AI in Spain and Portugal 2025 — Madrid, Barcelona, Lisbon
The Iberian Peninsula is undergoing a full-scale digital transformation. Spain and Portugal, long considered technology followers, are now asserting themselves as serious AI players on the European stage. With competitive costs, a growing talent pool and a bustling startup ecosystem, Madrid, Barcelona and Lisbon are attracting investors and entrepreneurs from around the world.
Spain: A Rapid Rise
The ENIA National Strategy
Spain launched its Estrategia Nacional de Inteligencia Artificial (ENIA) with an investment of 600 million euros over the 2021-2025 period. This strategy is built around six pillars:
- Strengthening scientific research in AI
- Promoting digital capabilities of businesses
- Developing sectoral data platforms
- Integrating AI into industrial value chains
- Training talent and adapting the labor market
- Establishing an ethical framework for AI
By 2025, the results are tangible: Spain now ranks in the European top 10 for AI scientific publications and in the global top 15 for the number of AI startups.
Barcelona: The Mediterranean AI Hub
Barcelona has established itself as the technology capital of Southern Europe. The Catalan city combines economic strengths, quality of life and an innovation ecosystem to attract the best talent.
Barcelona's Startup Ecosystem
The 22@ district, a former industrial quarter converted into an innovation district, houses more than 1,500 tech companies. Among Barcelona's notable AI startups:
- Typeform — AI-based intelligent conversational forms
- Factorial — AI-augmented HR and talent management
- Verse — Smart payments and fintech
- Kognia Sports Intelligence — AI-powered sports video analysis
Mobile World Congress and AI
The MWC, the world's largest mobile phone trade show held annually in Barcelona, has become a must-attend event for AI. In 2025, over 40% of exhibitors showcased solutions integrating artificial intelligence, from smart 5G to advanced voice assistants.
Companies looking to stay informed about these AI developments can follow the in-depth analyses published on Vocalis Blog, which regularly covers conversational AI and automation trends.
Universities and Research
Barcelona boasts an exceptional university network for AI:
- UPC (Universitat Politecnica de Catalunya) with its BSC supercomputing center
- UPF and its Department of Information and Communication Technologies
- ICREA which attracts world-class researchers
The Barcelona Supercomputing Center (BSC) hosts MareNostrum, one of Europe's most powerful supercomputers, crucial for training advanced AI models.
Madrid: The Power of Large Corporations
The Spanish capital concentrates the headquarters of major companies investing heavily in AI.
Madrid's Champions
- Telefonica: The telecom giant deploys AI in its networks and services through its AURA division
- BBVA: The pioneering bank uses machine learning for fraud detection and customer personalization
- Indra: The technology company applies AI to defense, transportation and energy
- Repsol: The oil group uses AI to optimize refining and accelerate the energy transition
Madrid Content City and Creative AI
The Madrid Content City complex has become a hub for AI applied to media and entertainment. Production studios use AI for post-production, automated dubbing and AI-generated content creation.
Portugal: Lisbon, the Rising Star
The Portuguese Tech Miracle
Portugal has undergone a remarkable transformation in less than a decade. Lisbon has evolved from a tourist destination to a major European tech hub.
Web Summit and the Catalyst Effect
The arrival of the Web Summit in Lisbon in 2016 was a major accelerator. The event attracts 70,000 participants annually and has put Portugal on the global tech map. In 2025, AI is the dominant theme of the conference.
Lisbon's AI Ecosystem
Lisbon offers unique competitive advantages:
- Operating costs 30 to 40% lower than Paris or London
- NHR tax regime attractive for qualified foreign professionals
- Language proficiency — Portuguese people are fluent in English
- Quality of life that attracts international tech talent
Startups like Unbabel (AI translation), Feedzai (AI fraud detection) and Sword Health (AI-powered rehabilitation) illustrate Portugal's dynamism.
Porto and Industrial AI
Portugal's second city specializes in AI applied to the textile, cork and agri-food industries. The University of Porto and INESC TEC are recognized research centers in computer vision and robotics.
Iberian Sectors of Excellence
Tourism and AI
Tourism, the economic pillar of the peninsula, is being transformed by AI:
- Dynamic hotel and airline pricing
- Multilingual chatbots for tourist reception
- Personalized recommendations based on visitor behavior
- Crowd forecasting to optimize the management of tourist sites
Agrotech and AI
Iberian agriculture is introducing AI for:
- Smart irrigation in arid regions
- Crop disease detection by drone and computer vision
- Harvest optimization through advanced weather forecasting
Becoming an Iberian AI Actor
The Iberian ecosystem offers exceptional opportunities for entrepreneurs and AI solution resellers. Demand for automation and artificial intelligence services is growing rapidly, and local companies are looking for partners to support them. For those looking to structure a business around reselling AI solutions, the training offered by Master Seller provides a proven framework applicable to Iberian markets.
The Peninsula in the European Context
Spain and Portugal are fully integrated into the European AI dynamic described in our European AI panorama. Cross-border collaborations with France, detailed in our article on AI in France, strengthen the Iberian Peninsula's position as a key player on the continent.
Conclusion
The Iberian Peninsula proves that it is never too late to position yourself in the AI market. With dynamic startup ecosystems, competitive costs and an attractive quality of life, Spain and Portugal have all the ingredients to become premier AI destinations in Europe. Barcelona, Madrid and Lisbon form a triangle of innovation that deserves the attention of every AI player in 2025.
Further reading:
- Read also: AI in Italy 2025 — the digital transformation of the neighboring peninsula
- Discover our guide on AI automation in business
- To go deeper, check out AI and digital marketing