Emerging Technology Investment in Romania

The workforce in Romania has gradually increased over the years, but the tech sector stands out for its fast rate of expansion.

Romania’s tech workforce has shown impressive momentum, with strong growth visible in both the short and long-term. Between 2014 and 2023, the country’s overall workforce grew by 19%, while the number of employees in the tech industry surged by an extraordinary 188%. This sharp contrast highlights the sector’s expanding role in the economy and its ability to attract and retain talent at a significantly faster rate than the national average. 

Emerging Technology Investment in Romania examined the implementation levels of ten technologies within Romanian businesses. Its aim was to assess how widely these technologies have been adopted and to identify the factors that either encourage or hinder investments.

The study looks at five levels of implementation:

1. Not implementing, 2. Planning to invest, 3. Testing, 4. Adopting and 5. Fully implemented.

The ten emerging technologies analyzed are: Cloud Technology, Artificial Intelligence (AI), Cybersecurity, Renewable Energy, Augmented Reality (AR / VR), 5G Technology, IoT (Internet of Things), Robotics & Automations, Blockchain and Advanced Reporting & Analytics.

The study is highlighting a clear trend - businesses in Romania are more likely to fully implement a mature technology, with cloud technology leading the way. Currently, 41.6% of companies have fully integrated cloud solutions into their operations. Cloud is followed by a group of emerging technologies with strong future potential, most notably Artificial Intelligence (AI). While full integration is still limited, a growing number of companies are actively testing AI solutions, incorporating them into pilot programs, or planning investments. This shows a shift among businesses, that begin to recognize the power of these technologies and prepare to scale them across the whole business in the years to come.

Barriers for investing in emerging technology

As organizations work to adopt emerging technologies, they face a number of critical challenges. The most cited challenge is the shortage of skilled professionals to implement emerging technologies effectively (61%). This concern is not surprising. A significant 76% of respondents believe the education system falls short in preparing talent. The gap between advancement of emerging technologies and workforce readiness could expand, making talent acquisition and upskilling essential priorities for companies aiming to stay competitive and drive innovation.

Drivers for investing in emerging technologies

Despite existing challenges, over two thirds of respondents say their companies are focused on emerging technologies, recognizing their potential. 

Companies invest in emerging technologies with a clear focus to boost productivity, drive innovation and reduce cost. For many organizations, these emerging technologies are not just tools, but they are enablers of growth and offering new ways to create value. While operational improvements rank slightly lower, it plays and important role in justifying these investments. 

Across all revenue segments, the improvement of productivity is the primary driver for the investment in emerging technology. Smaller businesses with an annual revenue under EUR 10 million (75%) are more focused on enhancing products and services than larger firms with an annual revenue of over EUR 50 million (67%).

The study shows that cloud technology, AI, and cybersecurity stand out as the top three technologies that are important for the next five years, with over 80% of respondents recognizing their importance. The top three technologies are essential for driving overall business improvement, enhancing efficiency, and fostering innovation. Cloud technology serves as a foundation for many of the other nine emerging technologies, making it a central enabler of digital transformation. Artificial intelligence and advanced analytics are complementary, which can speed up decision making. As cloud and AI adoption will grow, so will cybersecurity threats requiring strong protective measures, a trend that companies in Romania understand.

Romania’s strong digital infrastructure, coupled with a growing tech workforce, presents a unique opportunity to accelerate the implementation of these technologies. The data indicates that while mature technologies like cloud computing and cybersecurity have gained substantial traction, emerging fields such as blockchain and augmented reality remain underutilized. Investment trends suggest a clear focus on leveraging AI, automation, and data analytics to drive productivity, optimize decision making, and foster long-term competitiveness. However, challenges remain. The shortage of skilled professionals who fully understand these technologies, financial constraints, and the need for more transparent regulatory frameworks are significant barriers to widespread technology adoption. Overcoming these hurdles will require a collaborative effort between the public and private sectors, targeted investments in digital education, and supportive policies to boost innovation.