AI is increasingly becoming a core technology for innovation. It enables companies to develop new business models, increase productivity and accelerate scientific research. For Switzerland, the key question is no longer whether AI will shape innovation, but how quickly and effectively it can be integrated across the economy to maintain global competitiveness.

These insights come from the study “Accelerating innovation with AI in Switzerland” commissioned by Google and digitalswitzerland and conducted by Implement Consulting Group. Building on last year’s analysis, which estimated that AI adoption could increase Switzerland’s GDP by 11 per cent (CHF 80–85 billion) over the next decade, the study examines how AI can further accelerate innovation. It also highlights strategic AI initiatives that can strengthen Switzerland’s and Europe’s economic competitiveness.

The study identifies opportunities across three key dimensions:

AI as a driver of innovation

As a foundational technology, AI is transforming research and development. Integrating AI into R&D processes could create substantial growth momentum for Switzerland. By 2034, AI-driven innovation could contribute around CHF 15 billion annually, doubling the quality of solutions while increasing efficiency by 10 to 20 per cent. Although Europe currently lags behind the United States in R&D performance, AI offers a concrete opportunity to close this gap.

Developing and scaling AI solutions

The global AI market is expected to grow by 25 per cent per year, reaching approximately EUR 3.4 trillion by 2034. For Switzerland, the greatest potential lies in AI-based applications and services rather than large-scale foundation models. This aligns well with the country’s strengths in applied research, talent and a collaborative innovation ecosystem.

From innovation to market impact

Innovative digital companies play a central role in translating AI technologies into market-ready solutions. Switzerland is considered an OECD frontrunner in scaling and supporting innovative companies, providing a strong foundation for the competitive and responsible commercial use of AI. This position makes Switzerland a role model for other economies seeking to turn technological innovation into sustainable value creation.

Overall, the study shows that Switzerland’s AI innovation potential could unlock value creation of CHF 80 to 85 billion through the effective and responsible use of generative AI.