You position Matrix42 strongly as software made in Europe. Why is that important?
Most software and digital platforms today are made in the US, particularly on the West Coast. The point is not that they should do less—I lived in the US for five years while working at Microsoft, and there are great people, technology, and innovation there. But Europe should do more.
The imbalance is striking: 86 % of leading digital platforms come from the Americas, while Europe accounts for just 2 %. That is despite Europe representing almost 10% of the world’s population and 15–20 % of global GDP. We are falling behind.
There are three reasons why Europe must do more. First, the economic case: our lives and businesses run on these platforms, and we are missing out on an enormous opportunity if we do not build them ourselves. Second, values: Europe stands for freedom, democracy, equality, rule of law, and human rights—principles that must be embedded in tomorrow’s algorithms and platforms. Third, innovation: the best ideas emerge when diverse backgrounds contribute. If all innovation comes from the US and Asia, mankind misses out. Europe needs to step up.
Why is Europe so far behind the US? What makes the difference in terms of IT sector size?
Commercially, Europe lags far behind, which is clear from the numbers I mentioned. Those come from Prof. Dr. Holger Schmidt at Darmstadt Technical University, who tracks the digital platform economy annually. From a technology and skills standpoint, the gap is smaller—but still real.
The US benefits from a large, unified home market, which lets companies scale quickly before competing globally. Europe remains fragmented—even within the EU—due to differences in regulation, taxation, and language. That slows scaling. Another factor is capital and mindset. US investors tolerate more risk, more capital is available, and entrepreneurs aim to dominate the world, not just build a €10 or €50 million business and sell. Finally, the US excels at commercializing innovation, particularly in product management—the discipline linking customers, sales, and technology while building scalable solutions. Europe must improve here.
Do you see an area where Europe could lead in technology?
Yes. Ethical AI is one area where Europe has real opportunity. It is challenging because it requires balancing regulation and innovation, but we are positioned to get it right. It is not guaranteed, but it is a space where Europe can lead.
The ethical dimension of AI will only grow in importance. Issues are already surfacing worldwide, and Europe can shape how AI evolves responsibly. This could be our defining contribution.
What does ethical AI mean to you? What values should be reflected in algorithms?
It means algorithms and products must contribute positively to society while leaving room for innovation. The EU AI Act is a good example: well-intentioned and broadly in the right direction, but detail matters.
Take our AI service management offering. We considered adding sentiment analysis to help agents gauge tone in service desk requests. But under the EU Act, such a feature risks being classified as “high risk,” triggering extra regulation and costs for us and customers. That is the balance we must strike. In contrast to regions where AI is either unregulated or tightly state-driven without prioritizing citizens, Europe has a better starting point. Some regulation benefits everyone, but overregulation must be avoided.
What shared priorities led you to merge Matrix42 with Efecte?
Our shared vision is to build a strong European choice in service management software. The market deserves it. It does not mean everyone must buy from us, but competition is healthier if there is a credible European contender.
Size also played a role. Companies in the US and elsewhere often grow larger before expanding globally. By merging Matrix42 and Efecte, we created a SaaS company with over €100 million in annual recurring revenue. That places us among a select group of European firms at that scale, enabling credible investments in AI and new technology. It ensures we not only stay in the race but can compete long-term with much larger global players. Beyond logic, there was also emotion—an ambition to show Europe can produce strong contenders.
What are your innovation priorities today?
AI is central, but always as a means to an end. Technology should serve outcomes that would not be possible otherwise: better employee experience, reduced costs, higher productivity. Too often, AI is pursued just for the sake of it.
Service management, based on the ITIL framework, has been around for decades and is service-centric, not user-centric. If your printer breaks, you report an incident, it is routed to IT support, and you get the standard email: “We have received your ticket.” It is reactive, not proactive.
We believe the model is shifting toward proactive, user-centric service. Compare using your laptop at work with your smartphone: install an app, swipe, and instantly money moves, relationships are built, or documents created. It is seamless, intuitive, and always suggesting next steps. We want to bring that B2C experience into B2B service management. Generative AI is the enabler. Over the past two years, we have introduced AI-driven features that move us closer to that vision.
How willing are organizations to adopt AI solutions? Do some sectors move faster than others?
Adoption is happening broadly, and surprisingly, the public sector has been very active. Traditionally, it is seen as slower, with longer decision cycles. But we have had both public and private sector customers implement AI solutions.
One strong example is the Finnish National Agency for Education, which adopted our AI technology to help users resolve needs automatically on a public website. Our knowledge discovery feature reduced tickets requiring human support, streamlined inquiry management, accelerated responses, and freed staff for higher-value work. That shift—from experimenting with new tech to deploying specific, outcome-driven use cases—shows adoption is maturing fast.
Can you share a concrete use case of how AI enhances your services?
Take the classic service management process. If your printer breaks, you log into the portal, fill out a form, and submit a ticket. It gets routed to an agent, and you exchange messages: “Try rebooting,” “It did not work,” and so on. Sometimes it ends with a remote session. It is often long and frustrating.
With our AI-powered platform, knowledge discovery transforms this. Type your issue, and the system instantly scans FAQs, manuals, and knowledge bases, returning a summary of relevant fixes. Since 80 % of reported issues can be solved this way, self-resolution rates rise dramatically. The result is faster resolution, higher satisfaction, and lower costs, with fewer IT staff needed. This extends beyond IT. In HR, for example, employees can instantly access vacation policies or hiring procedures. Looking forward, we are developing agentic AI that does not just suggest fixes but takes action—installing drivers or making configuration changes automatically. That will close the loop from diagnosing to resolving, fully AI-driven.
