Estonia and Germany have signed a Joint Innovation Partnership covering AI, sovereign cloud, the EUDI Wallet, and cybersecurity — with huge export potential.
Inter-European partnerships are getting stronger, with Tallinn being in demand to export its solutions to bigger economies. This week, Estonia and Germany formalised a Joint Innovation Partnership on 1 June 2026, with ministers signing a Memorandum of Understanding at the TECH event in Heilbronn. The agreement covers five areas: agentic AI and AI platforms in the public sector, sovereign digital infrastructure, public procurement modernisation, the EU Digital Identity (EUDI) Wallet, and cybersecurity cooperation.
Liisa-Ly Pakosta, Estonia’s Minister of Justice and Digital Affairs, and Dr Karsten Wildberger, Germany’s Federal Minister for Digital Transformation and Government Modernisation, put their signatures to the document – which, while non-binding under international law, sets out concrete collaborative projects rather than broad principles.
“This partnership must not remain at the level of principles. The agreement contains concrete approaches, and we have a plan to implement them: to open new opportunities for Estonian companies and bring their experiences and solutions more effectively to the German market,” said Pakosta.
Wildberger echoed the ambition, describing Estonia as “one of Europe’s leading digital nations and an important and reliable partner,” adding that the agreement would “strengthen the innovative capacity of the state and create the foundation for capable, secure and user-oriented digital solutions in Europe.”
Sector-wide agreement for the digital age with Germany
On the technical side, planned cooperation includes joint pilots for AI sandboxes and agentic solutions, sharing best practices on privacy-enhancing technologies, and aligning approaches to sovereign state cloud infrastructure.
On the EUDI Wallet – the EU’s forthcoming universal digital identity system – both sides intend to collaborate on cross-border use cases such as business registration and professional credentials, and are positioning themselves to co-initiate a new EU-level pilot exploring a sovereign European payment connector for the wallet. Cybersecurity cooperation will run through the existing relationship between Germany’s BSI (Federal Office for Information Security) and Estonia’s RIA (State Information System Authority).
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