The export revenues of the intellectual property and technology industry in Iceland have quadrupled since the turn of the century. Given the current outlook, the sector is expected to become the largest export base in the Icelandic economy before 2030. This shift in the structure of the economy will require an estimated 9 000 specialists with vocational education and training in various technical fields.
These are among the findings of a new analysis of Icelandic industry in international environment conducted by Ingólfur Bender, Chief Economist of the Federation of Icelandic Industries (SI), and presented at the confederation’s annual conference in March 2025. The topic of the 2025 conference was the competitiveness of Icelandic industry in an international environment at a time of technological revolutions and tariff wars.
The Federation of Icelandic Industries is by far the largest member organisation of the Confederation of Icelandic Employers.
Industry already the largest export sector
Icelandic industry has grown significantly in recent decades and changed dramatically since 1980, when fisheries accounted for almost 60% of the country's export revenues. The fact that the fisheries sector still creates a lot of value explains the lower growth in the share of the largest sectors, which have at the same time delivered greater diversity and resilience to the Icelandic economy. Industry as a whole is now the largest export sector, delivering around 48% of export revenues.
Intellectual property industry’s share of export
The intellectual property industry includes companies in information technology and telecommunications, computer games, filmmaking, pharmaceuticals, life and health technology and various high-tech industries.
- The intellectual property industry's share of export revenue was around 4% in 2000 but increased to 16% in 2025.
- It is projected that 29% of export revenues will be generated by intellectual property-related activities in 2030.
- The sector will then have become the largest of the four main pillars of the Icelandic economy: fisheries, energy-intensive industries, tourism and the intellectual property industry.
Changing landscape
It can be concluded that the intellectual property industry will form the largest export base by the end of the decade. However, the government needs to ensure the competitiveness of Icelandic industry and business in a completely changed world. This requires 9 000 technical specialists to start work within five years. This was stated by Sigurdur Hannesson, CEO of the Confederation of Icelandic Industries, at the annual conference on 6 March 2025. Otherwise, Iceland may fall behind and lose in a new race driven by artificial intelligence.
Read more (in Icelandic)
- Hugverkaiðnaður stærsta útflutningsstoðin í lok áratugar [The manufacturing industry is the largest export pillar at the end of the decade]
- „Við þurfum 9000 tæknisérfræðinga á næstu fimm árum“ [We need 9,000 technical specialists over the next five years]
| Please cite this news item as: ReferNet Iceland and, & Cedefop (2026, March 16th). Intellectual property industry becomes the largest export base in Iceland. National news on VET |