The Stuttgart Region is known for its strong economy, advanced technology, and high quality of life. The region is often called an "innovation hub," and for good reason. It has a long-standing tradition of innovative thought and excellence in the arts, sciences, and industry that have made it one of the most important cities for cutting-edge research in Europe.

It's also home to some of the world's leading automotive and technology companies and is known for vehicle design, production, and engineering, fueling its economy. According to IC Resources, it has the highest number of employees working in the high-tech sector in Europe. The region is ranked in the top 15 among 1,342 EU regions for high-tech locations. What has made the region become an innovation hub? And what does Stuttgart mean for organizations of all sizes in the region and also around the world?

1) Where international corporations meet disruptive innovations

Stuttgart is home to both large multinational corporations and startups alike, making it an ideal hub for innovation. Some of the world's leading automotive and technology companies, such as Mercedes-Benz, Porsche, Bosch, Airbus Group, and Hewlett Packard Enterprise, are in the area.

The Stuttgart Region boasts a significant number of mobility and engineering companies that excel in their specialized market segments. According to Region Stuttgart, these companies are highly export-oriented, with more than 50% of their sales coming from abroad.

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Not only is the region home to international corporations, but it's also ideal for startups looking to get their feet off the ground. The region has a thriving startup scene that offers access to state-of-the-art technology, an excellent talent pool, and a supportive business environment.

Flip is a startup that works on an employee app for companies with many operational employees. SPARETECH, a spare parts management platform, offers an efficient solution to reduce inventories, costs, and CO2 emissions in spare parts management. These are just two examples of the thriving startup scene. Other Stuttgart-based startups working on disruptive innovations include Node Robotics, Rhome, AX Semantics, and more.

2) Where research and development unlock full innovation capabilities

The Stuttgart region is a hive of research and development activities, with many initiatives in place to support disruptive innovation. The region is home to renowned research institutions such as the University of Stuttgart, Fraunhofer Institutes, and other national research institutes, all focused on unlocking new capabilities for innovation. These institutions work to develop new technologies and processes, which startups in the region can leverage for their own projects.

The corporations here also invest heavily in research. Region Stuttgart reports that companies in the area invest the highest amount in research and development in Europe, making up 16% of all corporate R&D spending in Germany.

In terms of education, the region is home to more than 20 established universities and higher education institutions, such as the University of Stuttgart and the University of Hohenheim, making it one of Europe's most important educational destinations. The universities in the region are renowned for engineering, automotive technology, and natural sciences in particular. A strong education system allows students access to the latest research and technology, while businesses can draw on the talent pool of well-educated graduates.

3) Where "open innovation" finds its true definition

The region also strongly focuses on open innovation and collaboration between traditional industry players and startups. The PITCCH Initiative, based in Stuttgart, is an innovation initiative launched by the European Union. It aims to create an open innovation ecosystem for structured collaborations between corporations and SMEs (small and medium-sized enterprises).

Stuttgart has a robust open innovation ecosystem that encourages collaboration between universities, corporations, and startups. This open infrastructure allows companies to explore new products or services in a supportive environment. With multiple accelerators, incubators, and venture capital firms in the area, entrepreneurs can access a wide array of resources to help them succeed.

In 2016, Plug and Play launched Startup Autobahn with Mercedes-Benz, the University of Stuttgart, and ARENA2036, to build a leading open innovation platform based in Stuttgart. The program's basis is the partnership between startups and corporate business units. The two entities evaluate the potential for a joint venture, move forward to pilot the technology, and work together to achieve the ultimate goal – a successful production-ready implementation. Find out about Startup Autobanh's EXPO2022 in this video:

Startup Autobahn, powered by Plug and Play, moderates a community for collaboration. Its focus areas grew as the program engaged with more partners and business units. What started as a program dedicated to vehicle technology organically grew to include much more. The partners were exposed to unfamiliar technologies, and best practices were exchanged through roundtables and co-creation initiatives. Startup Autobahn has hosted events at anchor partners' headquarters across Germany, creating a dynamic and positive open innovation community. 

Since the platform's cross-value growth, the program has partnered with major corporates like Porsche, Hyundai, ZF, and Bosch. Today, the program has 32 active partners. 320 startups have gone through the last 12 programs, and nearly 400 pilot projects have been realized with an implementation rate of 30%. Watch this video to learn about a pilot project between Mercedes-Benz and Ventus on electric vehicles:

"To implement innovation and foster collaboration, proximity to production is crucial," said Hannah Boomgaarden, Senior Program Manager of Startup Autobahn. "Stuttgart has emerged as a global innovation hub, firmly positioned on the map of innovation. By connecting global startups and investors with the unparalleled tech expertise of Silicon Valley, Berlin, and beyond, combined with the excellence of German engineering, we are scaling the local startup ecosystem onto the global map of interest."

Stuttgart's long history in technology, rich culture, and creative people have made what the region is today - a forward-thinking tech center with unlimited opportunities. Corporations, startups, institutions, innovation platforms, and all other industry players are working together to unlock the full potential of the innovation hub. With its robust infrastructure, open innovation ecosystem, and dynamic companies, the Stuttgart region will remain an important destination for disruptive innovations in Europe for years to come.