Big-tech in Poland is a Risk

In recent years, we have seen global tech giants increasingly expanding into the Polish market. In February alone, Prime Minister Donald Tusk met with Sundar Pichai from Google and Brad Smith from Microsoft. On the one hand, we should obviously be pleased, as this means that Poland is an attractive place for investment. The decisive factor is no longer cheaper labour, but above all a stable internal situation and access to high-class specialists on the domestic market. For the sake of consistency, I will omit the fact that Intel ultimately withdrew from the construction of a factory in Miękinia (the reason was not the location, but the company’s financial problems). On the other hand, these investments carry many risks, which, in my opinion, outweigh the profits. This, in turn, should prompt us (and our government in particular) to reflect more deeply. If I were being malicious, I would probably say that they have already had several opportunities for such reflection and have not taken advantage of them. For example, by selling a significant part of Poland’s critical infrastructure in the form of Telekomunikacja Polska to a French entity with state participation. But I am not being malicious, so I will refrain from commenting on that.

Such investments bring both political and social benefits. However, it is often the case that political benefits are socially disadvantageous, and what at first glance looks like a social benefit is in fact a rotten egg that will benefit only a few. This is also the case here.

First of all, of course, new jobs will be created.

Admittedly, they will not be where they are most needed, i.e. in smaller towns, but they will be created. Both Google and Microsoft are concentrated in the four largest cities in Poland – Warsaw, Krakow, Wrocław and Gdańsk. There is no shortage of jobs there.

The expansion of data centres and network infrastructure by big tech will naturally contribute to the modernisation of Poland’s digital infrastructure. Even in the event of more serious turbulence (see: the withdrawal of many businesses from Russia under the influence of sanctions), companies may withdraw from the country operationally, but they will not take with them the infrastructure they have invested in. Such moves also show other investors that Poland is a country where it is still safe to invest, and this may attract further businesses.

However, this is where I see the first serious threat: these new businesses will again come from abroad. Given our government’s approach to domestic investment and support for domestic business, this is exactly how it will end. The Germans and French will follow the Americans, and Poles will, at best, be subcontractors. Because building something from scratch involves risk and is not such an impressive quick win. It does not look as good in an election campaign as attracting a global giant.

Opening new data centres and AI centres also clearly undermines the position of existing Polish national and sectoral clouds, such as the idea of the Polish Cloud. Google and Microsoft can not only offer services of a similar quality at a lower price (due to the scale of their operations), but above all, they can drain the brainpower from the domestic market. The best specialists, tempted by relatively better earnings abroad, often decide to move to the US.

However, I see the greatest threats in my field:

Google, like any other global corporation, collects huge amounts of data about its users. In the case of Poland, this means that even if this data is stored and processed in our country, we have no control over it – it is owned by a private company. It is also no secret that companies use user data to train their artificial intelligence models. This means that the general public is a raw material used to produce tools that will then be sold to us for real money, the vast majority of which will end up overseas. However, programmers and engineers find themselves in a bizarre situation, as they become both creators and raw material.

The last, but not least, threat I see is, of course, the uncertainty of business decisions. One must always take into account the possibility I mentioned earlier, namely that a given company may simply decide to relocate. Google, for example, currently employs around 8,000 people in Poland, and new investments mean even more specialists will be hired. Their departure from our country will mean that as many people as live in Kruszwica will lose their jobs at once.

So what should we do and how should we live?

Google’s presence in Poland brings both potential benefits and serious threats. It is crucial that the Polish government and entrepreneurs develop a strategy that will allow us to reap the benefits of the presence of global giants while minimising the associated risks. The following should be ensured:

Strengthening national data protection regulations to give Polish citizens real control over their information. This can be achieved by introducing stricter rules on the collection, processing and sharing of personal data by technology companies. Or through proper enforcement of existing regulations, i.e. increasing the powers of the Personal Data Protection Office (UODO) to control and impose penalties on companies that violate the regulations. The UODO should be able to effectively enforce the law and impose severe financial penalties on companies that do not comply with personal data protection regulations.

Our government should also consider promoting and supporting the development of technologies and solutions that increase data privacy and security. We should invest in research and development in the field of cybersecurity and privacy, and support domestic companies that create innovative solutions in this area.

We must also not forget about the groundwork, i.e. educating the public about the protection of personal data and other sensitive data. It is important that Poles are aware of their rights and the risks associated with sharing personal data online.

In order to avoid excessive dependence on foreign technologies, it is necessary to invest in the development of domestic companies and innovation. This can be achieved by:

• Simplifying administrative procedures for start-ups, ensuring access to financing and mentoring, and promoting cooperation between start-ups and large enterprises.
• Increasing spending on research and technological development, as well as promoting cooperation between universities and business. But seriously, not just for show.
• Promoting Polish technologies on foreign markets and facilitating their access to public procurement. For example, by awarding additional points to Polish entrepreneurs in the process.
• Companies that invest in new technologies and create innovative products and services should be rewarded.

In order to ensure Poland’s competitiveness in the global technology market, it is necessary to invest in education and human resources development:

• Science and technical subjects should be promoted from an early age, and pupils and students should be provided with access to modern tools and technologies.
• Poles should be provided with access to training and courses in digital technologies so that they can actively participate in the digital economy.
• Talent development should be supported and young people encouraged to pursue careers in the technology sector.
• Internships and apprenticeships in technology companies should be promoted, as well as joint research and development projects.

In order to ensure the security and stability of the Polish technology sector, it is necessary to diversify technology sources and avoid excessive dependence on a single supplier. This can be achieved by:

• Avoiding vendor lock-in situations where Poland is dependent on a single supplier, e.g. an American one.
• Supporting technologies that are based on open standards and enable different systems to work together.
• Cooperating (on a partnership basis, not a subservient one) with other EU countries to develop the European technology sector.
• Investing in domestic research and development in technologies that can replace solutions offered by global giants.

These are not measures that win elections or are sexy. But they are essential if we want to maintain technological sovereignty in any dimension.