Representatives of Tyrol’s tech and IT industry have called for lower payroll costs and a more attractive investment climate to sustain the region’s momentum as a growing hub for the sector.
The industry employs 7,500 people and generates an annual turnover of around €1.2 billion.
Strengths and Challenges
Clemens Plank, IT sector spokesperson for the Tyrol Chamber of Commerce, described the region as “fundamentally positive” but admitted it remained “ambivalent in some respects.” He highlighted Tyrol’s strong infrastructure and Innsbruck’s international reputation, which helps to attract talent. However, he warned that Austria’s payroll costs were prohibitively high.
He also called for greater investor support. “At present, when start-ups fail, investors cannot sufficiently offset their losses,” he said, adding that Germany offered far more favourable conditions.
A Budding Start-up Hub
Despite these challenges, efforts are already under way to improve investment conditions. Marcus Hofer, managing director of the Tyrol Location Agency, pointed to the recent launch of a new risk capital fund in partnership with a major investor.
The region already boasts Austria’s second-highest start-up density relative to its population. “We support businesses from concept to execution, but we also want to attract established firms,” Hofer said.
A Broader Economic Vision
Regional Economic Minister Mario Gerber stressed the need for more high-tech businesses to set up in Tyrol. “Alongside tourism and industry, we undoubtedly need more exciting and modern business activity,” he said. “Tyrol must broaden and further diversify its economic base.”
Stefan Engl, co-founder of AI automation firm DeepOpinion, said Tyrol was a strong location but acknowledged the importance of international investment. “It is, of course, also the case that we raise capital globally,” he said.
Quantum Tech and Global Recognition
Other industry leaders also backed Tyrol’s credentials. Andreas Idl, CEO of AI-driven coffee tech firm Cropster, said he had ended up in Innsbruck “almost by chance” but praised the city’s global reputation and its ability to attract skilled workers.
Magdalena Hauser and Wolfgang Lechner, co-founders of quantum computing firm Parity QC, expressed confidence in building their business from Europe. However, Hauser noted that Austrian firms struggled to access the levels of investment available in the US.
Quantum physicist and Nobel laureate Anton Zeilinger was instrumental in establishing Tyrol as a hub for quantum technology, Lechner added. “He laid the groundwork for this field with his pioneering work in Innsbruck,” he said.
