Finland is the perfect location for a NATO Center of Excellence in dual-use technology and business development due to its advanced technological infrastructure, strong expertise in wireless communication, and strategic geopolitical position within the Alliance.
The city of Oulu has initiated a proposal to establish a NATO Center of Excellence in Finland. The center’s objectives include enhancing the efficiency and capabilities of defense solutions through the integration of cutting-edge digital technologies and creating a pathway for Finnish high-tech companies to scale their businesses within the rapidly growing market sector.
The NATO Center of Excellence (CoE) concept
NATO Centers of Excellence are prevalent throughout the Alliance’s member states, each specializing in a particular military or security theme. These centers provide a diverse array of specialized services to member nations, partners, and NATO itself. These services encompass areas such as supporting corporate innovation, aiding decision-making, developing new concepts, conducting training and exercises, and fostering closer integration between research and the application of dual-use technologies.
Finland’s CoE, led by Oulu, leverages its technological prowess to spearhead the advancement of wireless communication technologies across Europe
Finland has attracted interest from influential figures regarding the desired profile of the proposed competence center, with particular emphasis on the themes of 6G, edge computing, and quantum processing. (Republican Senator Lindsey Graham HS 15.8.; Ambassador Douglas Hickey HS 18.09)
Finnish technological advancement has been driven by wireless communication technologies for decades. Finland remains a significant player in 5G and 6G research and industry, with the Oulu-led ecosystem leading European efforts. The civilian applications of 5G networks, including faster and more efficient communication, also offer substantial benefits for military communication, real-time information sharing, and the coordination of autonomous defense systems.
Artificial intelligence, machine learning, and edge computing are driving technological development, particularly in the field of cryptography, which has been emphasized in Oulu.
Artificial intelligence, a dual-use technology, is increasingly integrated into defense applications, such as autonomous weapon systems, surveillance, cyber warfare, and decision-making support tools. Processing data locally (“at the edge”) reduces latency, bandwidth usage, and enhances security, resilience, and privacy. This is particularly crucial for autonomous vehicles, industrial automation, and operational tasks in the defense sector. These artificial intelligence solutions also find applications in healthcare, smart cities, and logistics. The convergence of these technologies fosters closer collaboration between Finnish high-tech SMEs and the defense industry.
Quantum computers are transitioning from theoretical concepts to practical applications, driven by growing investments from technology companies and startups. Cybersecurity, cryptography, and optimization are the primary areas of development focus. Quantum computers offer new possibilities in cryptography, problem-solving, and modeling. In the context of dual-use technology, quantum computers present a significant security risk due to their potential to break current encryption methods, impacting both civilian and military communications. Conversely, quantum encryption could provide unparalleled security for protecting sensitive data and communications.
Oulu is ready for CoE responsibility
Oulu has established a strong foundation in technological expertise, encompassing both commercial operations and cutting-edge research, with a particular focus on wireless data transmission, edge computing, artificial intelligence, and quantum processing applications, especially in cryptography. Oulu already houses the accelerator and testing center of NATO’s DIANA organization. While the center’s primary focus is on 6G technology, it also boasts significant resources for developing digital dual-use solutions and innovations more broadly, leveraging the expertise of the local ecosystem. Furthermore, earlier this year, US Senator Lindsey Graham recommended that Finland establish a NATO competence center specializing in 6G, edge computing, and quantum topics. This call was echoed by the departing US ambassador in an interview published on September 18, 2024.
Oulu is prepared to establish a dynamic and impactful unit by expanding the existing NATO DIANA unit and incorporating new elements and resources. Oulu is at the forefront of 6G research and development at both European and global levels. As part of the 6G system change research, local researchers and companies are developing innovative products for advancing edge computing and artificial intelligence applications. Oulu has conducted internationally significant research in edge computing and industrial applications, and local companies are eager to apply their expertise to the defense sector. In the field of quantum computing, Oulu’s focus is on cryptographic expertise, a crucial component of secure communication in both civilian and military contexts. Additionally, hardware development related to quantum computing is also progressing in Oulu. The activities of the Competence Center will not be confined to Oulu but will leverage existing networks and combine the best national resources to maximize its impact.
The city of Oulu has formally submitted its initiative to the Finnish government, Prime Minister Orpo, and, more recently on September 18, to Minister of Economy Rydman. The proposal aligns with the government program and suggests that Finland apply for a NATO Center of Expertise (CoE) to be established in Oulu, focusing on distributed artificial intelligence, 6G, and quantum technologies. The center would operate nationwide, facilitating Finnish companies’ involvement in the value chains of dual-use technology development and providing broader benefits to both national and NATO administrations. The establishment of the center would be justified from the perspectives of foreign and security policy as well as economic policy. This initiative addresses the needs of the export industry and defense while prioritizing the promotion of business activities and creating opportunities for the Finnish business sector.
The city of Oulu is open to discussing its potential contribution to the establishment costs of the competence center. The ongoing operation would be primarily funded by the Finnish state.
For further information:
Juha Ala-Mursula
Director, BusinessOulu
+358 40 559 7020
juha.ala-mursula@businessoulu.com
Jussi Leponiemi
Key Account director of ICT sector
+358 44 238 7860
jussi.leponiemi@businessoulu.com
Juuso Rönnholm
Communications manager, BusinessOulu
+358 50 574 1504
juuso.ronnholm@businessoulu.com