350 companies offer innovative technological solutions to improve public services in Catalonia

Catalonia is now home to 350 companies dedicated to GovTech, a sector focused on developing innovative technological solutions to enhance public services offered by the administration to citizens. In 2023, these companies generated €217 million in GovTech-related revenue and supported 2,196 jobs. These are the key findings from the study GovTech in Catalonia (.PDF document), conducted by the government through ACCIÓ-Catalonia Trade & Investment, the agency for business competitiveness belonging to the Ministry for Business and Labour, in collaboration with the Telecommunications and Information Technology Center (CTTI) and the i2CAT research center, both part of the Secretary's Office for Telecommunications and Digital Transformation of the Department of the Presidency.

The report was presented on Wednesday at the Smart City Expo fair, which also featured practical case studies from local institutions such as the Maresme Regional Council and the Vall de Boí City Council, alongside contributions from Catalan sector companies, Schumpit and eAgora.

GovTech refers to the use of innovative technological solutions to improve public services by making them more efficient, transparent, and citizen-focused. It represents an evolution from ‘Digital Government’ with a clear goal of improving citizen interactions with public administration services. This sector creates a collaborative ecosystem among public entities, companies, academia, and civil society, where SMEs, startups, digital scale-ups, and integrator companies offer new solutions that are ultimately acquired and implemented by administrations.

In Catalonia, most companies (40% of the total) are engaged in operational and intelligent management technologies that enhance public employee efficiency. Another 32% focus on digital infrastructure, encompassing both the hardware and software that sustain digital operations. The sector also includes firms dedicated to public service provision (27%) in areas such as health, education, security, and mobility. Lastly, 1% of GovTech companies work on democratic quality, developing technologies aimed at reinforcing and improving the democratic system to make it more transparent and participatory.

Over half of these firms, 55%, have been operating for more than a decade, and a majority, 51%, are exporters. Nearly two-thirds (59%) make use of artificial intelligence, the Internet of Things, and cybersecurity as core technologies, and 37% of the sector are startups.

In terms of applications, 28% of companies provide cross-sector solutions, 23% supply services to improve infrastructure, 17% focus on smart city solutions, and 16% cater to the health and social services sectors. Other notable GovTech solution areas include sustainability and the environment, mobility and transport, agrifood and industry, and safety and emergency services. Notably, 350 of these firms have provided services to over 700 Catalan public institutions.

Technologies driving a global sector on the rise

In terms of technologies, the study highlights that areas such as 5G, blockchain, cybersecurity, drones, artificial intelligence, immersive technologies, ‘new space’, and digital health will shape the future of GovTech.

Globally, the GovTech market is expanding rapidly, with current valuations exceeding $600 billion and projections to reach $1 trillion by 2025. Additionally, 154 GovTech programs and initiatives have already been launched by public entities worldwide to innovate public service delivery.

The GovTech Catalunya program

One of these initiatives is GovTech Catalunya, launched by the Secretary's Office for Telecommunications and Digital Transformation to transform public administration through innovation. In 2024, this program introduced its first innovation project competition, titled “Revolutionizing Digital Access to Government Information”.

During the report presentation, Dani Marco, the innovation director of CTTI, introduced this program, which aims to revolutionize public services digitally. To do so, the Catalan government has called upon the digital ecosystem to seek innovative solutions for five distinct projects. The total funding for this first competition, covering prizes and pilot project development, amounts to €220,000.