Finland - Country Commercial Guide
Information and Communication Technologies

This is a best prospect industry sector for this country.  Includes a market overview and trade data.

Last published date: 2022-07-24

5G and 6G Solutions 

Overview 

Finland is often called “the world’s telecommunications test laboratory.” The advanced nature of the Finnish telecommunications market has led to many services and technologies introduced in Finland much earlier than elsewhere in the world. As a result, many international companies use Finland as a test laboratory for experimental launches of new products and services before going global. 

In Finland, the government sets regulatory incentives and funds basic research. In 2019 the Ministry of Transport and Communications (Traficom), which is responsible for the operation of transport and communications markets and critical communications networks, prepared a digital infrastructure strategy with the goal of turning Finland into the world leader in communications networks by 2025 

To support the objective, Finland ranks second in the EU Digital Economy and Society Index (DESI), a metric for digital performance and digital competitiveness. The great performance is credited to excellence in digital public services and the integration of digital technologies, both enabled by public and private sector cooperation and active start up-scene. 

Other key figures supporting the great digital performance in Finland are a 99 percent 4G coverage and a 70 percent 5G coverage for households; 154 mobile broadband subscriptions per 100 people; 76 percent of population has basic or above basic digital skills; and a 67 percent 5G readiness, measured as the percentage of assigned harmonized 5G spectrum.  Key industry figures for 2019 are 77,000 employees and a revenue of $16.5 billion. Finnish companies are also quite far into the digital age. Nineteen percent of enterprises utilize big data and 75 percent utilize the cloud. Many Finnish companies are reported to be planning the evaluation of the benefits of 5G technology, automation, and AI. 

On 1 January 2021, the President of the Republic of Finland approved amendments to the Act on Electronic Communications Services. The objectives of the change included the improvement of the consumers’ position, the promotion of investments into communications networks and the availability of communications services.  The amendments also aim to ensure the security of communication networks. 

Telecommunications operators and their operations are regulated by Traficom. Regulations concern targeted communications, such as telephone, text message, broadband and email services, and mass communications, such as cable television, IPTV, terrestrial television, and radio services. Detailed information can be found at Traficom. Traficom promotes competition and seeks to reduce entry barriers in all telecommunication markets and guides the use of the spectrum.For telecommunications services either a license or a notification requirement is required. Finland’s Ministry of Transport and Communications or the Finnish Transport and Communications Agency grant these. 

Leading Sub-Sectors 

Broadband spectrum  

Fiber optics 

Mobile broadband technology. 

Opportunities 

Finland is a great launchpad to take 5G – and 6G – solutions global. Enabled by the strong network infrastructure and an innovative prospective partner pool, Finland has numerous 5G testbeds available for commercial use ranging from fully isolated 5G infrastructures to actual real-life test ranges.  Finland is currently one of the few markets where all the 5G bands; low, mid, and high frequency; that are available for use. This means Finland has the same mmWave capabilities as the United States, but 5G solutions also have access to the other spectrums currently unavailable in the United States allowing to fully explore the possibilities of 5G-enabled products. Even 6G solutions can already be prototyped in Finland. 

The 5G Test Network Finland (5GNTF) project, which consists of around 50 members from industry, academia, and the Finnish public sector, offers testing, trial and piloting services, and ample opportunities for collaboration within the ecosystem. With varying focus areas at different sites, 5GTNF can cover a large variety of vertical industry use cases by providing support for high data rates, low latencies, reliable communications, and massive number of devices. 5GTNF is a joint initiative between the Finnish public and private sector. 5G Momentum project is another one open for companies to participate in different trials and projects. To support industry in finalization of 5G there is also a 6G ecosystem. The 6G Flagship Program, steered by the University of Oulu, was the world’s first 6G research program, where opportunities vary from multi-partner projects to tailored company-focused projects. In addition, the leading European 6G research project Hexa-X is coordinated by Finnish telecommunications giant Nokia with participation from technology-focused universities in Finland. 

Finland has three main annual or bi-annual trade shows with heavy focus on ICT. The tradeshows are Teknologia in Helsinki, Slush in Helsinki, and Shift in Turku. Visit the tradeshow websites for the latest information. 

Resources 

Government procurement opportunity listing site depends on the value of the contract. Procurements over the EU threshold are listed on the Tender Electronics Daily. Procurements over a certain threshold are also listed on the national listings site HILMA. 

The Ministry of Transport and Communication 

Information 

Interested parties may contact Commercial Assistant, Frida Kuusiluoma, frida.kuusiluoma@trade.gov 

Cybersecurity 

Overview 

As a high-tech country, Finland has a need for cybersecurity solutions. This is evident by the market size, which a Finnish industry association, AlliedICT, estimates to be valued at EUR 1 billion in 2019 and growing annually. Government awareness and support is also strong, with the National Cyber Security Center (NCSC-FI) coordinating industry-specific working groups to engage private sector companies. The National Cyber Security Centre Finland (NCSC-FI) at Traficom has developed a certification process for the Cybersecurity label and it has been in use since 2019. Receiving the right to use the label requires that products meet the criteria set by the NCSC-FI. This will be verified by testing the devices. It also publishes publicly available monthly cyber weather reports with updates on key information security incidents and phenomena. The Finnish government has allocated a budgetary supplement of $42-58 Million from 2023 to 2026 to improve the performance of security officials and cybersecurity systems. Funding provides for procuring new devices and increasing personnel. 

While the number of cyber security incidents remains relatively low, the percentages in Police of Finland statistics show high growth rates especially in information systems interference, hacking and data protection crimes. Problems have increased particularly in construction, transportation and logistics businesses. 

Leading Sub-Sectors 

Cloud based access management  
Threat prevention and protection 
Quantum computing 

Opportunities 

As the official languages of Finland are Finnish and Swedish, cybersecurity solutions that work with these languages have an edge. Due to the high-tech nature of Finnish society, all cybersecurity solutions and components to help build such solutions have a market. As quantum computing develops there will be more need for quantum durable encryption solutions. Since cloud services are used more and more, those that can resist denial-of-service attacks (DoS) will likely see increased demand.  

Events: Cyber Security Nordic, 7-8 November 2023, in Helsinki. 

FinnSec, 11-12 October 2023, in Helsinki 

Artificial Intelligence (AI) 

Overview 

By successfully applying AI, Finland is expected to reach a $24-billion and 8 percent annual boost in GDP by the year 2023. With focused AI-based activities in business net employment is estimated to increase by up to 5 percent. The government sets regulatory incentives and funds basic research. 

Finland was among the first EU countries to create a national AI strategy with the goal of turning Finland into a leading country in the application of artificial intelligence. Based on the national AI strategy, the Ministry of Economic Affairs and Employment launched an Artificial Intelligence 4.0 program that will identify objectives and measures to promote digitalization in the country. The program focuses on the development and introduction of artificial intelligence and other digital technologies in companies. 

An increasing number of Finnish companies have incorporated AI into their strategy. According to a Nordic State of AI report Finland has the largest number of companies that use artificial intelligence in their businesses. Nineteen percent of companies utilize big data and 75 percent utilize the cloud. Many Finnish companies are reported to be planning the evaluation of the benefits of 5G technology, automation, and AI. 

Finland is a member of the EuroHPC Joint Undertaking and will host one of the three pre-exascale supercomputers. Finland is also a signatory of the Declaration on European Blockchain Partnership and the Declaration on Cooperation on Artificial Intelligence. The Ministry of Finance has appointed a strategic group to create a plan of the development and management of the national AuroraAI program with a desire to create a test version of the AI network and a further implementation plan between 2019 and 2023. 

Leading Sub-Sectors 

Machine learning 

Robotics 

Expert systems 

Evolutionary computation 

Neural Networks 

Vision 

Opportunities 

Finland offers great opportunities in the use of artificial intelligence and serves as an excellent platform for pilot projects Owing to its limited and single market,  neutrality, abundant technology resources, and legislative support. The fast-growing startup ecosystem is at the forefront of Finland´s renewal. Also, existing companies and public organizations have gone through a variety of structural reforms that open opportunities for the application of artificial intelligence. Finland has unique data repositories which makes an attractive operating environment for companies and researchers.  

Resources 

Finnish Center of Artificial Intelligence The Ministry of Finance 

The Ministry of Economic Affairs and Employment 

Information  

Interested parties may contact Commercial Assistant Frida Kuusiluoma, frida.kuusiluoma@trade.gov and Commercial Specialist Tiina.Ketela@trade.gov