A Commission staff working document published on 24 June 2026 finds that Luxembourg combines near-universal connectivity with a sovereign digital strategy, but cloud and data analytics adoption among companies trails the EU average and basic digital skills are growing too slowly, with persistent gaps among those with a low level of education and older citizens.
The country report, part of the Digital Decade 2026 package, assesses Luxembourg's progress toward EU 2030 digital targets. Luxembourg set 12 national targets (out of 14 possible), 100% aligned with EU 2030 targets; 67% of 2025 trajectory points are on track, and it addressed 100% of six recommendations from 2025. By end of 2026, 18% of measures will end; total public budget for these measures is EUR 40 million (8% of total roadmap budget).
very high-capacity network (VHCN) coverage reached 95.5% in 2025 (+0.3% since 2024), above the EU average of 85.54%; fibre-to-the-premises (FTTP) coverage stood at 85.2% (+4.2%), above the EU average of 74.13% but behind the national trajectory. Basic 5G coverage hit 99.9% (+0.3%), above the EU average of 96.79%; 5G coverage in the 3.4-3.8 GHz band reached 77.6% (+9.9%), above the EU average of 74.75%.
However, business adoption of advanced digital technologies lags. SMEs with at least basic digital intensity reached 76.7% in 2025 (DESI 2026), above the EU average of 71.4%. But cloud adoption stood at 43.7% (below EU 46.7%), data analytics at 38.2% (below EU 39.9%), while AI adoption at 33.6% was above the EU average of 20.0%. At least basic digital skills reached 62.4% in 2025, above the EU average of 60.4% but below the national trajectory of 71.0%. ICT specialists made up 8.7% of the workforce, the second highest in the EU.
Digital public services for citizens scored 94.7 (down from 97.7); for businesses it was 100. Access to electronic health records scored 77.1, below the EU average of 86.5. Copper lines were reduced from about 96,000 at end-2023 to about 50,000 at end-2025.
Luxembourg allocates 27% of its recovery and resilience plan to digital (EUR 17 million); under cohesion policy, EUR 0.01 billion (17% of total) goes to digital. The country was selected in December 2024 as one of the first seven to host a EuroHPC AI Factory; the MeluXina-AI supercomputer will be operational from the second half of 2026. The government launched "Accelerating Digital Sovereignty 2030" in 2025, with strategies on data, AI, and quantum technologies. A second National Action Plan for Digital Inclusion was adopted in January 2026. A law of 19 December 2025 provides a legal and financial framework for 'WhiteSpot' areas; a voucher scheme for low-income households issued about 25,500 vouchers in 2025 (activation rate about 45%); the 2026 scope was broadened with a higher income threshold, with about 32,100 vouchers estimated.
A survey shows 79% of Luxembourg respondents consider digital policy should be a high or very high priority for the EU; 100% want EU cooperation on cybersecurity; 90% on independent European digital infrastructure; 87% want reduced digital dependencies on third countries.
strengthen targeted digital skills for older citizens, women, and low-educated groups; accelerate cloud and data analytics adoption among enterprises; develop a national monitoring framework for ICT-enabled emission reductions; accelerate 5G rollout in the 3.4-3.8 GHz mid-band in rural areas; continue cybersecurity efforts; accelerate eHealth record access; and digitalise judicial proceedings.
Luxembourg's government benefits from strong connectivity and sovereign infrastructure but faces pressure to boost business digitalisation and skills. Enterprises, especially SMEs, may need support to catch up in cloud and data analytics adoption. Citizens with low education or older age risk being left behind without targeted training. The EU gains a model for sovereign digital infrastructure but sees a gap in business uptake that could affect competitiveness.