The ICT Industry in Luxembourg: General Profile & Data
The Luxembourgish ICT market is considered to be mature and sophisticated but still open and innovative. The market is highly competitive but at the same time has opportunities for international trade, especially for small and medium-sized businesses.
Now, in 2020, the ICT sector is one of the most dynamic in Luxembourg, with a turnover of 35 billion euros the ICT sector contributes 10% of GDP per year.
The average net salary of a Luxembourgish web developer is estimated to be around 2545 EUR, with an hourly rate of 22EUR. This makes the Luxembourgish IT industry one of the most expensive in Europe but at the same time highly-qualified due to IT education investment and government policies that support this economic pillar and its continuous development
Why is it worth working with a Luxembourgish IT company?
Luxembourgish web agencies and IT companies provide the full range of services required on the market. But also, companies focus and tend to develop several specific IT branches that proved to be required both on the local and international markets. In this way, based on a study performed by Open Export Luxembourgish agencies are among the best in Europe in providing the following services:
Digital and Social Marketing
ICT for education
What to pay attention to when working with Luxembourgish-based agencies
As it was mentioned from the very beginning, the Luxembourgish IT industry is one of the most expensive in Europe. Also, Luxembourgish agencies like many western countries perform Business Process Outsourcing, by recruiting human resources and professionals from cheaper countries.
Are Luxembourgish Companies reliable?
As one of Europe’s most popular IT hubs, Luxembourg is reachable almost exclusively to companies that can invest and survive on the market. The tough competition within its borders and also in the region combined with high living prices created a favorable environment for either big or serious companies.
How Luxembourgish IT infrastructure relates to its neighboring countries?
Even though Luxembourg has a well-developed IT infrastructure and supports the presence of all types of business entries on the IT market, the neighboring country’s IT capacities make a good competition and create similar or even higher opportunities for ICT. According to the Entrepreneur, Germany, Netherlands, and France are the leading IT Hubs in Europe alongside Luxembourg, which makes the first three - a good alternative for IT startups and web projects.
Luxembourg still remains one of the most preferred and trusted countries in the world for IT innovation, web development, web design, and creative projects.
How ICT will evolve in Luxembourg in 2022?
Stability is the most descriptive word for the ICT industry in Luxembourg. Ever since it has become one of the leading FinTech countries in the world, the small but plentiful country focuses on developing and already fine-tuning its best branch. That's probably why we won't see in 2022 a totally different Luxembourg compared to previous years. This means that no huge number of IT companies won't come, or appear. Other tech capabilities that Luxembourg has, along with a well-integrated digital life have nothing to do than maintain the course. However, there is always something happening there, such as small tech events dedicated to startups, innovation, or entrepreneurship. So, the final verdict is Whatever changes Luxembourg's ICT sector, won't make it quick, and definitely not in 2022