The Amazon Web Services (AWS) Skills to Jobs Tech Alliance (Tech Alliance) is driving a significant surge in cloud computing skills development and tech job creation across various sectors within Germany. This global initiative unites a diverse network including Fortune 500 companies, educational institutions, training providers, governmental bodies, and business development organizations. Since its launch in 2023, the Tech Alliance has expanded rapidly, incorporating over 650 employers and more than 970 educational institutions, and has engaged over 53,000 learners across 11 countries.
Germany, known for its advanced engineering and industrial strength, particularly in automotive, manufacturing, chemicals, and pharmaceuticals, is facing a growing demand for skilled tech professionals. This robust industrial base has established Germany as Europe’s largest economy and the world’s third-largest. A report by Telecom Advisory Services, “Economic Impact of Cloud Computing in Germany,” projects the creation of 316,000 new jobs in the country between 2024 and 2030, driven by increasing cloud adoption and digital transformation in core industries, leading to an additional €502 billion in economic value. To fully realize these benefits, companies and public sector entities urgently need access to top-tier tech talent with in-demand expertise in crucial areas such as cloud computing, data analytics, Artificial Intelligence (AI), and Machine Learning (ML).
However, a 2023 study by the World Economic Forum, “The Future of Jobs Report,” reveals that 41% of German organizations surveyed anticipate a worsening talent shortage by 2027. Furthermore, a Bitkom study estimates the current IT skills gap of 152,000 (in 2024) could more than double, reaching 334,000 by 2030. This skills gap poses a significant threat to the country’s digital transformation, potentially hindering overall growth. Bridging the gap between industry and academia is essential to provide students with the practical, relevant skill sets required by the tech sector.
The Tech Alliance Model: Bridging the Skills Gap
To address this critical tech skills shortage, AWS collaborates with a network of local tech employers, educational institutions, network organizations, and government entities. In December 2023, AWS introduced the Germany Tech Alliance in partnership with the Bavarian State Government and UnternehmerTUM, a unit of the Technical University of Munich and Europe’s largest entrepreneurship hub, which supports over 12,500 students annually. The Tech Alliance Germany has brought together key industry leaders like Siemens, Deloitte, Accenture, and educational institutions like the IU International University of Applied Sciences and Munich Data Science Institute. “We need qualified specialists in future digital technologies such as cloud computing,” said Fabian Mehring, State Minister for Digital Affairs of Bavaria. “The AWS Tech Alliance Germany is an outstanding example of how the commitment of tech companies can advance qualifications in the IT sector.”
The Tech Alliance model fosters collaboration between employers and educational institutions, addressing Germany’s digital workforce skills gap. Through partnerships with tech employers, learners gain hands-on experience with industry challenges, deepening their technical knowledge and problem-solving capabilities, leading to improved talent identification and recruitment. The Tech Alliance begins with an assessment of employer job profiles and talent needs, then links these to learning experiences such as AWS Jams or AWS Game Days, Deep Racer competitions, workshops, tech talks, or specialized industry challenges. The initiative also encourages collaboration between industry and education to integrate essential tech skills into academic programs. To do this, the Tech Alliance supports institutions in evaluating curriculums and using training resources such as AWS Academy or AWS Skill Builder.
Supporting Industry Talent Needs: Real-World Examples
Automotive
Cloud, AI, and ML are revolutionizing how people access and interact with vehicles, driving advancements in enhanced vehicle experiences, driver assistance systems, and autonomous driving. The Tech Alliance assists companies like XL2, a joint venture between Audi AG and Capgemini, in supporting their partners’ digital transformations. The Alliance helped create an exciting way for students and apprentices to develop their AI and ML skills while exploring potential careers at Audi AG, Audi Sport, and XL2. In collaboration with the Tech Alliance, these employers organized the AWS Deep Racer Student Cup #1 competition.
The competition used the AWS DeepRacer, a cloud-based racing simulator that combines model training with a self-driving race car powered by reinforcement learning technology. Over two months, 250 students took part in workshops, AI and ML courses, and a qualifying race. The event culminated in a final race day at Audi Sport – Böllinger Höfe in Germany. The winning team, comprised of two students from TUM Technical University Munich (Heilbronn Campus), received an invitation to compete in the AWS DeepRacer finals at AWS re:Invent 2024.
In contrast, Porsche Digital, a subsidiary of Porsche AG, has developed the Porsche Digital Campus Challenge. This is a four-month hybrid hackathon engaging students from multiple countries to address real-world challenges presented by different departments, such as engineering and production. The AWS Tech Alliance supports Porsche Digital’s ability to demonstrate how AI-based products and features can provide value to Porsche customers. AWS contributes talks and technical coaching to enhance student knowledge, enabling them to build innovative prototypes utilizing resources such as Amazon Bedrock and the Amazon Titan Text Embedding model. These collaborations enable students to create innovative solutions matching Porsche Digital’s AI-driven vision for customer value.
Manufacturing
Industrial Internet of Things (IIoT), data analytics, ML, and robotics are reshaping manufacturing, building infrastructures, and designing energy systems, using concepts like predictive maintenance and energy efficiency analytics. The Tech Alliance also actively promotes tech skills within these sectors. Siemens offers its clients transformative solutions in key industries like transportation, construction, as well as energy grids. The company values essential competencies such as low-code development, data analytics, and generative AI, along with personal responsibility and self-directed learning. The Tech Alliance helped Siemens create a compelling learning experience for students, illustrating how low-code development and generative AI can drive industrial innovation. Collaborating with Siemens Professional Education and Siemens Digital Industries, the Tech Alliance organized a three-day generative AI and low-code hackathon. During this event, participants connected applications created with Siemens’ low-code platform Mendix to AWS via Amazon Bedrock and the Mendix Amazon Bedrock Connector. Students worked on use cases related to a production plant at the Siemens Stuttgart Training Center, creating applications such as predictive maintenance systems and AI chatbots.
Tech Talent as a Driver of Economic Growth
As the 2024 AWS Economic Impact Study Germany highlights, a skilled digital workforce is crucial to Germany’s future prosperity. Consequently, the Tech Alliance aligns with broader AWS initiatives that stimulate economic growth in the country, like the recently announced plans for investing €8.8 billion into the AWS Europe (Frankfurt) Region. Similarly, the Tech Alliance supports planned investments of €7.8 billion in the AWS European Sovereign Cloud (ESC) and the launch of its first AWS Region within the State of Brandenburg. The AWS European Sovereign Cloud will offer a dedicated cloud environment, helping the public sector and highly regulated industries meet their evolving sovereignty needs. To meet the growing demand for tech talent in Brandenburg and Berlin, the Tech Alliance is launching targeted activities in December 2024, in partnership with the Hasso Plattner Institute (HPI).
For more details, including how to join the AWS Tech Alliance, please visit the AWS Tech Alliance homepage.
