In a report by the Berlin-based think tank Interface, Amsterdam is named as one of Europe’s leading cities in AI talent. But what does this growth mean for the region, and how do we ensure that Amsterdam maintains this position? We discussed these questions with coalition manager Bart Krull of Amsterdam Economic Board.
According to the report, after San Francisco and Seattle, Amsterdam has the highest concentration of AI researchers and engineers per capita. Do you recognize that picture? What data do you use yourselves to track this?
“This does not surprise us. The knowledge institutions in Amsterdam have a strong technological profile and there is a lot of business activity. In addition, of all European cities, Amsterdam ranks 7th among the ‘density leaders’, and in the field of AI we have risen into the international top 20 – fourth European city. This means that a lot of knowledge, companies and talent are located within a stone’s throw of one another; ‘proximity’ is a characteristic of high-functioning ecosystems.
But if we do not invest, we will fall in these rankings. We need to make sure that we turn today’s successes into future successes.”
Where does this strong growth come from? Is it mainly a result of international talent migration, the presence of companies, universities or targeted policy?
“We are naturally already strong in the field of tech and software. And also look at the enabling conditions, such as AMS-IX, the quality of our knowledge institutions and innovation campuses, as well as talent in general. Recently, Techleap shared their State of Dutch Tech report, which already spoke of a high concentration of talent in the field of AI. So it is not surprising that we are growing in this area. This growth is also important because talent and knowledge are important prerequisites for building a future-proof economy.”
Is Amsterdam sufficiently prepared for this influx? Think of housing, international schools, work visas, laboratory space and access to funding?
“This is where the region has an important role to play. The city does not stop at the boundaries of the A10. There are still plenty of opportunities for these things in the region, for example in Almere, Hilversum, (specifically for tech and media), or Haarlemmermeer. It does show how important it is that different groups come together at the table to work on these kinds of issues. The interests of companies, but also those of governments, knowledge institutions and civil society organizations, need to be taken into account.”
How do we prevent Amsterdam from becoming mainly a ‘transit hub’, where talent stays for a few years and then moves on to London, Zurich or the US?
“The most important thing is that we are able to turn today’s successes into the successes of the future. This means that we need to invest in sustainable earning capacity, resilience and broad prosperity. Amsterdam is a great environment in which to live and work, but we can only preserve that if we continue to invest in the ecosystem and the companies of the future.”
The article suggests that geopolitical developments and changes in the US are contributing to a reverse ‘brain drain’, with more AI talent coming to Europe. Is that a temporary effect or a structural trend?
“We do not have insights that suggest whether this is temporary or structural in nature. You can, however, observe that AI and the absolute top companies do not think in terms of geographical boundaries. Talent and companies are operating more and more globally. Amsterdam, in turn, is well positioned as a base for a lot of talent and companies because of its international character.
What geopolitical developments also show is that we need to think differently in Europe. It is more important than ever to build a resilient economy in which we control relevant components of the tech stack – the digital value chain. That is why it is also important that AI talent finds its way to strategically relevant companies and challenges.”
If Amsterdam attracts so much AI talent, do we also see that reflected in economic value?
“It is still too early to make statements about the effect of the influx over the past year. But it is certainly the case that AI talent represents enormous economic value. And particularly in Amsterdam, we are able, through cross-pollination, to translate this into applications in healthcare, industry and energy.”
The report also shows that the growth of AI talent does not automatically lead to greater diversity, and that women remain underrepresented in specialized AI roles. How does Amsterdam Economic Board view this, and what can the region do?
“That is certainly important. Not only as a societal goal to achieve equal opportunities, but also because it has enormous economic significance in terms of innovation. Diverse teams perform better. Healthcare innovation is a perfect example that shows how important it is to work with teams that reflect society. Think of preventing bias in the development of medicines.
The region can promote diversity by systematically measuring it, investing more inclusively, for example by directing more venture capital towards female founders, promoting inclusive AI teams, making inclusion part of product development and attracting more diverse talent.”
Can Amsterdam maintain its position as an AI hub if student enrollment at universities and universities of applied sciences declines? What measures are needed to ensure that there remains sufficient locally trained AI talent?
“The knowledge institutions are among the building blocks of our strong AI position. That is precisely something that sets us apart. It is important to ensure that we remain open to talent. And it is important to continue emphasizing the technological profile of our knowledge institutions.
Finally, it should be attractive to turn knowledge from universities into entrepreneurship, from proof-of-pilots to scaling impactful companies. This is how you make a major leap in protecting sustainable earning capacity, and ensure that you can also deploy technology for societal transitions, for example in healthcare or energy. This creates a flywheel that ensures that, as a region, we continue to attract international talent.”