronic mechanical systems including sensors and actuators;
  • embedded systems-on-chip;
  • specialised micro-controllers and high-tech memory;
  • power electronics;
  • data transmission communications modules;
  • technologies for energy harvesting; and
  • IT security and high-performance cloud computing or integration to create smart systems.

The Dresden-based companies and research institutions that make up the “Smart Systems Hub – Enabling IoT” represent a complete research and value-added chain for smart systems.

Attendees at the Semicon Europa productronica will have the opportunity to meet the players in the “Smart Systems Hub” on 15 November 2017.

With “Spotlight DoubleD: Smart Systems Hub – Dresden as a Global IoT Centre” as the theme, companies and research institutions will be showing their expertise in semiconductors, sensors, software for semiconductors and automation solutions as well as the new 5G mobile communications standard.

In April 2017, Dresden and Leipzig were accorded the status as locations within the Federal Ministry of Economics’ national digital hub concept.

The objective of the two hubs is to connect scientists, manufacturers and users in a focused manner.

Together, the objective is to take advantage of the enormous market potential of the internet of things in order to make rural and urban infrastructure more intelligent and to continue successful economic growth as a dynamic location for start-ups.

The Dresden-based “Smart Systems Hub – Enabling IoT” has set its sights on the integration of hardware, software and connectivity as the foundation for digital products and applications for the Internet of Things.

The Hub’s attractiveness is a function of the high concentration of exceptional partners from science and industry, innovative software and IT companies, creative start-ups, established networks and tech-friendly local and regional governments.

The Smart Systems Hub is led by a team with members from the business, scientific, political and government realms.

This also includes the City of Dresden which has dedicated staff to developing more efficient Hub structures.

Envisioned as an open innovation ecosystem, a Co-Innovation Centre – the new heart of the dynamic digital Hub – is being created on the campus of the TU Dresden, a recognised elite university.

The State of Saxony is investing some €100 million in this project.

Hilbert says: “Science and business will work hand-in-hand here and will transition scientific results into economically viable business models and spin-offs in a targeted fashion.

“Interested start-ups and technology groups may gain an overview of the broad range of offerings from participants in the Smart Systems Hub by means of so-called ‘Trails’.

“This will help them navigate to where they may find their place and make a contribution.”

New investment program from the City of Dresden supports innovate technology projects

Robert Franke, head of business development at the City of Dresden, says: “No other region in Europe brings together such a comprehensive array of technology expertise for the purpose of developing industry-specific IoT solutions.

“Dresden brings together critical success factors needed to help industrial players advance digital transformation using IoT-based technologies in a single location.”

At the same time, Saxony’s capital promotes innovation in Industry 4.0 applications related to the Smart City, modern energy systems of new materials.

“We specifically promote innovative products and technologies in Dresden. Our desire is to help them launch commercially and to make them usable for the city as well,” says Franke.

For 2017, funds of at least €350,000 are available for this purpose and development funds will total some €500,000 next year.

The investment program focuses on entrepreneurs, start-ups in the high-tech sector as well as small and medium-size enterprises along with research institutions and non-SMEs as part of corporate networks.

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