Can Switzerland unlock the next phase of AI-driven growth?

As AI use rises across Switzerland, cybersecurity, digital sovereignty and trust are becoming critical to future competitiveness.

In brief

• AI is entering mainstream use in Swiss companies, but most organizations are still in early phases of scaling beyond pilots and isolated business use cases.
• Digital sovereignty and cybersecurity are becoming critical requirements for trusted AI deployment and growth.
• Swiss businesses want to see investment in AI skills and sovereign digital infrastructure to strengthen competitiveness.

Artificial intelligence is no longer an emerging technology in Switzerland. It has become part of everyday business life. Nearly nine out of ten employees at companies across Switzerland surveyed by EY report using AI tools in their daily work, whether through integrated workplace assistants such as Microsoft Copilot and Google Gemini, enterprise-grade AI platforms or internally developed solutions. The question for Swiss companies is no longer whether to adopt AI. The question is how to scale it responsibly, securely and strategically.

The latest Swiss edition of the EY AI survey paints a picture of a country that has embraced AI faster than many expected. Yet beneath the impressive adoption figures lies a more complex reality. While AI is becoming ubiquitous, many organizations remain in the early stages of turning isolated use cases into enterprise-wide transformation. At the same time, concerns around cybersecurity, data protection and digital sovereignty are rapidly moving to the focal point of business strategy conversations.

This shift matters not only for individual companies but for Switzerland as a whole. As one of the world’s leading business locations, Switzerland’s future competitiveness will increasingly depend on its ability to provide a trusted environment for AI innovation while maintaining the high standards of security, privacy and regulatory certainty that have long distinguished the country.

This gap between adoption and transformation highlights the next challenge for Swiss companies. Deploying AI tools is relatively straightforward. Redesigning processes, creating new business models and embedding AI into the fabric of an organization is far more complex.

Many organizations have successfully taken the first step toward adopting AI. The real challenge now lies in transforming isolated use cases into scalable, company-wide transformation. Nearly one-third are still conducting pilot projects and proof-of-concept initiatives. Another 14% have not yet launched concrete AI programs. The initial enthusiasm surrounding AI has generated momentum, but sustainable value creation requires a deeper level of integration.

The hidden risk behind rapid adoption

The rapid spread of AI tools also introduces a new set of risks that many organizations are only beginning to confront.

One particularly noteworthy finding is that 29% of respondents say employees are allowed to use private AI accounts such as ChatGPT within their companies. For 8%, these personal accounts represent the only available means of accessing AI tools at work.

While this approach may accelerate experimentation and innovation, it also raises important questions about governance, security and control. When employees use personal AI accounts, organizations often have limited visibility into how company information is processed, stored or shared. Sensitive business data may inadvertently leave controlled corporate environments and enter external systems that are beyond the organization’s direct oversight.

This challenge illustrates why cybersecurity and data governance can no longer be treated as separate discussions from AI adoption. As AI systems become more deeply embedded in business processes, they increasingly interact with sensitive intellectual property, customer information, financial records and strategic data. Every AI interaction potentially creates a new point of exposure. The benefits of AI are significant, but so are the consequences of inadequate safeguards.

For Switzerland, whose economy is built on trust, precision and reliability, this issue is particularly important. Industries such as banking, insurance, pharmaceuticals, healthcare and advanced manufacturing depend on strict confidentiality and strong security controls. The country’s reputation as a secure place to do business has been cultivated over decades. Maintaining that reputation in the AI era will require equally strong digital safeguards.

Digital sovereignty has become a strategic business issue

Perhaps the clearest message emerging from the survey concerns digital sovereignty.

More than half of respondents say it is business-critical that AI systems comply with Swiss or European data protection requirements and that data processing takes place within Switzerland or the European Union. Respondents assigned an average importance rating of 8.7 out of 10 to local data processing and adherence to regional data protection standards.

This is not merely a matter of compliance with regulations. It is a strategic business concern. As organizations increasingly rely on global technology platforms, questions surrounding data location, data ownership and control over information flows become more significant. Companies want assurance that their data remains subject to predictable legal frameworks and that they retain visibility into how information is used.

For Swiss businesses, digital sovereignty represents a competitive advantage. Clients, partners and investors often choose Switzerland because of its strong legal framework, political stability and commitment to privacy. Extending these strengths into the digital economy offers an opportunity to differentiate Switzerland from competing business locations.

The survey findings suggest that businesses recognize this opportunity. A large majority of 56% support investments in sovereign Swiss AI infrastructure, including domestic cloud and computing capabilities. This level of support reflects a growing understanding that digital infrastructure is becoming as strategically important as physical infrastructure.

In the AI era, access to secure computing resources and trusted data environments may prove just as important as transportation networks, financial systems or energy grids.

The workforce impact remains uncertain

The impact of AI on employment remains one of the most closely watched aspects of the technology’s development.

The survey suggests that the reality is more nuanced than many public discussions imply. While 7% of respondents report that AI has already contributed to job reductions and 11% say vacant positions are no longer being refilled because of AI, the technology is also creating new opportunities.

Some 18% of respondents indicate that their organizations have created new AI-related positions, including roles in data science, AI engineering and related disciplines.

Perhaps most telling is the fact that 42% of respondents were unable to clearly assess AI’s workforce impact or chose not to answer. This suggests that many companies are still navigating the early stages of transformation and have yet to fully understand the long-term implications.

What is already clear is that skills development will play a decisive role. Respondents identified expanded education and training opportunities as the single most important measure for strengthening Switzerland’s position in the AI economy.

The challenge is not simply adopting new technologies. It is ensuring that employees possess the capabilities needed to use them effectively, securely and responsibly.

Trust will determine the next phase of AI adoption

The survey reveals growing confidence in AI among Swiss professionals. Most respondents use AI as a support tool, while nearly half already trust it for selected technical or factual tasks. Interestingly, 40% report that under certain circumstances they consider AI-generated answers more reliable than information gathered manually.

This growing trust reflects increasing familiarity with the technology. Yet it also underscores the importance of maintaining high standards for transparency, security and governance.

Trust is easy to lose and difficult to rebuild. A major data breach, misuse of sensitive information or failure to comply with regulatory requirements could undermine confidence in AI adoption across entire sectors.

That is why cybersecurity and digital sovereignty should be viewed as essential prerequisites for sustainable innovation. They create the conditions under which organizations can confidently expand AI use while protecting customers, employees and critical business assets.

Building Switzerland’s next competitive advantage

Switzerland stands at an important crossroads. The country has already demonstrated strong AI adoption across its economy. Businesses are experimenting, investing and increasingly integrating AI into everyday operations. Yet the next phase will require more than technological enthusiasm.

Success will depend on secure digital infrastructure, sovereign data capabilities, a highly skilled workforce and a regulatory environment that fosters innovation while maintaining trust. As AI becomes a strategic pillar of economic growth, expectations of policymakers are rising. Stakeholders are looking for clear priorities and targeted measures that can strengthen Switzerland’s position as a trusted and globally competitive AI hub.

The encouraging news is that Swiss policymakers and businesses appear to understand these priorities. That said, the global race for AI leadership is often framed as a competition over models, computing power and investment capital. For Switzerland, the opportunity may lie elsewhere. The country’s most valuable differentiator could be its ability to offer something increasingly scarce in the digital age: trust.

Business leaders, policymakers and technology providers now have an opportunity to build an AI ecosystem that combines innovation with security, performance with sovereignty and growth with responsibility. If Switzerland succeeds, it will not simply adapt to the AI era. It will help define what trusted AI leadership looks like for the rest of the world. The time to invest in that foundations is now, before today’s adoption wave becomes tomorrow’s competitive divide in the new AI world order.