The IT industry in the Netherlands is vibrant and thriving. The country has established itself as a major hub for technology and innovation, attracting both domestic and international companies. The IT sector in the Netherlands is characterized by a strong emphasis on cutting-edge technologies, digital transformation, and a progressive business environment.

Dutch state-of-the-art, 100% digital, advanced fiber-optic network, and competitive business climate support a strong community of startups and global IT companies. In fact, 60% of Forbes 2000 companies in the IT industry have already established operations in the Netherlands

The IT industry in the Netherlands has been steadily growing in the past few years. The sector recorded a turnover of more than EUR 34 billion, realized by 25,000 enterprises providing employment to 265,000 people. 

Why work with IT companies from the Netherlands

The IT sector of the Netherlands is characterized as an Innovative SME-driven software solution provider that responds to global trends with cutting-edge software solutions in climate change, aging, digitization, and increasing productivity and efficiency in businesses.

In addition a large number of sub-segments have been emerging in the sector, developments in the field of  Business Intelligence, Security, Social Collaboration, mobile and cloud applications, Software in the cloud as services (Saas), etc have been growing at much higher rates. 

But this is not everything. Here are some more reasons why you should work with NL IT companies and digital agencies according to the Future Forward Senior Mobile Marketing Manager  -Nebosja Gutesa:

• Access to local expertise: A local IT firm will be more familiar with the local market, culture, and business practices.
• Better communication: Because there are no language or time zone barriers to overcome, working with a local IT company can make communication easier and more efficient. 
• High-quality services: The Netherlands is known as a center of innovation and technology. Local IT firms are frequently at the forefront of these advancements, providing clients with cutting-edge solutions and services.
• Compliance with local regulations: The Netherlands has stringent data privacy and security regulations. You can ensure that your IT solutions are compliant with these regulations by working with a local IT company.
• Working with a local IT company is an excellent way to support the local economy and promote sustainability.

What to be aware of when working with Dutch IT companies

Being a part of one of the most developed IT ecosystems in the world comes with several challenges on both sides, for IT companies and for clients. It is well-known that Dutch IT companies are one of the most expensive in the IT market, having the second-highest hourly rate in the European web industry with an average of EUR 32/h. 

Since most of the IT companies from neighboring countries provide the same range of services for a lower price and probably at the same quality, Dutch IT companies are many times considered an alternative rather than a priority for most of the clients. 

How reliable are the Dutch IT companies

In terms of reliability, Dutch companies in the IT sector have a good reputation, especially in project management and service delivery mainly due to their wide experience and longstanding innovative spirit. 

Moreover, the Netherlands is appealing to international IT firms due to its advanced IT infrastructure, favorable business climate, and strategic location in Europe. The country has a competitive tax system, cutting-edge digital infrastructure, and a diverse workforce. Besides that, the Dutch government actively promotes innovation and entrepreneurship through a variety of policies and initiatives, including funding opportunities and favorable regulations - states Nebojsa Gutesa from Future Forward

However, the regional competition is tough and Germany, the UK, and France are in leading positions on market share and as well in terms of choice for potential foreign clients and investors, including multinational IT corporations. 

How does the Dutch IT industry relate to the neighboring countries?

 

In comparison to its neighboring countries, the Netherlands has a well-established and thriving IT industry. The country has a strong digital infrastructure as well as a talented workforce that is fluent in English.

In comparison to its neighbors, the Netherlands is known for its forward-thinking and innovative approach to technology. Several world-class universities and research institutions are located in the country, attracting top talent from across Europe and beyond.

Finally, the Netherlands has a favorable business climate and a well-established legal system, resulting in a stable environment for business operations.

The Business Environment in the Netherlands

According to Matias Rodsevich from PRLab - a leading PR Company from the Netherlands, the business environment is favorable. The country has a highly diversified economy, is open to global trade, and has a highly skilled workforce. The Netherlands has access to major markets with its central location in Europe. In addition, it is a member of the EU, which offers additional trade and investment opportunities.

In addition, Musa Toktas from Heraklet LLC a company established in Turkey, with an office in the Netherlands, states that the country also has a favorable tax regime and is home to many international companies, making it an attractive location for foreign investment.

The Ease of Opening An IT Company in the Netherlands

As Nebosja from Future Forward states, The business climate in the Netherlands is favorable for establishing a new IT company as a local entrepreneur. The country has a well-developed IT infrastructure and policies that encourage entrepreneurship. Furthermore, the Netherlands has a diverse and skilled workforce, making it an appealing destination for IT firms. In terms of regulations, registering a new business in the Netherlands is a relatively simple and efficient process. 

For foreign entrepreneurs, the Netherlands has two options - for EU, EEA, and Swiss citizens, which are all allowed to open a business in the country under the EU law. And the second option available for other foreigners, is getting a startup visa for entrepreneurs

Amsterdam and Eindhoven - among the best places in the Netherlands for IT businesses and professionals

Nebosja also considers that the Dutch capital, and also Eindhoven are the best cities to offer a comfortable business climate for IT businesses. He states the following: 

 

Two of the best cities for IT are Amsterdam and Eindhoven. But don't forget Rotterdam and Brielle as well. :)

1. Amsterdam is the largest city in the Netherlands and a global hub for business and technology.  The city has a highly educated workforce and a strong international orientation, making it an appealing location for IT firms seeking to expand globally.  Furthermore, Amsterdam has a highly developed IT infrastructure, including a high-speed fiber network, allowing businesses to easily connect with their customers and partners.
2. Eindhoven, on the other hand, is known for its strong technology and design industries. It has a highly educated workforce focused on engineering and technology.  The city also has a high quality of life and is regarded as one of Europe's most innovative.

 

This article was created together with prominent figures and professionals coming from reputable Dutch IT companies. Special credits: Musa Toktas, Matias Rodsevic, Nebojsa Gutesa