German Chancellor Friedrich Merz described the digital transformation as an “epochal change” involving a major shift in power and resources, and said politics should respond with care and respect for human values. But at the government’s 2026 Digital Summit, the discussion largely returned to AI as a means of boosting productivity and economic growth, according to the commentary on the event.

Merz presented AI as a general-purpose technology capable of automating solutions across research, business and society. The speech did not explain how that confidence could be reconciled with a human-centred approach in light of language models’ errors, hallucinations and biases.

A report published by the government’s AI Taskforce similarly describes AI as a defining technology of the 21st century. It argues that AI could help revive sluggish growth, improve efficiency in an ageing society and address labour shortages. The taskforce urges rapid action, warning that Germany has at most 18 months to set key priorities before falling behind in the global AI race.

The government is pursuing a two-track approach: relying in the near term on leading AI models from US companies while also seeking to develop German language models that could compete with overseas frontier AI. The commentary notes that Germany’s prospects are uncertain and that the government is investing only a fraction of the capital spent by US companies on AI development.

Government and business representatives also called for data silos to be opened and regulations eased. At EU level, the government wants to weaken the General Data Protection Regulation, which could allow AI providers to train language models on personal data. The commentary argues that loosening privacy protections would benefit companies, particularly major providers in China and the United States, while putting people’s rights at risk.

Digital Minister Karsten Wildberger said that Germany could achieve a comeback only by embracing AI. The commentary says this economic imperative set the summit’s agenda, leaving little room for debate about how the shift in power and resources identified by Merz should be shaped politically. It also points to the limited presence of civil society and says issues such as the environment, work, education and consumer protection were addressed only at the margins.

Sources: netzpolitik.org.