Imagine what theLand of Ideas cando for your ideas.

Poland

Czech Republic

France

Netherlands

Belgium

Switzerland

Austria

Luxembourg

Denmark

Germany

Rhineland-Palatinate

Saarland

Hesse

North RhineWestphalia

Lower Saxony

Saxony-Anhalt

Saxony

Brandenburg

Mecklenburg-West

Pommerania

Thuringia

Bavaria

Baden-Wuerttemberg

Schleswig-Holstein

Berlin

BremenHamburg

Munich

Stuttgart

Saarbruecken

Mainz

Wiesbaden

DuesseldorfErfurt Dresden

Potsdam

MagdeburgHanover

Schwerin

Kiel

Form of government: parlamentarian democracy Area: 357,022 square kilometres Population in 2006: 82.5 million Capital: Berlin

Currency: Euro (€ 1 = 100 cents) State structure: federation of 16 federal states (Länder) National holiday: October 3 (Day of German Unity)

Number of companies: (not including agriculture) 3,172,771 Export volume (goods) in 2005: EUR 786.1 billion

Gross domestic product (GDP) in 2005: EUR 2,244 billion Share of the European Union’s GDP in 2005: 20.8%

You and your ideas will benefit from …

… the high levels of education and skills of a proactive people. 4

… the power to bring about innovations that change the world. 8

… an outstanding research and development network. 12

… an excellent business climate. 16

… a linchpin player in the heart of Europe – the world’s biggest single market. 20

… top-notch infrastructure and logistics. 24

… world-famous standards of quality. 28

… the world export champion. 32

… a cosmopolitan society. 36

… a high standard of living. 40

… unique capabilities to develop technologies of the future. 44

“ Welcome to the Land of Ideas.”It is not without reason that modern-day Germany enjoys a fi ne reputation in the eyes of the world. Our country stands for inventive talent, hard work, and the ability to organise. It is recognised as a nation of great cultural richness, with a peaceful social climate, legal security, long experience of success in world markets, and topquality products. Germany is also a place to discover magnifi cent land scapes, a wide variety of cuisine, and heart-felt hospitality. We are 80 million people living in the very heart of Europe, looking forward to getting to know you. People with inquiring and creative minds, and the courage to innovate. Our country has produced eminent scientists and inventors. German engineers are held in high regard throughout the world. We have put ideas into practice that have brought important advances to humanity. And we intend to carry on doing so. But come here and see for yourself how easily you can turn your ideas into reality. Welcome to Germany – the Land of Ideas.

Yours sincerely,

Federal President of Germany

The Federal President Horst Köhler at the Fraunhofer Institute in Itzehoe, getting to know “Lab-on-a-Chip” – an electrical biochip technology that was awarded the German Future Award for Innovation and Technology in 2004.

Share your ideas with people that believe in the power of ideas.

1 Human Resources Thousands gather at the Brandenburg Gate: the fall of the Berlin Wall in 1989 was perceived the world over as the symbol of Germany’s reunification.

We invented the kindergarten. And the university in its modern form.

1810. Wilhelm von Humboldt establishes the University of Berlin (now known as the Humboldt University

of Berlin). It is the first university to combine research and teaching – the

modern university is born.

Germany is known as a land of poets and thinkers.

However, theory alone is insufficient; therefore, state

institutions and commercial enterprises collaborate

to provide education for a skilled labour force. We

call it the “dual system” and this is how it works:

companies offer practical training, vocational schools

do the teaching. Around 60% of school leavers take

advantage of this two-pronged approach every year.

We take care to align vocational education to the

needs of the economy, creating new professional

profiles for specialists in areas such as mechatro-

nics in the automobile industry, IT systems techno-

logy or electronics for buildings and infrastructure.

We operate more universities and colleges than any

other country in Europe – 366 to be precise; the

oldest of which is also one of the most modern: the

University of Heidelberg was founded in 1386 and

continues to rank among the best in the country.

Germany’s thirteen technical universities also have

a long tradition: while focusing research on the most

innovative technologies, they turn out highly quali-

fied engineers, physicists and computer scientists.

In addition, there are 167 universities of applied

sciences where teaching is conducted with a strong

emphasis on practical relevance. In this way, future

engineers acquire not only outstanding plan ning

skills, but also learn how to incorporate their ideas

efficiently into company production processes.

Germany is investing more in education than ever

before. Expenditure has increased by 38% over the

last seven years. In addition, close to EUR 2 billion

is available to support top research projects at

selected universities.

In 2005 Nicola Leibinger-Kammüller took the reins

of the mechanical engineering company Trumpf –

annual turnover EUR 1.4 billion. The company is

the world market leader in laser technology, and

Europe’s largest manufacturer of machine tools.

Her goal? To expand her company’s innovation leader-

ship. She has picked up her technical understand-

ing in the course of her professional career, but

her leadership style is a gift of personality. Now

she wants her colleagues to challenge her, in order

to drive the company’s potential for innovation.

And she is the best example: with a good education

and the right spirit you can take on any challenge.

In her own words: “The ability to lead is really a

question of attitude.”

A literature graduateheads up the laser world market leader.

1 Human Resources

1840. Friedrich Fröbel sets up the first kindergarten. The idea

takes off around the world, allowing children – long before

they start school – to learn together, through play.

1971. Armin Maiwald and his team launch “The Show with the Mouse”. Each week the little

mouse reveals and explains everyday mysteries to pre-school children. The

mouse is now known in more than 100 countries.

6

“The single biggest asset which Germany has is its people and their spirit.”

Fred B. IrwinPresident American Chamber of Commerce in Germany

The Freie Universität Berlin is one of the world’s leading universities, collaborating with international com-panies and fostering 121 partnerships with other universities all over the world. Since 2005, the City of Berlin has boasted a new highlight: the university’s new philological library. The “Berlin Brain” was designed by the British architect, Sir Norman Foster.

Together with four colleagues, Hasso Plattner set up

the software company SAP in 1972. It becomes a

global business. Plattner has his own precise views

on how people should be educated to become high

achievers, and in 1998 he founds the Hasso Plattner

Institute at Potsdam University, near Berlin. It is the

first and only institution in Germany where IT systems

engineering is taught – with a commercial and interna-

tional focus. The chairman of the supervisory board of

SAP finances the institute entirely by himself - to the

tune of EUR 200 million – and involves himself in

research and teaching. In addition to this, through

Hasso Plattner Ventures, he promotes founders of

fledgling IT companies who want to bring their

ideas to the international market.

The Chairman of the Supervisory Board teaches at his own institute.

Alexander, Oliver and Marc Samwer studied marke-

ting, economics and law, and together the brothers

are experts in making ideas successful in the short-

est possible time. As eBay gets underway in the USA,

they make the concept work for the German mar-

ket in no time, calling it Alando. The result? eBay

buys Alando. They stay on in the management, and

make Germany the most profitable eBay market.

One year on, the three brothers set up a company

called Jamba, selling ringtones, games and

pictures for mobile phones. The result this time?

In 2004 they sell Jamba to the US company Verisign.

Three brothers set up one successful business after another.

7

Your ideas are in good company. Germany is Europe’s leader in patents.

2 Innovations

Dr. Stephanie Krüger doesn’t get much time to unwind. She is the nanotechnology patent inspector at the German Patent and Trade Mark Office in Munich.

Ideas change the world.Every 23 minutes.

2 Innovations

On average a German patent is registered every

23 minutes at the European Patent Office. In 2004

alone, this amounted to 23,044. No matter whether

based in a small garage or a large research depart-

ment, Germans have come up with a host of eminent

inventions: the computer, aspirin, or the teddy bear.

This richness in ideas remains unabated today – the

Mars camera, the chip card, and the 3-D microscope

are all German inventions. We are especially good

at aircraft and automobile manufacturing; we excel

in mechanical engineering, and in laser-, environ-

mental-, nano- and biotechnologies. Thus, with a

16.2% share of worldwide trade in research-inten-

sive goods, Germany is top of the global league –

alongside the USA.

Passionate inventors, we never rest contented with

past accomplishments. In 2004, over 60% of German

industrial companies either launched new products

or optimised their production processes. Inventing

the MP3 format, we have created a revolution in the

music industry. No sooner had this been accomplish-

ed than German scientists applied themselves to

major contributions in the development of new

audio and video coding for the MPEG standard.

Films can now run on pocket-sized players. It is no

coincidence that so many good inventions come out

of Germany. 397 innovation and incubator centres

look after the needs of 12,000 companies and start-

ups. This is why Germany has become one of the

most innovative places in Europe, a place where a

garage-based operation can transform itself quick-

ly into a successful business: where good ideas can

translate themselves quickly into successful products.

We love our cars. But we love our forests just as much, so we go to great lengths to preserve our natural surround-ings. Biomass fuels, for example, reduce harmful emissions by up to 50%. This, and many other ideas, make Germany a global market leader in environmental protection technology.

What makes this possible is a new technology gene-

rating energy from biomass: recovered wood, straw

and grass is converted into the synthetic biofuel

“SunFuel”. The German company Choren Industries

has come up with this revolutionary process, and

has over EUR 400 million earmarked for invest-

ment in production facilities. Shell Deutschland

Oil GmbH is getting involved. By 2020, around a

quarter of Germany’s energy needs may be met by

biomass fuel, making Germany significantly less

dependent on the oil markets.

A new fuel has been developed in Germany.Made from wood.

1938. Fed up with doing calculations in his head, Konrad Zuse invents the

computer, becoming the founding father of

the information age.

1969. Jürgen Dethloff and Helmut Göttrup register a patent for a plastic

card with an integral circuit. A small idea, but a great success. Today,

chip cards with micro-processors can be found in every wallet, facili-

tating payments, telecommunications, medical services and a host of other

things making for a better life.

1891. Otto Lilienthal takes off on his first 25 metre

glide-flight, inaugurating the modern art of flying.

10

It wasn’t that hard, after all. We just watched how the

birds do it: and thus, Otto Lilienthal derived the prin-

ciple of lift. We have only added a few details to his

concept of flying: jet engines, cabin service plus a few

hundred seats. Germany, along with its European

partners, is building the world’s largest passenger

aircraft, the Airbus A380. Germany is the largest

Airbus location, with over 21,000 employees.

We made the dream of fl ying come true.

In 1886 Gottlieb Daimler and Carl Benz invented the

automobile. What a treat for humankind! German car

manufacturers today are responsible for registering

around 3,000 patents each year. Take a glimpse at

some of them: ABC, ABS, ACC, ADS, AHL, ARS, AS,

ASC+T, ASD, ASF, ASR, AUC, BAS, CAN, CBC, CISS,

DDE, DME, DSG, EDC, ESP, EWB, H2R, HDC, MID,

PCR, PDC, RPA, SBC, TMC, UDS, VTG, W12, ZAS, etc*

We can’t stop reinventing the car.

German chemistry makes your television flat.

Wilhelm-Conrad Röntgen discove-red x-rays in 1895, revolutionising diagnostic medicine. Today, Siemens Medical Solutions is revolutionising x-ray technology. Somatom Definition provides three-dimensional x-ray images, sharper than any scalpel. With its two x-ray tubes, the world’s first Dual Source Computer Tomography system (DSCT) produces images of unparalleled brilliance and at unmatched speed. In this way, a beating heart can be viewed and exami-ned with the benefit of high reso-lution – all with less than half of the x-ray dose required by current systems and without a scalpel.

* See the index to find out what the abbreviations stand for.

Manfred von Ardenne succeeded in making the

first television broadcast over 70 years ago. The

flat screens of today deliver television pictures of

unprecedented sharpness. Paving the way, chemical

company Merck KGaA produced the liquid crystals

which first made this possible. This global market

leader is renowned for its wealth of ideas, holding

more than 2,500 patents for liquid crystals.

11

The market for LCD television screens is growing strongly: around 20 million appliances were sold across the world in 2005. Manufacturers expect to nearly double their turnover for 2006.

The Airbus A380 is the result of unparalleled European cooperation: the largest passenger aircraft ever built embodies about ten years of development and some of the finest German technology.

Let one of the leading scientific communities develop even more ideas for you.

3 Research and Development

Germany is Europe’s no.1 location for research, say

business leaders from all over the world in a 2005

survey. And it’s true! After the USA, Germany is the

world’s second-largest research location for multi-

national companies. These companies invest over

EUR 12 billion annually here, in research and develop-

ment. And the German government provides ad-

ditional support to research projects, to the tune of

EUR 5.6 billion.

There is a reason why our success is global: uni-

versities, state-sponsored research institutions and

companies share their expertise to form “clusters”.

These successful networks are open to new partners:

if your business is actively working on research-

intensive innovations, you can harness the best

experts in the field. Many international compa-

nies have already benefited from the specialised

know-how embodied in these clusters. An example

of this is to be found in the Rhine-Main region

where fourteen universities and ten research insti-

tutes conduct research on materials – a research

cluster quite unique in Europe.

Germany is characterised by a decentralised research

landscape which has deep historical roots.

Research is undertaken everywhere, and it is not con-

fined just to urban areas. World-class research is

being carried out in places like the beautiful Swabian

Alb region, in Baden-Württemberg, the home also

of leading developers and producers specialising in

surgical instruments and operating-theatre equip-

ment. Centres of excellence like this exist all over

Germany, covering all the important fields of innova-

tion – such as information nano- or biotechnology.

Just imagine where your ideas could go from Germany.

In 2004 alone, German-based companies exported

EUR 394 billion of research-intensive goods.

Space and time. We’ve looked into that. Have you got anything new for us?

3 Research and Development

“There are very good scientists here as wellas state funded technology programs. It‘salso close to the many technologieswe rely on.”

Armin PfohOperations Manager of General Electric Global Research – Europe

1900. “Nature does not make leaps” – an iron principle of the natural sciences.

But Max Planck looks a little closer into it, and recognises that light bulbs

transmit their light in discreet energy packages, or energy quanta. This disco-very makes him the father of quantum

theory, and revolutionises physics.

Germany has one of the largest publicly-funded infrastructures for research in the world. Groupedtogether under the auspices of four large societies, there are257 separate institutes employing over 70,000 people, carrying out research in all areas of science and technology. Along the whole range from basic research to R&D for industrial purposes, investors in Germany benefit greatly from state-sponsored research work.

1931. Ernst Ruska and his team invented the electron microscope. Two

years later, magnifications by a factor of 12,000 are possible. The scientific

community is delighted by this glimpse into the micro-cosmos.

1997. The German Aerospace Center develops the HRSC Mars

Camera. In 2004 it captures three-dimensional images of the surface

of Mars from its position on board the Mars Express space probe.

14

The Fraunhofer Gesellschaft, the Helmholtz Gemein-

schaft and the Leibniz Gemeinschaft are all think-tanks

in industry-oriented research, without any real equiva-

lents the world over. Any company can benefit – a phone

call is all that is required. International teams develop

bespoke solutions for each and every problem.

In some cases, the solution is already available before

the problem arises. With the benefit of publicly-finan-

ced projects, Fraunhofer researchers, for example, can

afford to look far ahead into the future and work on

problems whose impact the economy or society will

only feel five or ten years hence. They closely cooperate

with companies and universities. Students and

graduates apply their knowledge, gaining valuable

experience that they can put to good use when taking

on new challenges in the world of business. In Germany

there are over 80 Fraunhofer Institutes and associated

institutions, covering all the main technological

branches – and 15 Helmholtz Gemeinschaft Institu-

tes. The Leibniz Gemeinschaft consists of 84 institu-

tes to lend support to your application-based research.

We like to find solutions before the problems find us.

The Max-Planck-Gesellschaft (MPG) has produced

eleven Nobel Prize laureates in the last 25 years, put-

ting it in the same league as Harvard and Stanford

Universities. The network of 78 institutes sets stan-

dards in many areas of basic research. In the month-

ly citation index, MPG scientists compete neck and

neck with the world’s most renowned research in-

stitutes: in January 2006, MPG scientists were the

most quoted in physics, chemistry and material

science. As for space research, their findings were

referred to even more often than NASA’s.

We love to be in the laboratory. Or in Stockholm.

Always appropriately dressed and rather curious – the penguins seem to have acquired these habits from German scientists, who, indeed, abound in the Antarctic. After inaugurating our new polar station, Neumayer III, there will be even more. Germany is enhancing its position at the top of polar research, and the penguins are looking forward to more company. That’s cool.

In three to four years’ time, computer-chip manufacturing processes will come up against their limits. The Dutch company Philips is therefore working alongside the Fraunhofer Institute for Laser Technology and the Technical University of Aachen, to develop a key component for a new manufacturing process – foreven more powerful computer chips. The “Aachen Lamp” scores top marks in international comparisons, and it will be ready to be launched on the market, right on time, in 2009. Large clients like Intel are already lining up for the new technology.

15

We deregulate, to offer an even better business climate for your ideas.

4 Business Climate

In the biosphere laboratory at Bayer CropScience, vulnerable agricultural crops are given better protection against pests and diseases. Modern German plant protection science ensures richer harvests all over the world.

No other highly industrialised nation has improved

the general business climate for companies as com-

prehensively as Germany has – according to the

World Bank’s “Doing Business 2006” study. To start

with, Germany offers investors an internationally

competitive taxation system. Income tax rates for

high earners were substantially reduced last year;

and, at 16%, VAT is comparatively low. The time re-

quired for political decision-making processes is be-

ing reduced, while the average working life of em-

ployees is being extended. Additional social costs are

brought down, and job security legislation is made

more flexible. America’s Heritage Foundation and

the Wall Street Journal both consider Germany to

be one of the world’s 20 “free economies”.

The social market economy in Germany has been

continuously modernised over the last few years –

a task continued since 2005 by a stable government

which has the support of 70% of the electorate. As

the figures show, the reforms are working and the

climate for investment continues to improve: produc-

tivity is up, and unit labour costs are down.

Investment requires security. Germany is a reliable

and transparent constitutional state under the rule

of law, whose administrative and legal system is con-

sidered exemplary by many other nations. Bureau-

cracy, outdated laws and regulations are radically dis-

mantled, with characteristic German thoroughness,

of course: for example, the state of Baden-Württem-

berg has recently dismantled half its administrative

regulations.

Inventions, patents, brands and intellectual property

are all strictly protected in Germany. And if you are

faced with the prospect of having to defend your

ideas, in the courts of first instance, civil proceedings

are completed within less than five months on average.

In Germany, investors are supported by regional

agencies. These help to set up companies and en-

sure, for example, that building permits can be swift-

ly obtained. In this way, investors are not impeded

by administrative issues and can instead focus all

efforts on making their business a success.

Germans might not have much of a sense of humour, but they sure can put a smile on investors’ faces.

4 Business Climate

They were in a hurry at Q-Cells. The authorities, too. Allthe formalities were dealt with quickly and unbureau-cratically, allowing the construction of the first solar cell manufacturing plant to be completed in just seven months. Today, Q-Cells is the world’s second largest producer of solar cells, shipping its wares out to all four corners of theglobe. The cells are also in use at the Solarpark Erlasee. Set up by Solon AG, this is Germany’s largest solar power plant, where the photo-voltaic installations turn themselves automatically towards the sun.

1785. The philosopher Immanuel Kant defines reason and free will as the

basis of all human action – and formu-lates the concept of the categorical

imperative, thereby laying the foundation stone of the modern consti-

tutional state under the rule of law.

1955. Germany pulls off the “Economic Miracle” – and the one millionth VW Beetle conquers

the roads. More than 20 million Beetles were built before production

ceased in 2003, making it one of the best-selling cars in the world.

1997. Deutsche Börse AG (the German stock exchange)

develops Xetra, an electronic trading system. On this platform,

shares worth in excess of EUR 10 billion are traded every day. Xetra has since been adopted by exchanges in

Dublin, Vienna and Shanghai.

18

This is owing to the good climate for research and

development, and all the other business “fertilisers”

which the German state offers to entrepreneurs: loan

guarantees, investment grants, technology sponsor-

ship and SME programmes. The Federal Government,

together with BASF, Deutsche Telekom, Siemens and

the KfW Bankengruppe (KfW Banking Group), sup-

ports recently established technology companies by

means of a high-tech start-up fund – seed capital and

management advice included. This makes Germany a

veritable hothouse for business growth.

We keep the road to success short.

Germany

Great Britain

USA

Sweden

Average EU 15

Norway

Ireland

Finland

Spain

8

30

41

44

79

128

93

287

76

*Average annual days lost to strike per 1,000 employees from 1981 to 2003

The Berlin Wall fell in 1989 and, just one year

later, the two German states were politically,

legally and economically united. The fulfilment

of a great dream – and an immense achievement.

Adjusting the socialist planned economy to fit

into a market economy situation was achieved in

a very short space of time and, 16 years after the

unification, Eastern Germany is one of the most

modern regions in the world. Roads, communi-

cations, production facilities: almost everything

is at the highest technological level. Over half a

million medium-size companies benefit from the

resources of “Aufbau Ost” (literally – “building up

the east”).

We’ve overcome the separation of East and West. We’re eager for new challenges.

In 2005 the American chip manufacturer AMD opened its second wafer manufacturing facility in Dresden. The facility is one of the most modern in the world. With the support from the Federal State of Saxony, the Federal Government and the European Union, the project was completed in the shortest time. It took less than two years from breaking ground to commissioning the new plant. AMD is currently focusing its micro -processor manufacturing on the Saxon capital.

“Few countries have a lower incidence of strikes than Germany. Companies and their employees work together constructively. The good working atmosphere benefits your investment.” Source: Institut der deutschen Wirtschaft, Cologne.

19

“Germany has worked to improve itselfsignificantly more than other majorEuropean countries. As a result of thereforms, Germany has become distinctlymore attractive for foreign investors.”

Lorenzo CodognoCo-Chief Economist, Bank of America

5 European Market

Sell your ideas to the largest single market in the world.

Some 150 youngsters dancing in the streets of Berlin – that’s how the Love Parade was born. Just a few years later, the event attracts more than a million visitors from all over the world.

The larger the market, the larger the profit op-

portunities. Europe is the world’s largest single

market in terms of purchasing power. 450 million

consumers spent around EUR 6.28 trillion in 2005.

And Germany, Europe’s most important market,

is right at the centre. 82 million citizens live here,

with a combined purchasing power in 2005 of EUR

1.26 trillion – more than EUR 15,000 per person.

Germany is the perfect location from which to sup-

ply the European market. No other country in Europe

has so many neighbours – nine countries border

Germany, and the eastward enlargement positions

us in the centre of the EU. One third of all member

states are on our doorstep. This makes Germany an

ideal trading location in Europe.

Five of the ten largest European food trading com-

panies in terms of turnover have their headquarters

in Germany – and more than four million people

are employed either in wholesale or retail trade.

Germany is also one of the front-runners in global

e-commerce. Over 30% of the goods and services

offered for sale in Western Europe over the internet

are traded here. And growth is immense: in 2005

alone, turnover in electronic trade increased by 58%

to EUR 321 billion.

We are not that comfortable taking centre-stage. But it’s the best way of reaching everyone.

5 European Market

“Success in Germany is critical to ourEuropean performance.”

Natarajan Chandrasekaran, Head of Global Sales and Operations, at the Indian IT-Company Tata Consultancy Services

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+1

+1

+2

+2

+2

+3

+4

+5

+6

+7

+4,5

+2,5

+5+5,5

+1

+8 +9 +10

+6

+7 +8,5 +9

+7

–1

–1

–2–3–4

–4–5

–6

–6

–7

–8

–9

–10

–8

–6

18.00

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19.00

5.00

1240. German Kaiser Friedrich II bestows the title of trade fair city on the free city state of Frankfurt. Since that

time, Frankfurt has been hosting the world’s first ongoing trade fair.

1860. Philipp Reis develops a machine for sound transmission by means of electro-magnetic waves

– the first telephone – 16 years before Alexander Graham Bell

presents his device.

2002. A new leading international currency is brought into circulation with the introduction of the Euro.

Every coin symbolises the European concept of “unity in variety”. The tail sides of these coins depict symbols

representing the member states. The Euro facilitates trade especially

between 12 Euro-zone countries.

In the course of a ten-hour working day, you will be able to make calls within business hours to almost any country in the world. Tokyo or Los Angeles, you can gethold of your business partners at their desks. How come? Germany’s geographical situation in the Central European time zone makes for an ideal location in a globalised world. Small wonder the telephone was invented here.

22

“Germany‘s geographic position isexceptional. Every global player shouldestablish a strong foothold for theirbusiness here.”

Burkhard SchwenkerCEO Roland Berger Strategy Consultants

Germany is the world’s shop window.

Norway Sweden Finland

Estonia

Latvia

LithuaniaDanmark

PolandGermany

Czech Republik

France

Spain

Portugal

UnitedKingdom

Ireland

Netherlands

BelgiumLuxembourg

Switzerland Austria

Italy

Slowenia

Hungary

Slovakia

Greece Turkey

Bulgaria

Ukraina

Romania

The country in which the car was invented also hosts the largest motor show in the world. Over 1,000 exhibitors display their concept cars of the future at the

“Internationalen Automobil Ausstellung”, or “IAA”, in Frankfurt/Main.

Who will be the no.1 in tomorrow’s digital world? This is a question decided at the world-leading information and communication technology trade fair – CeBIT – in Hanover.

From Germany, you can reach 450 million people within three hours’ flying time, be they in Barcelona, London or Helsinki. The EU’s eastward enlargement positions Germany as a bridge to the continent’s emerging economies.

23

As early as 800 years ago, the continent’s trading

routes crossed our country – a lasting feature: today,

two thirds of all global industry trade fairs take place

in Germany. Each year, 160,000 exhibitors present

their goods and services to 10 million visitors. Five of

the ten largest global trade fair organisers are based

in Germany.

For many industries, the largest global trade fairs

take place in Germany. Here is just a small selection

of what is on offer: The “Hannover Messe” is

Deutsche Messe AG’s industrial show; “Ambiente” in

Frankfurt am Main is the consumer show; “drupa“

in Düsseldorf is the trade show for printing machi-

nes, “ITB” in Berlin is the tourism fair; “Bauma” in

Munich is the construction industry fair. And then

there is, of course, the Frankfurt Book Fair. Cologne

hosts “ANUGA” – the top food fair – drawing around

5,000 international exhibitors to Germany each year.

6 Infrastructure and Logistics

The Autobahn – really, a childhood dream come true.

Your ideas will gather speed on a world-class infrastructure.

We are supposed to be a punctual and reliable lot,

maybe even a little over-meticulous at times. There

might just be something to it; Germany is, after all,

a leading player in logistics – where punctuality and

a passion for the perfect outcome are at a premium.

And thanks to the high level of automation, logistics

is one of our most successful industry sectors, grow-

ing at an above-average rate.

Deutsche Post World Net is the world’s largest logis-

tics company. Its new European hub is under con-

struction at Leipzig Airport where, from 2012 on-

wards, 2,000 tonnes of freight will be processed and

shipped every night, a weight corresponding to

28,500 washing machines.

Ours is one of the most highly developed transport

networks. Transport by road, rail, ship and air: all

the systems link up neatly, with 33 commercial tran-

sit hubs connecting the different transport routes.

More than 1,200 companies have successfully set

up operations at these important hubs.

This is how we are able to pull off logistical master-

strokes time and time again. Be it a furniture sup-

plier or a supermarket, retailers need almost no on-

site storage capacity anymore. Our logistics centres

are hard at work, during the night, to make sure

that the products needed in factories or shops will

be delivered the next day.

Our strong position in logistics is due to the excel-

lent educational standards attained by skilled la-

bour and management. More than 100 German uni-

versities teach Logistics and Transport – of which the

Technical University of Berlin is the most renowned.

Here, teams of students from 25 different nations

collaborate to work out logistics solutions for trade

and industry.

Logistics – a business made for Germans.

Conveniently situated and benefiting from excellent

infrastructure, many of Germany’s regions have be-

come logistics centres. One of these regions is

Northern Hesse – Bad Hersfeld to be precise. The

town takes a leading position in logistics solutions

for “intelligent” production processes, hubs and

replacement part delivery in Germany and Europe.

Numerous international companies and brand

leaders have established their distribution centres

in the area. Amazon is a good example. On a peak

day, 400,000 products leave the online trader’s

logistics centre.

The Swedish furniture manufacturer IKEA has found

the conditions in the North-Rhine-Westphalian city

of Dortmund ideal for its European distribution

operation. In time, the majority of IKEA’s European

outlets will be serviced from this distribution point.

Customers in Germany, Belgium and the Netherlands

already receive their goods direct from Dortmund.

Our transport routes extend right across the world.

6 Infrastructure and Logistics

Germany is famous for its Autobahns. To keep it that way,we are continuously investing in the expansion and the main-tenance of our road network – in the order of EUR 80 billion in the next few years. We have recently completed one of our biggest construction projects: the Ostseeautobahn (Baltic Auto-bahn), which now connects Hamburg to Stettin, via Lübeck. This gives us excellent access to Eastern Europe – and goods get to their destinations that much quicker.

Hamburg is one of the most beautiful cities in Germany. It’s

just a pity merchant seamen can’t enjoy it. After all, Hamburg is one of the fastest and

most efficient ports in the world. Altenwerder, the

container terminal, leads the way for the future of container hand-

ling – and prospects look bright. Container traffic with the Far East

has more than doubled since 2000, making Hamburg the most important European port in terms

of container traffic with China.

Germany has the highest density of airports in Europe. There are 17 internati-onal and more than 40 regional airports here. Frankfurt Airport isthe largest of them – and it’s alsoEurope’s most important air cargohub: 1.9 million tonnes being handled annually. The airport was nominated “Cargo Airport of the Year” in 2004 and 2005. Experts forecast growth of over 50% by 2015.

At over 12,000 kilometres, Germany’s motorway grid is one of the largest in the world: 12,000 km in total – the distance from Berlin to Buenos Aires. Rather striking, considering the size of our country. But the best thing about it: there are no speed limits on more than half of the network.

Germany has over 7,300 km of navigable waterways, meaning you can travel by boat from the Black Sea to the North Sea. Of the 74 urban regions of Germany, 56 are connected to this waterway network.

There are more than 40,000 km of railway tracks in Germany, enough to circle the globe.

1490. The future German Kaiser Maximilian I commissions Franz von Taxis to set up a postal service in his

empire. It is the world’s first continuously operated postal

and transport service based on a uniform system

of service rates.

1896. Gottlieb Daimler constructs the very first lorry. Its 4 BHP engine

manages a payload of 1.5 tonnes.

1971. Hermann Kemper’s idea of a vehicle based on magnetic levitation embarks on its maiden voyage - the Transrapid. The Chinese city of

Shanghai has been connected to its airport in this way since 2003.

26 27

Machines just cannot replace the human feel for quality: at Volkswagen’s “Transparent Factory” in Dresden, cars are made almost entirely by hand.

7 Quality

Let your ideas be “Made in Germany”.

Buyers seek quality. That true the world over. For us,

quality means “Made in Germany”. And it is no coin-

cidence that this sober statement of origin has become

a distinct brand. We set great store by durability, re-

liability, experience, training and brand protection.

“Made in Germany” is a seal of quality which applies

equally to our engineers as well as our products.

German specialists are highly qualified, and strive

for precision. Take Carl Zeiss in Jena : renowned -

for more than 150 years - for the ultimate in precision

lenses and microscopes. Or the master clockmakers

at A. Lange & Söhne in Glashütte. Each clock part is

made to the micrometer, assembled and carefully

regulated. Then they are taken apart, cleaned, and

finally the clockwork is reassembled for good. When

it comes to “Made in Germany”, every second counts,

every gram and every millimetre.

And because we love quality so much, we have intro-

duced standards for it. In Germany, a special authority

is responsible for defining norms, the “Deutsche

Institut für Normung e.V.” – better known as DIN.

Our norm specialists are in demand all over the world;

German experts are represented in 90% of the com-

mittees at the International Organisation for Standar-

disation (ISO).

Safety also depends on quality. From toys and medical

appliances to complex industrial facilities – they

are all subject to the scrutiny of the experts at the

Technischer Überwachungsverein (TÜV, Technical

Inspection Authority). Certified quality is a precious

asset, for consumers depend on it, business part-

ners aspire to it, and courts enforce it to make pro-

duct liability meaningful.

We’re great lovers. Of quality.

7 Quality

In Germany companies comply not only with the

legal standards: it is not uncommon for them to

subject themselves to self-regulation. Making for

top-quality products and a high standard of living.

Our food is also subject to strict controls extending

to the most basic: air, soil and water.

Over 1,500 agricultural enterprises or processing

businesses subject themselves to regular voluntary

inspections, so that their products can be sold with

the “Bio” (organic) seal. 30,000 products carry this

recognised symbol. And the market for organic

goods just grows and grows. In 2004, turnover

reached EUR 3.5 billion.

Guten Appetit, especially to your kids.

Quality for life: the market for organic food is growing in Germany. Claus Hipp is considered a pioneer in this fi eld. For over 50 years, the producer of baby food has focused on creating food products in tune with nature. Today, his com-pany is the world’s largest processor of organic-biological raw materials.

1516. The better the quality of beer, the less severe the hangovers, Duke Wilhelm IV thinks to himself, and in-

troduces the German “Reinheitsgebot” (law of beer purity). It is the very

first example of a quality standard for food products.

1958. Artur Fischer invents the rawlplug. At present, Fischer has registered patents covering

1,100 products.

1980. Petri AG and Mecedes-Benz jointly developed the steering-wheel mounted driver airbag: Precision work that can save a life in a matter of 30 milliseconds. Airbags are stan-

dard equipment in every modern car.

30

“It‘s remarkable that Germany even trumps the US as a producer of branded products.”

Simon AnholtEditor of “Anholt-GMI Nation Brands-Index”

“In our tough and competitive business, success is only achieved by producing innovations that really inspire customers - and combining those innovations with the highest quality and reliability. To achieve this, Audi relies on the knowledge and motivation of its 45,000 staff in Germany.”

Prof. Dr Martin WinterkornCEO, AUDI AG

We want functionality and perfection to look good.

Which is why we inaugurated one of the world’s

largest design competitions: the Red Dot Design

Award. Each year manufacturers and designers from

over 40 different countries battle it out for an award

in one of the industrial product categories. Today,

the Red Dot is more than a competition – it is the

hallmark of the best in design and business.

Form follows function. And awards often follow close behind.

Basler AG produces machines designed to control machines. Many of its products make the company a global market leader for optical quality control.

German brands are popular throughout the world because they stand for unvaryingly good quality.

31

By 2011, up to 30 Galileo satellites will form a satellite navigation network to be used anywhere in the world. Implementation of the European project rests with one of Germany’s space flight control centres.

Discover new markets for your ideas. With the world export champion.

8 Export

Germany is the world export champion: in 2005

alone, we exported goods valued at over US$ 900

billion - roughly 10% of world trade. What does it

take to get there? Quality products sought after

throughout the world. And a flair for international

markets. Government bodies and commercial asso-

ciations alike support Germany’s exporting busines-

ses: the German Office for Foreign Trade (Bundes-

agentur für Außenwirtschaft), embassies, consulates,

foreign chambers of commerce, business development

agencies, all offering competence and commitment

to help open up markets and establish new

business relationships. Via the iXPOS internet plat-

form, several key players involved in promoting

German foreign trade offer their services-targeting

medium-sized companies amongst others. The sys-

tem has proven its worth. We understand the glo-

bal marketplace better than any other country. And

thanks to our excellent logistics, we are quick to

respond to opportunities.

German export feats bring to mind automobiles,

mechanical engineering and chemistry. But Germany

is also very successful in other sectors: communi-

cations technology, electrical machines and ap-

pliances, medical and optical precision instruments.

More than 900 German medium-sized companies

occupy leading positions on the world’s markets.

They are technology leaders in their industries, in-

vesting on a global level in close-to-the-customer

operations for sales, marketing and distribution.

And they succeed in products as diverse as coffee-

roasting machines, conference equipment, high-

pressure cleaning systems, canteen kitchen tech-

nology, flavours, perfumes, and motorised saws.

We are even involved in extraterrestrial export:

German technology orbits the Earth aboard a Galileo

test satellite, and our special camera, mounted on

the “Mars Express” space probe, is taking wonder-

ful pictures of the red planet. But one export area is

declining: CO2. Since 1990, we have reduced our CO2

emissions by 18.5%, nearly meeting the requirements

laid down in the Kyoto Protocol.

8 Export

Our strongest exportsectors in 2004 Percentage of German

production exported

Cars

Mechanicalengineering

Chemical industry

22%

19%

13%

71%

70%

70%

Percentage of the global market

1974. The crime serial “Derrick” makes its TV debut - and playwright

Herbert Reinecker launches a great export success. Today,

Chief Inspector Derrick is known to people in 100 countries – from

Australia to Zimbabwe.

BMW, DaimlerChrysler, Ford Germany, Opel, Porsche, Volkswagen – one in five vehicles produced in 2005 represented a German brand. While loving our cars, we are happy to share them: over 70% of domestic production is exported – via the Bremerhaven Autoter-minal, for instance, where luxury vehicles are loaded for shipment to overseas markets.

1879. Felix Hoffmann develops the first non-perishable and

innocuous pain killer, soon to be widely known as “Aspirin”.

A milestone in medical history.

1949. Fritz Stastny develops styrofoam. Though consisting of

98% of air, it is rugged and durable, making it perfectly suited for export –

as a packing material.

34

A sweet idea becomes a global success.

In 1920 Hans Riegel from Bonn sets up his own

company – Haribo. Two years later he invents the

“Dancing Bear”, the figure of a bear made from fruit

gum, which later becomes world-famous as the Haribo

Goldbear. By the end of the 1920s, Hans Riegel estab-

lishes his first business contacts abroad.

The Goldbear has since conquered the world. Today

it is a synonym for fruit jelly sweets. Haribo exports

to 105 countries – over 100 million Goldbears leave the

production plants every day.

Five young entrepreneurs in North Baden set up SAP

in 1972. Unable to afford their own computer, they

manage to report a turnover of EUR 317,000 in their

first year of business. Today, SAP is the world’s third

largest independent software supplier, with an annual

turnover of EUR 8.5 billion. 32,000 customers in 120

countries employ SAP software and business applica-

tions. The key to success: favourable local conditions,

know-how, and creative, committed employees. And

SAP is not the only company knowing how to suc-

ceed: the German information and communication

technology industry contributes over 11% to total

exports – and the trend is upward.

In Germany you can make it big. Even if you start off small.

From Mount Rushmore and the hill of Corcovado to the Valley of the Kings – around the globe, German technology ensures the world is kept clean. Kärcher is a world brand leader in cleaning technology, exporting its appliances to over 160 countries. The family-owned company shares its success by cleaning some of the world’s most famous monuments – at its own expense.

35

You can be successful anywhere in the world. As long as you’re in Germany.

Millions of people from all over the world have enjoyed German hospitality. So will you.

9 Cosmopolitanism

Germans love their beer. Especially in the company of good friends.

The Germans are world travel champions. No wonder

we are happy to accommodate visitors. People from

all over the world enrich life in Germany.

Numerous organisations promote a lively exchange

with other cultures and religions. Freedom of re-

ligion is anchored in our constitution – any faith

is welcome to feel at home in Germany; mosques,

churches, synagogues and temples attest to it. Over

120 different religious persuasions are represented

in Germany. Diversity and freedom of the press is

very dear to us. Nowhere will you find a more multi-

faceted media environment. A rich choice of specia-

list magazines, international publications and several

hundred daily newspapers are available everywhere.

Over seven million people from abroad live in

Germany. Düsseldorf on the banks of the Rhine

river is the location of choice for the European head-

quarters of Japanese companies. There are Japanese

restaurants, bookshops and schools. Communities

like this can be found in every major city. Hamburg,

for example, draws people from Portugal, while

Berlin is the favourite place of residence for Turkish

immigrants. There are an estimated 25,000 Chinese

students at German universities, while the multi-

lingual Viadrina European University in Frankfurt

an der Oder is particularly popular with Polish

students.

Economic factors aside, it is this cosmopolitan spirit

that helps to explain why some 22,000 foreign-

invested companies have set up business successfully

in Germany, generating an annual turnover of EUR

1 trillion and employing around three million people.

Few travel as much as we do. That’s why we know what hospitality is about.

9 Cosmopolitanism

He is young, he does not have much money, but he

does have an idea. The year is 2000 and 22-year old

Veit Kühne creates a hospitality portal on the inter -

net. Since then, members of hospitality club.org

have been able to find themselves a free bed for

the night, or a city tour. Over 120,000 people from

200 countries have become members. With over

22,000 members, Germany tops the list of regis-

tered hosts.

Neighbourly help, in a global village.

1909. The word’s first youth hostel is opened in Altena Castle, Hagen, by

teacher Richard Schirrmann. Today, thousands of people are able to find inexpensive accommodation in over

60 countries – whatever their age.

The Max Planck Institute enjoy an excellent global reputation. And at the Max Planck Institute of Molecular Cell Biology and Genetics, employees from 31 different countries carry out research together under one roof. The majority of leading positions is held by foreign scientists. In total, almost 6,000 people from all four corners of the world are employed by the Max-Planck-Gesellschaft.

1650. Leipzig printer Timotheus Ritzsch publishes the first daily

newspaper. Called the “Einkommende Zeitungen”, it proves a hit with a fast-growing readership

keen on news from around the world.

1839. Karl Baedeker publishes the first modern travel guide.

His trademark: clarity and timeliness. Today, Baedeker accompanies travellers in over 150 countries.

38

The text book doubles as a passport.

Cosmopolitanism is the language of the future.

Germans study all over the world: which are the students‘ favourite places abroad?

1. Great Britain 2. USA 3. Switzerland 4. France 5. Austria 6. Spain 7. Netherlands 8. Sweden 9. Australia 10. Italy

The whole world studies in Germany: which countries do the most foreign students come from?

1. China 2. Poland 3. Bulgaria 4. Russian Federation 5. Morocco 6. Turkey 7. Ukraine 8. France 9. Cameroon 10. Austria

Germany is popular with students from all over the

world. More than 180,000 foreign students are en-

rolled at German universities – which is around 9%

of the total student population. Globally, this puts

Germany in third place – just behind the USA and

Great Britain.

German students are also keen to see the world:

around 3% of the world’s students studying away

from home are German – the third-largest group

behind the Koreans and Japanese. The German

Academic Exchange Service (DAAD) organises ex-

changes in both directions. More than 1.2 million

academics have been supported in their studies abroad.

Children in Germany learn early the importance of get-

ting along with one another – in the playground, or at

school. The first foreign language is introduced in a

growing number of kindergartens: and in the Saarland,

for example, bordering France, kindergartens actually

swap groups regularly with their French counterparts.

Second and third foreign languages are taught at

school, but there is no substitute for practical applica-

tion. This is why many children are not just learning

vocabulary at school: instead they benefit from bilin-

gual teaching – in all subjects. There are around 600

bilingual schools in Germany, the majority of which

teach in English and German - but Spanish, Russian,

French and Chinese are all on offer, too.

Our capital city has much cultural variety on offer. Of the 3.4 million people who live here, every seventh person has a foreign passport. This colourful mixture creates atmosphere, because every culture has its own festivals. So there is always something to celebrate. All that remains is to celebrate the cultures themselves – something which happens each year when the Culture Carnival parades through the streets of Berlin.

39

Great ideas deserve a high standard of living.

10 Living

Neuschwanstein in Bavaria is one of the most visited castles in Europe – but it’s just one of over 10,000 castles in Germany.

“No other European country has a wine and culinary culture as well-developed as Germany’s .”

Vincent MoissonnierChef at the “Le Moissonnier” restaurant

No other country in the world boasts as many “Sport-

vereine”, or sports clubs, as Germany does: some

90,000 of them invite you to stay fit or to improve the

health of body and soul. We have even invented a new

word for it: “Volkssport”, which more or less means

“fun for all”. As for exercise, Germans are always open

to new ideas. Big inline skating events take place

regularly in our cities, and it was on our cliff faces

that the first freestyle climbing took place. Playing

football, sailing, surfing, skiing, you name it, just

go ahead with it. For those who like to take it a little

easier, there are 650 golf courses and thousands of

fitness centres and health farms.

Sportverein. Making you sweat.

Art and music make our lives complete. We enjoy not

only the classics – Bach, Beethoven and Brahms, but

also contemporary stars from all over the world, from

Eminem and Robbie Williams to Anna Netrebko.

International stars love their German fan clubs, often

making several appearances in Germany during their

world tours. Sold-out stadiums and concert halls await

them in every major city – and in summer there are also

the big music festivals. Many music lovers of dif-

ferent genres regard these as fixed institutions: the

“Schleswig-Holstein Music Festival”, the “Hurricane”

in Scheessel, the “Ansbach Festival”, which honours

Johann Sebastian Bach, or the “Rock am Ring” held

at the Nürburgring racing circuit. As for smaller ven-

ues, countless clubs and pubs play host to small-scale

performing arts events, cabaret or spontaneously

organised jazz evenings.

Alternatively, you can make your own music. You

can hardly find an instrument that is not taught in

one of Germany’s numerous music schools. Or

join one of our many amateur orchestras.

Ta ta ta taaaaa … ta ta ta taaaaa …

A famous German song poses the question: “Why

is it so nice along the Rhine?” But it really should be

asking, “Why is it so nice along the Rhine, along the

Danube, the Neckar, the Elbe, the Mosel, the Weser

and the Spree?” Everywhere you go in Germany, you

will find an impressive blend of culture and nature.

This has a lot to do with Germany’s federal structure:

16 federal states (Bundesländer) vying for conten-

ted citizens makes for fruitful competition.

Each of the federal states takes great care of its

treasures – like the 31 places which UNESCO has

declared part of the Cultural and Natural World

Heritage. Then, there are our historic cities, with

their architectural masterpieces stretching back over

two millennia. And Germany‘s 6,000 museums.

Also, there are cultural highlight events up and down

the country – like “Art Cologne”, the “Richard

Wagner Festival” in Bayreuth, or the “Berlinale”,

the International Film Festival, attracting large num-

bers of celebrities from all over the world to the

capital city of Germany .

Germany is one of the safest countries in the world.

Our politicians stroll safely through a flea market,

the children of our managers take the bike to get to

school, and those who want to go jogging at night

can do so to their hearts’ content. However, daylight

tours are preferable so as to appreciate the surround-

ings more fully: even our major cities are green. In

Berlin, you might find yourself standing in a forest

all of a sudden: right in the city centre, the capital’s

“Tiergarten” park takes up a forested area sprawling

across two square kilometres. And Munich’s

“Englischer Garten” is nearly three times the size of

London’s Hyde Park.

Or let the countryside put you in the holiday mood.

The diversity of landscapes is unique – and we make

sure it stays that way. Inside and outside the 15 national

parks and 90 nature parks, you will find that culti-

vating the natural environment is a ubiquitous passion.

Among the most popular holiday destinations are

the Alps in the South with snow guaranteed, the

Palatinate Wine Route, the legendary Black Forest

and the white-sand beaches that fringe the North

Sea and the Baltic Sea.

Invest in Germany. And in your quality of life.

“Business trips have taken me all over the world, but I haven’t yet come across a country as wonderfully green as Germany.”

Yoichi TomiharaPresident of Toyota Deutschland GmbH

10 Living

If Berlin’s 55 square kilometres of green are not enough for you, a three-hour drive takes you to the Baltic Sea. And if you want to get out of Munich, an hour in the car will get you to Garmisch-Partenkirchen –a fine place for climbing or skiing on the slopes of the Zugspitze.

See state-of-the-art architecture emerge in Germany. Right in the middle of Hamburg’s port, for example, the star Swiss architects, Herzog & de Meuron are building the Elbphilharmonie (Elbe Philharmonic Concert Hall) on the top of an old warehouse. The Elbphilharmonie is supposed to attract 1.7 million owners. Due to be completed in 2009, every citizen of Hamburg can take a stake in the structure, supporting the city’s new landmark – via the Elbphilharmonie Foundation.

You can really listen to your stomach in Germany. Sausage, pretzels, schweins-haxe (knuckle of pork) and sauerkraut are all famous around the world. And so is our bread, and our beer. Some- times it can be a little hard to choose between the 300 different types of bread and the 5,000 different beers. But we also have a great deal to offer to those with a finer palate: 200 award-winning restaurants invite you to feast the German way – enjoying exquisite food that satisfies the highest international standards. Germany’s youngest Michelin-starred chef, Sybille Milde is a good example. She was just 27 when she managed to convince the Michelin Guide connoisseurs of her skills.

1810. A corporal proposes a big party to celebrate the marriage of Crown Prince Ludwig of Bavaria. A resounding success, the party

is repeated every year. The Oktoberfest is born, meanwhile

drawing six million visitors each year.

1907. Henkel launches the first modern detergent: “Persil”.

Oxygen release greatly facilitates the washing; and the lovely feeling

of freshly washed clothes can be had every day.

1992. The Fraunhofer Institute in Erlangen comes up with a

world-beater: its digital audio format – MP3 – defines the international standard.

Now thousands of songs fit into your trouser pocket.

42 43

The Land of Ideas is a European leader in industries that will shape the future.

11 Technologies of the Future

From 2050 onwards, the first fusion power stations will be delivering the energy of the future. German scientists involved in the Stellarator project are developing and testing the requisite technology.

Some steps taken toward the future are small, but

their impact on tomorrow’s markets can be huge.

Germany believes in nanotechnology, and with public

funds in the order of EUR 290 million to back re-

search and development, it is Europe’s protagonist

in the field. Roughly half of all European nanotech

companies are based in Germany.

Europe’s most advanced microchip factories are

based in the State of Saxony. More than 750 pro-

ducers of semiconductors and component sup-

pliers have moved to the area around the AMD and

Infineon plants. They are busy, for Germany is the

world’s third-largest information and telecommuni-

cations technology market.

Biotechnology bolsters growth, playing a key role

in the future of industries involved in medicine,

chemistry, physics, information technology and

material science. There are 34 biotech regions in

Germany, inviting investors to benefit from their

know-how and skilled labour force. And the result:

second only to the USA and Japan, Germany regis-

ters the largest number of biotech patents at the

European Patent Office.

Not least of all for the benefit of our children, we

keep our eyes fixed on the future, paying much at-

tention to environmental technology. German com-

panies pave the way for renewable fuels and solar

technology. And fuel cells – the energy source of

the future. In fact, there are already practicable solu-

tions available in Germany: fuel cell systems that

do not depend on the electricity grid power traffic

monitoring equipment; in a few years’ time, the

technology may be powering laptops.

The optical industry’s future looks bright - 25%

of laser equipment used around the world is of

German origin. The market share in material

processing is about 40% and is set to increase.

It’s been said that we give too much thought to the future. Well, it’s our passion, after all.

11 Technologies of the Future

Water in the fast lane. The prototype H2R can go faster than 300 km per hour, it holds nine world records and runs on hydrogen. With the H2R, BMW proves that hydrogen can replace conventional fuel types without the need to com-promise on driving pleasure. Within the next two years, the Bavarian car maker will be launching a 7-Series BMW that runs on a hybrid dual hydrogen/petrol system.

2010. The market for “smart clothing” is buoyant –

clothing designed to prevent heart attack with embedded electronic

devices monitoring body functions and reporting irregularities. The

sensors are machine-washable and available over-the-counter.

2011. CargoCaps provides underground transport in the Ruhr

area – a duplex tube, 80 km in length, connects all the major

logistical centres, manufacturers and local distributors. More cost-effective

than lorries, and: no traffic jams.

2025. Aramies explores Mars by herself. The robotic cat is superior to wheeled

vehicles. She can climb. On Earth, she is used as a diagnostic robot, inspecting

ships and harbours with her state-of-the-art sensor system.

46

Our biggest weapon inthe battle against cancer measures 15 nanometres.

A new technology from MagForce Nanotechnologies

AG takes a revolutionary approach to fighting ma-

lignant cells possible: miniature iron oxide particles

are injected into the tumour weakening it when

magnetically activated. The resulting heat eliminates

cancer cells selectively from within.

The method has been tested on patients at the Berlin

Charité Hospital since 2003. Side effects are minor,

while the method makes for milder treatment. The

economic implications are immense: Germany is the

third largest market for medical technology in the

world. The period from 1995 to 2003 has seen annual

increases in domestic turnover of 5.5%; the figure for

non-domestic turnover is 10.2%.

No longer the stuff of science fiction: it is about to

become reality. A brand-new hand prosthesis allows

the wearer to feel pressure, heat and cold. Tiny

electrodes send signals from the hand directly to the

brain. By the reverse process, the hand can also be

used much more precisely. This new technology is

likely to be available within the next five years.

Contributing to the European projects – Cyberhand

and Neurobiotics - German researchers from the

Fraunhofer Institute for Biomedical Technology

have developed an interface between man and

machine.

Germany is one of the world’s most important places

for neuroprosthetics. A number of new developments

will be brought to market within a few years.

With the help of neuroprosthetics, epileptic fits

may be reduced, those afflicted by paraplegia might

be able to move, and blind people could partially

recover their sight.

More feeling: the revolutionary hand prosthesis.

47

“Mental ray” makes visions meet the eye. Bearing witness to it is Daniel Libeskind’s plan for Ground Zero, among others. Purpose-built software made in Berlin not only shows New York’s skyline in the proper light, it defines new standards for Hollywood, playing a leading role in more than 150 films, including “Star Wars”, “Matrix”, and “Alexander”. With its software, the company “mental images” is a global leader in computer-generated film images and effects. The mental ray rendering software for motion pictures lends extraordinary realism to computer-generated scenes. Credit where credit is due: the Academy of Motion Picture Arts and Sciences awarded the developers an Academy Award for “Technical Achievement” in 2003.

“Germany is ideally placed to develop an exit strategy taking the country away from oil and gas, and moving it into renewable energies and hydrogen. It is capable of leading the third industrial revolution.”

Jeremy Rifkin, Economist and President of the “Foundation on Economic Trends” in Washington.

Our thanks go to Johannes Gutenberg for making this publication possible.

Picture credits

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Editorial Appendix

1450. Johannes Gutenberg invents the modern printing press, using

moveable type for large print runs. With unit costs spectacularly lower compared to hand-written copies and the attendant advances in text precision, science and

literature receive a tremendous boost from Gutenberg’s invention.

Picture credits Inside Cover – Graphic: © Michael Vestner.Foreword – Title: © picture-alliance/dpa.01 Human Resources – Title: © ullsteinbild/Scherhaufer, Illustration: © Kai Bardeleben, Illustration:© Siegmar Münk, © I. Schmitt-Menzel WDR mediagrouplicensing GmbH/Die Sendung mit der Maus ® WDR,Photograph: © Volker Dautzenberg/TRUMPF GmbH &Co. KG, Photograph: © Jamba! GmbH, Photograph: © picture-alliance/dpa, Photograph: © Philipp v. Reckling-hausen/Architecture: ® Sir Norman Foster. 02 Innovation – Title: © Hartmut Nägele,Illustrations: © Siegmar Münk, Illustration Z3-Computercourtesy of archive Dr. Horst Zuse/Berlin, Photograph:© Mauritius/Pixtal, Photograph: © Siemens AG,Photograph: © Loewe AG.03 Research and Development – Title: © Airbus Deutschland GmbH, Illustration: © Kai Bardeleben courtesy of DHM/Deutsches Historisches Museum, Illustration: © Siegmar Münk courtesy of Ernst Ruska Archiv e.V. Berlin/http://ernst.ruska.de, Illustration: © Siegmar Münk courtesy of DLR/Deutsches Zentrum für Luft- und Raumfahrt e.V., Photo-graph: © DB Awi/dpa, Photograph: © Philips EUV GmbH. 04 Business Climate – Title: © Bayer AG,Illustration: © Kai Bardeleben, Illustration: © SiegmarMünk, Illustration: © Siegmar Münk, Photograph: ©Paul-Langrock.de, Photograph: © Sven Döring/AMD,Graphic © Michael Vestner/Source: Institut der DeutschenWirtschaft Köln. 05 European Market – Title: © WolfgangRattay/Reuters/Corbis, Illustrations: Siegmar Münk,Illustration “Privileg Nr. 5” courtesy of Institut für Stadtge-schichte Frankfurt am Main, Graphic: © Michael Vestner, Photograph: © A. Reeg/Visum, Photograph: © ullsteinbild/Caro/Meyerbroeker, Graphic: © Michael Vestner. 06 Infrastructure and Logistics – Title:© Felix/zefa/Corbis, Illustrations: © Siegmar Münk,Photograph: © ullsteinbild/KPA, Photograph:© Modrow/laif courtesy of HHLA, Graphic: © Michael Vestner. 07 Quality – Title: © Michael Salz/vario-press, Illustra-tions: © Siegmar Münk, Photograph: © Corbis, Photograph: © Basler AG. 08 Export – Title: © ESA/dpa, Illustration:© Siegmar Münk, Illustration: © Siegmar Münk,Illustration: © Kai Bardeleben, Graphic: © MichaelVestner, Photograph: © Ingo Wagner/dpa, Photograph:© David Franck/Alfred Kärcher GmbH & Co. KG.09 Cosmopolitanism – Title: © Jan Greune/LOOK/ Getty Images,, Illustrations: © Siegmar Münk, Photograph: © Christine Panagiotidis/mpi-cbg, Photograph: © ullsteinbild/Müller-Stauffenberg courtesy of Gruppe Afoxé Loni/www.afoxe-loni.de. 10 Living – Title: © Ray Juno/Corbis courtesyof Bayerischen Schlösserverwaltung/www.schloesser.bayern.de, Illustrations: © Siegmar Münk, Photograph:© plainpicture/Kuttig, Photograph: © Werner Baum/dpa, Computer Animation: © Herzog & de Meuron. 11 Technologies of the Future – Title: © Elleringmann/laif, Illustrations: © Siegmar Münk, Illustration CargoCap courtesy of CargoCap GmbH, Computer Animation: © Archimation courtesy of Studio Daniel Libeskind, Photograph: © BMW Group, Epilogue Illustration: © Kai Bardeleben.

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Editorial Appendix

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02 Innovation: Consult the section below for a more comprehensive list of innovations by German automotive manufacturers: ABC: Active Body Control, ABS: Anti-blockiersystem (Anti-block System), ACC: Adaptive Cruise Control, ADS: adaptiertes Dämpfungssystem (Adaptive Damper System), AHL: Active Heading Light,ARS: Aktive Rollstabilisierung (Adaptive Drive), AS: Active Steering, ASC+T: Automatic Stability Control + Traction, ASD: Automatisches Sperrdifferenzial (Automatic Locking Differential), ASF: Audi Space Frame®, AUC: Automa-tische Umluft Control (Automatic Air Circulation Control), BAS: Bremsassistent (Brake Assist), CAN: Controller Area Network, CBC: Cornering Brake Control, CISS: Crash Impact Sound Sensing, DDE: Digitale Diesel Elektronik (Digital Diesel Electronics), DME: Digitale Motor Electronik (Digital Motor Electronics), DSG: Direktschaltgetriebe (Direct Shift Gearbox), EDC: stufenlose, elektronische Dämpfkraftverteilung (Electronic Damper Control), ESP: Elektronisches Stabilitäts-Programm, (Electronic Stability Programme), EWB: Electronic Wedge Brake, H2R: Hydrogen to Race (prototype of a hydrogen-powered race car), HDC: Hill Descent Control, MID: Multi-information Display, PCR: Piezo Common Rail, PDC: Park Distance Control, RPA: Reifen Pannen Anzeige (Tyre Puncture Warning), SBC: Sensotronic Brake Control, TMC: Traffic Message Channel, UDS: Unfall-datenspeicher (Accident Data Recorder), VTG: Variable Turbinengeometrie (Variable Turbine Geometry), W12: Engine with two V6-modules arranged like a W, ZAS: Zylinderabschaltung (Cylinder Shut-off)

03 Research and Development: “Germany is the No.1 place in Europe for Research & Development. This is what business leaders around the globe say according to a 2005 survey.” This statement is based on the European Attractiveness Survey 2005, titled “Emerging Economies Stake Their Claim” conducted by Ernst & Young. The original quote on page 21 of the survey reads: “Executives’ most preferred site for: R&D quality and capacity: Germany is a clear leader in this field.” 09 Cosmopolitanism: ”...some 22,000 foreign companies have set up business successfully in Germany, generating an annual turnover of EUR 1 trillion and employing around three million people.“ These 22,000 foreign invested companies in Germany may be grouped into three categories: 1) companies supported by direct foreign investment, 2) companies supported by direct foreign investment or by indirect foreign investment via a dependent domestic holding company, 3) companies supported by different forms of indirect foreign investment.

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