Italy sees rapid growth in AI and digital investment across firms, regions and government

The Politecnico di Milano’s Observatory of Professionals and Digital Innovation reports that Italian professional firms will spend €2.01 billion on ICT in 2025, a 3 % rise, with a further 4 % increase expected in 2026. Artificial‑intelligence tools are now used by 36‑47 % of firms, though larger offices adopt them more intensively and a digital gap remains between big and small practices. In Emilia‑Romagna, the Assintel Report shows 60 % of companies using basic digital tools, 23 % having partially digitalised processes and only 8 % with a fully integrated digital strategy. Cloud services are used by 69.7 % of firms (well above the national average) and 15.4 % have adopted AI platforms, with ChatGPT leading at 12.3 %. The main barrier cited is a lack of digital skills. A new documentary, “Made in China”, highlights that only one‑third of Italian companies have implemented AI and 76 % of SMEs have not invested in the technology, underscoring Italy’s lag in digital transformation. Government sub‑secretary for innovation Alessio Butti says Italy’s innovation agenda is internationally recognised, focusing on a European federated cloud, AI uptake and a quantum alliance with firms such as IonQ and D‑Wave, while also tackling youth brain‑drain and skill shortages. Smart‑working data from the same Politecnico observatory show 3.575 million agile workers in 2025, a 0.6 % increase, and highlight new AI‑enabled noise‑cancelling audio devices that support remote productivity. National AI adoption data reveal that firms with ten or more employees using AI rose from 8.2 % in 2023 to 16.4 % in 2024, with the Italian AI market valued at €1.24 billion in 2025 and projected to exceed €2.5 billion by 2028.