Digital readiness across the European Union: A multidimensional empirical assessment of structural determinants, intra-regional disparities, and strategic implications in the era of Industry 5.0

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Abstract
Research background: Digital transformation across the European Union (EU) has become a critical driver of economic competitiveness and societal development. However, there are still notable differences in member states’ infrastructure, governance, and level of digital preparedness. Interest in setting the primary factors that determine digital maturity and understanding the structural disparities in the EU’s digital landscape is developing as a result of Industry 5.0, which places a high priority on human-centricity, sustainability, and resilience. Purpose of the article: The objective of this article is to evaluate the digital preparedness of EU member states by using the most recent Network Readiness Index (NRI) data for 2024. It aims to determine the factors that have the most significant impact on the overall digital performance, evaluate the disparities between countries in the quartiles of the NRI rankings, and visualize the current status of digital transformation throughout the EU. This research further contextualizes the findings within the shift from Industry 4.0 to Industry 5.0. Methods: The study applies a combination of multivariate and inferential statistical techniques. A segmentation map is used to visually group countries by digital performance. Stacked bar graphs illustrate the importance of specific NRI components to overall scores. An independent sample t-test is performed to assess significant differences between high-performing and moderately performing countries. A regression study determines the primary predictors of overall digital readiness. Findings & value added: The study indicates significant variability in the structure and determinants of digital readiness among EU nations. Research and development (R&D) investment, household Internet access, and GDP per capita in purchasing power standards (PPS) are considered the most reliable indicators of digital success. Statistically significant differences were established between the first and second quartiles across various parameters of the NRI. This study improves the literature by delivering a thorough empirical evaluation of the 2024 NRI data and presenting practical recommendations for policymakers aiming to promote fair and sustainable digital transformation in accordance with Industry 5.0 principles.

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