Information and communications technology in North Rhine-Westphalia Facts. Figures.

www.nrwinvest.com Information and communications technology in North Rhine-Westphalia Data: as at September 2018 2

Information and communications technology in North Rhine-Westphalia

Facts & figures

In North Rhine-Westphalia (NRW), information and communications technologies (ICT) are driving the digital transformation of the entire economy. This is where entrepreneurs, researchers and investors, find the ICT know-how to help shape the development of Industry 4.0. With its innovations, the NRW’s ICT sector pro- vides new opportunities for value creation and employment and is itself an eco- nomic heavyweight. No other federal state has such a high density of companies in this sector, ranging from medium-sized IT companies to software start-ups and telecommunications giants.

The nearly 23,700 ICT companies in the state employ more than 215,400 people and generate sales of 103 billion euros (2016). This corresponds to almost 15.4 percent of NRW's gross domestic product. The IT sector alone, with over 21,400 companies and almost 183,000 employees, has sales of over 46 billion euros.

The state's IT companies include international market leaders such as Atos, Com- putacenter, Itelligence or Materna. NRW is also the top telecommunications indus- try location in . Four big players in the telecoms industry – Deutsche Tele- kom, Ericsson, Huawei Technologies and Vodafone – are based along the Rhine. In 2016, the telecoms sector in NRW generated more than 54 billion euros in sales with a workforce of over 32,000 employees.

In order to ensure that the state remains a competitive location in the future, the integration of ICT and intelligent products as well as production and service pro- cesses is being promoted – "Cyber Physical Systems" (CPS). Through the coupling of information and communication technologies as well as embedded systems in CPS, hitherto separate industries, disciplines and social areas are net- worked with each other.

The most important technologies currently being discussed and promoted world- wide – and also in NRW – are artificial intelligence (AI), the next mobile commu- nications standard 5G, IT security technologies and block chain.

 Artificial intelligence technologies are said to have considerable growth potential: McKinsey forecasts an increase in Germany's gross domestic product of up to four percent by 2030 – approx. 0.25 percentage points or ten billion euros per year. The strong NRW’s industries and fields of appli- cation Industry 4.0, Smart Energy, autonomous driving and Smart Health can benefit greatly from this. This goal is for NRW to occupy a leading posi- tion in global competition as a research and business location. To this end,

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the state government has been funding a "Competence Network for Arti- ficial Intelligence" since September 2018. In addition, in 2018 the Federal Government established one of a total of four AI competence centers in NRW: The "Competence Center Machine Learning Rhine-Ruhr - ML2R" is characteristic of cutting-edge research in NRW, promotes young talent and strengthens technology transfer among companies.

 The fifth generation of mobile communications (5G) is bringing about a par- adigm shift: By significantly increasing the speed of data transmission to up to 10,000 MBits/s with significantly lower energy consumption, very low la- tency times and the possibility of processing significantly more network sub- scribers, considerable new potential is arising not only for the telecommuni- cations industry, but also for almost all branches of industry. For the year 2035, 5G is attributed a leverage of 12.3 trillion US dollars and the global 5G value chain is expected to create 22 million jobs with 3.5 trillion US dol- lars. The economic and industrial structure in NRW offers great potential for the use of 5G technologies, especially in the area of Industry 4.0. In addition to research institutions, the companies E.ON SE, Deutsche Telekom with the 5G House in Bonn, Vodafone GmbH with a 5G Lab in Düsseldorf and Ericsson with its Eurolabs are addressing the topic in very concrete terms in NRW. The "5G Mobility Lab" was opened at the Aldenhoven Testing Center in September 2017.

 NRW is one of the hotspots for IT security in Germany. Currently, around 700 scientists are working at 20 research institutions and universities in the field of IT security. NRW-wide there are more than 400 IT security compa- nies, including both big players and numerous SMEs. The most important research institutions are the Horst Görtz Institute for IT Security (HGI) of the Ruhr University, which is recognized throughout Eu- rope, the "Casa" research association at the Ruhr University Bochum and the ifis Institute for Internet Security of the Westphalian University of Applied Sciences. In 2018 the decision was made to establish a new Max Planck In- stitute for Cyber Security and Privacy in Bochum.

 With block chain technology, data can be stored and transmitted securely and traceably. By 2027, a total of ten percent of the world's gross domestic products could be processed via a block chain. In the course of the publication of its Digital Strategy 2018, the state govern- ment of NRW presented the plan to establish a block chain institute in NRW in order to support the economy and the public sector in the implementation of future technologies.

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Foreign trade

At EUR 21.4 billion, ICT imports to NRW accounted for 18.7 percent of nationwide imports (2017). Again, almost half of the imports come from China. ICT exports also increased, rising to just under EUR 8.7 billion. The main customer country was China, which purchased around 11 percent of NRW's ICT goods, followed by France (7.6 %) and the USA (6.8 %).

Customers (in %) Suppliers (in %)

Source: IT.NRW, foreign trade statistics for North Rhine-Westphalia; position as at: 2017

Regional concentration

Aachen Region  IT and cloud computing for efficient business processes  Mobile computing and embedded systems  Big data and energy industry informatics

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Bergisches Städtedreieck  Quality assurance and quality management systems  ICT for smart vehicles and energy grids

Münsterland  IT applications and infrastructure for the strong regional insurance and finance sector  Center of competence for geoinformatics  E-health  E-business process and enterprise content management

Lower Rhine  Microelectronics and microsystems technology for networked systems  Cross-innovative ICT research and development

Ostwestfalen-Lippe  Intelligent technical systems  Cloud computing, virtualization and social media for digital companies

Düsseldorf and /Bonn Region  Telecommunications & mobile  Internet economy, cloud computing, big data  Strong ICT start up scene

Ruhr Metropolis  IT services from security to ecommerce  Software engineering  Games

Südwestfalen  ICT for the manufacturing industry

Companies

Information technology (selection)

 Atos Information Technology GmbH, Essen Established: 1995; sales: €12.7 billion; employees: 97,000, 12.000 (Germany- wide) Atos is a leading provider of digital services with seven locations in NRW. Atos supports companies worldwide with consulting services and systems in- tegration, managed services & business process outsourcing (BPO) as well as cloud, big data and security solutions.

 Computacenter AG & Co. oHG, Kerpen Established: 1984; sales: €2.0 billion; employees: 6,200 (Germany-wide)

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The German subsidiary of Computacenter plc/England is a service provider for Internet and information technology for large corporations. Computacenter ad- vises companies and other organizations on their IT strategy and delivers com- plete customer-specific computer networks including hardware.

 Itelligence AG, Bielefeld Established: 2000; sales: €872 million; employees: 7,000 As a leading full-service IT provider, the company is one of the most success- ful SAP consulting firms worldwide. The range of services extends from SAP strategy consulting and licensing to proprietary SAP industry solutions and ap- plication management and hosting services.

 Materna GmbH, Dortmund Established: 1980; sales: €254 million; employees: 2,000 Materna is a pan-European company in the field of IT services and covers the entire spectrum of services offered by a full-service provider in the premium segment, from consulting to implementation and operation.

Telecommunications (selection)

 Deutsche Telekom AG, Bonn Established: 1995; sales: €83.0 billion; employees: 217,000 (worldwide) Deutsche Telekom is one of the world's leading integrated telecommunications companies with more than 168 million mobile customers worldwide (over 42 mil- lion of them in Germany), 28 million fixed-network lines and over 19 million broadband lines.

 Ericsson GmbH, Düsseldorf Established: 1991; sales: €700 million; employees: 1,800 The company is a leading supplier of mobile and fixed network systems and corporate networks. In March 2018, the Ericsson IoT Business Lab was opened in Herzogenrath near . Its research focus is on the Internet of Things (IoT) networked by state-of-the-art mobile communications.

 Huawei Technologies Deutschland GmbH, Düsseldorf Established: 2001; sales: €1.4 billion; employees: 828 Huawei is a leading global provider of telecommunications solutions. The port- folio includes network infrastructure, software, as well as mobile devices such as smartphones or tablet PCs. The European headquarters is located in Düs- seldorf.

 Vodafone GmbH, Düsseldorf Established: 1999; sales: €10.3 billion; employees: 13,500 Vodafone Deutschland is the first fully integrated communications group in Germany. The company provides consumer and business customers with products and services in the areas of mobile communications, fixed-network, data services and broadband Internet and supplies just under 46.5 million mo- bile communications and 7.7 million fixed-network customers.

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University & research landscape

Universities (selection)

In the winter semester 2017/2018, more than 87,000 students were en- rolled in computer science, electrical engineering and information technol- ogy.

 RWTH Aachen University Established: 1870; students: 45,429 (of which computer science: 3,413); courses: 167 With approx. 30 chairs and institutes, the Computer Science Department of- fers a very wide range of courses ranging from IT security and computer- aided learning to software engineering. Once again, first place in the CHE University Ranking 2018 as the best university in the field of computer sci- ence.

 Technical University Dortmund Established: 1968; students: 33,548 (of which computer science: 5.052); courses: 231 The Faculty of Computer Science in Dortmund was one of the first university computer science institutions in Germany. Today, it is one of the largest com- puter science faculties in Germany and offers a wide range of subjects. The In- formatik Centrum Dortmund e.V. (ICD) is available to companies from all eco- nomic sectors.

 Heinrich Heine University Düsseldorf Established: 1965; students: 36,100 (of which computer science: 5,100); courses: 78 Established in 2002, the subject computer science at the Faculty of Mathema- tics and Natural Sciences is well networked with its focus on bioinformatics in the central research area "Life and Biosciences" of the university. Dusseldorf's computer science is characterized by its special activities in the field of research – with participation in various European and German research networks.

 University of Hagen Established: 1974; students: 63,594 (of which computer science: 11,352); courses: 29 The Faculties of Mathematics and Computer Science as well as Economics of- fer distance students degrees in Computer Science and Business Informatics up to PhD and post-doctoral qualification.

 University of Paderborn Established: 1972; students: 20,140 (of which computer science: 2,170); courses: 226 At the "University of the Information Society" more than 15 computer science

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chairs offer a wide range of specialization options for Bachelor's and Master's degree courses – from didactics in computer science to computer networks, codes and cryptography.

Courses (selection)

University Course  Computer Science, B.Sc., M.Sc. RWTH Aachen  Electrical Engineering, Information Technology University and Computer Engineering, B.Sc., M.Sc.  Computer Science, B.Sc., M.Sc. Technical University  Applied Computer Science, B.Sc., M.Sc. Dortmund  Teaching Computer Science, B.Sc., M.Sc.  Data Analysis, Data Science, B.Sc., M.Sc. Heinrich Heine  Information Science, B.A., M.A. University Düsseldorf  Computer Science, B.Sc., M.Sc.  Computer Science, B.Sc., M.Sc. University of Hagen  Practical Computer Science, M.Sc.  Business Informatics, B.Sc. M.Sc.  Computer Science, B.Sc., M.Sc. University of Paderborn  Business Informatics, B.Sc., M.Sc.  Teaching Computer Science, B.S., M.Sc.

Research institutes (selection)

Eight Fraunhofer Institutes based in NRW conduct research in the ICT sector. One focus of ICT research is in Sankt Augustin. The Fraunhofer Institutes there analyze, research and develop user-oriented information cooperation and simula- tion systems:

 Fraunhofer Institute for Applied Information Technology FIT Established: 1968; employees: 160; www.fit.fraunhofer.de

 Fraunhofer Institute for Intelligent Analysis and Information Systems IAIS Established: 2006; employees: 250; www.iais.fraunhofer.de

 Fraunhofer Institute for Algorithms and Scientific Computing SCAI Established: 1992; employees: 154; www.scai.fraunhofer.de.

There are two more Fraunhofer Institutes operating in Dortmund:

 Fraunhofer Institute for Software and Systems Engineering ISST Established: 1992; employees: 70; www.isst.fraunhofer.de With its Digital Business Engineering model, the ISST is able to support com- panies with their digital transformation.

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 Fraunhofer Institute for Material Flow and Logistics IML Established: 1981; employees: 540; www.iml.fraunhofer.de The IML is regarded as the prime address in holistic logistics research.

The Fraunhofer Institutes in Aachen, Bonn and Duisburg research and develop pilot products for users from all areas of commerce, industry and administration:

 Fraunhofer Institute for Production Technology IPT, Aachen Established: 1980; employees: 450; www.ipt.fraunhofer.de

 Fraunhofer Institute for Communication, Information Processing and Er- gonomics FKIE, Bonn Established: 1963; employees: 415; www.fkie.fraunhofer.de

 Fraunhofer Institute for Microelectronic Circuits and Systems IMS, Duisburg Established: 1984; employees: 253; www.ims.fraunhofer.de

The Paderborn Fraunhofer Institute researches the development of intelligent products, production systems and services for Industry 4.0:

 Fraunhofer Institute for Mechatronic Systems Design IEM Established: 2011; employees: 100; www.iem.fraunhofer.de

Clusters & networks (selection)

 CPS.HUB NRW, www.cps-hub-nrw.de As an innovation engine for digital transformation, CPS.HUB NRW – Compe- tence Center for Cyber Physical Systems is driving the further development of the technological basis for intelligent networked systems. It addresses im- portant future topics such as smart computing, machine learning and artificial intelligence, IT security and 5G. In the CPS.HUB NRW, the existing knowledge and the specialist discipline-specific competence are merged and further developed together.

 BITKOM Network NRW, www.bitkom.org Germany's largest high-tech network and the state of NRW are working to- gether to promote the further development of forward-looking ICT topics in NRW. Complex networked ICT systems, Cyber Physical Systems and their deployment, e.g. in Industry 4.0 and the Smart Grid, are the focal points of the joint activities. The network has around 300 members.

 DWNRW-Hubs, www.digitalewirtschaft.nrw.de The DWNRW hubs in Aachen, Bonn, Düsseldorf/Rhineland, Cologne, Mün- sterland and the Ruhr Area support local activities with regard to the local es- tablishment of incubators for the digital economy and their supraregional net- working and cooperation. They serve as a central point of contact for start- ups in order to provide these facilities for settlement with start up financing

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and access to a relevant network, as well as the necessary (human) re- sources and industrial contacts. The aim of the DWNRW networks is to bring together the actors from start-ups, medium-sized companies and large enter- prises and to facilitate exchanges of an operational and/or financial nature.

 eco – Association of the Internet Industry, www.eco.de With more than 1,000 member companies, eco is the largest association of the Internet industry in Europe. Since 1995, the association, headquartered in Cologne, has been helping to shape the development of the Internet in Ger- many, promoting new technologies, infrastructures and markets and deter- mining framework conditions.

 it’s OWL – Intelligent Technical Systems OstWestfalenLippe, www.its-owl.de More than 180 companies, universities and other partners have joined forces in the technology network. Named a leading-edge cluster by the Federal Min- istry of Education and Research, 47 research projects are developing intelli- gent technical systems and Industry 4.0 is becoming reality.

 Competence Network for Artificial Intelligence NRW aims to become a leading region in the fields of data science, machine learning and AI. The competence network will hugely expand excellent re- search, technology transfer for companies and academic education and train- ing. To this end, the state cooperates with the Fraunhofer Institute for Intelli- gent Analysis and Information Systems IAIS in Sankt Augustin, which coordi- nates competencies in the field of artificial intelligence at important locations (Bonn region, Rhein-Sieg district, Aachen, Bielefeld, Bochum, Düsseldorf, Dortmund, Jülich, Münster, Paderborn, Siegen and Wuppertal).

 networker NRW, www.networker-nrw.de The association, founded in 2000, provides a network of personal contacts for entrepreneurs from the IT and media sectors and stands for information, co- operation and partnership; it has 190 members.

Trade fairs & events (selection)

 ANGA COM, Cologne; www.angacom.de; next dates: June 4-6, 2019; frequency: annual With 500 exhibitors and almost 22,000 participants (2018), ANGA COM is Eu- rope's leading business platform for broadband and content providers. The ex- hibition and congress program are aimed at network operators, manufacturers, service providers, program providers, consulting firms, public authorities and other institutions in the telecommunications and media industry.

 dmexco, Cologne; www.dmexco.de; next dates: September 11-12, 2019; frequency: annual dmexco is since 2009 the world's leading trade fair and conference for the digital economy. A unique combination of trade fair and conference, it stands

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for innovative and forward-looking developments and trends. It offers the larg- est selection of current economic trends, growth strategies, product innova- tions and creative diversity in a variety of formats every year.

 EuroCIS, Düsseldorf; www.eurocis.com; next dates: February 19–21, 2019; frequency: annual The EuroCIS trade fair is the international trade fair for information technology and security in retail – "Retail Technology". In 2018, 470 exhibitors from 29 countries presented their latest retail-specific solutions and the latest status of the IT future.

 IT Security Day NRW, Wuppertal; www.it-sicherheitstag-nrw.de; next dates: December, 2019; frequency: annual The IT Security Day is a specialist congress focusing on data, information and IT security. It is organized by the chambers of industry and commerce in NRW. It is aimed specifically at small and medium-sized companies.

 M2M Summit, Cologne; www.m2m-summit.com; next dates: tba; frequency: annual The M2M Summit is a congress trade fair for the intelligent networking of sys- tems and devices. Around 60 exhibitors will present their latest trends and technical innovations in machine-to-machine communication at the M2M Summit in Cologne. In addition, particularly interesting solutions will be pre- sented to visitors on topical guided tours through the exhibition.

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Imprint

NRW.INVEST GmbH Economic Development Agency of the German State of North Rhine-Westphalia (NRW) Völklinger Straße 4 40219 Düsseldorf, Germany

Phone: +49 211 13000-0 Fax: +49 211 13000-154

E-mail: [email protected] www.nrwinvest.com

in cooperation with:

CPS.HUB NRW SIKoM – University of Wuppertal Campus Freudenberg Rainer-Gruenter-Str. 21 42119 Wuppertal, Germany

Phone: +49 202 439-1026 Fax: +49 202 439-1037

E-mail: [email protected] www.cps-hub-nrw.de