Saxony's Economy Is Innovative
Innovation is the driving force behind growth and prosperity in Saxony. Nearly 60 percent of all companies in Saxony are actively engaged in innovation. Since 2015, the proportion of Saxony's companies engaged in innovation has risen by 87 percent.
This is evident from the latest survey on innovation behavior in Saxony’s economy, which has just been published. The 2025 survey wave reflects innovation behavior in 2024.
The Saxony Innovation Survey aims to collect data on the innovation activities of companies in Saxony in a format that is comparable at the national and international levels. The Saxony State Ministry for Economic Affairs, Labor, Energy, and Climate Protection (SMWA) publishes an annual report on the “Innovation Behavior of Saxony's Economy.” Data collection for Saxony takes place as part of the annual Germany-wide innovation survey conducted by the Center for European Economic Research (ZEW) on behalf of the Federal Ministry of Research (BMFTR). Each year, companies in industry and business-oriented services with at least five employees are surveyed about aspects of their research, development, and innovation activities.
In 2024, Saxony's companies spent approximately 1.9 billion euros on research and development (R&D). When expenditures for the preparation, production, and distribution of innovations are included, the total volume of innovation expenditures amounts to 4.7 billion euros. This represents an increase of 87 percent compared to 2015.
Small and medium-sized enterprises (SMEs) in particular are characterized by high R&D intensity and—relative to revenue—spend more than twice as much on research and development as the national average for SMEs. SMEs account for over 60 percent of the total R&D investments in Saxony’s economy, with medium-sized enterprises alone contributing nearly 40 percent.