Record investment in R&D and a focus on upskilling show long-term commitment to Ireland from IDA client companies.
Ireland’s agency for attracting foreign direct investment (FDI), IDA Ireland has today (18 December) reported strong results for 2025, with a record 323 investments this year, up 38pc compared to last year. These investments are expected to create more than 15,000 jobs in the coming years.
Of these investments, 78 were from companies new to Ireland, with 38 new investors from North America and 40 from Europe and APAC. While 68 existing IDA client companies announced expansion projects and 80 projects are focused on research, development and innovation (RD&I).
Employment at IDA client companies is up 1.5pc year on year to 312,400.
While Dublin remains a focus for FDI, 57pc (183) of the investments secured this year were for regions outside the capital.
IDA chair Feargal O’Rourke said today’s results show “the attractiveness and resilience of the Irish economy and the Irish workforce”.
“2025 has been an excellent year for attracting [FDI] to Ireland, in what was a turbulent and uncertain economic year globally.”
Investment in key areas
At the start of this year, IDA Ireland launched a new five-year strategy with the goal of attracting 1,000 new investments that would deliver €250bn to the Irish economy. The strategy identified Ireland’s main growth sectors as digitalisation and AI, semiconductors, health and sustainability.
The agency’s end-of-year results show record levels of RD&I investment commitments at €2.5bn, as companies invest in product development and new and emerging technologies such as AI and quantum computing.
Ireland already has a strong track record in the semiconductor space, having established itself as a key location for investment and talent. It’s also home to many of the world’s leading life sciences companies.
Significant investments in these key areas this year include Datavant’s move to Ireland with the opening of a global R&D centre in Galway and plans to create 125 jobs; Sony Interactive Entertainment’s new Dublin R&D office and plans to hire 100; PayPal’s new AI R&D centre in Dublin, creating 100 jobs: and Ericsson’s €200m investment in its Athlone facility to strengthen its RD&I capabilities.
Alongside major technology and innovation investments, the IDA reports that client companies have committed €1bn to 31 sustainability projects. Limerick’s Cook Medical, a medical device company, announced a €3m investment in renewable and energy-saving technologies with the aim to offset 50pc of carbon emissions from its manufacturing facility.
These RD&I and sustainability investments demonstrate a “collective determination to remain at the forefront of technological and environmental progress”, said Minister for Enterprise, Tourism and Employment Peter Burke, TD.
“Together, we are building a prosperous, innovative and sustainable future for all citizens of Ireland.”
Skills development
According to the IDA, client companies committed to training and upskilling more than 33,000 employees this year, about three times the figure for last year. This includes focusing on scaling for growth, maintaining competitiveness, developing AI/digital-centric workforces and enhancing leadership capability.
“[T]he strong investment by our clients in upskilling their people and investing in [RD&I], sets Ireland up for continued future success,” said O’Rourke.
A recent report from recruitment company Hays Ireland found that 76pc of employers are willing to hire candidates without the necessary skills and invest in upskilling because of the shortages they are facing.
“By investing in upskilling and embracing the demand for flexibility, employers are not just competing for existing talent, but actively building their future workforce to navigate persistent skill shortages,” said Hays Ireland senior MD Barney Ely at the time.
IDA’s CEO Michael Lohan, who spoke to SiliconRepublic.com earlier this year about the agency’s new strategy, said this year’s results show that Ireland is a strong value proposition for investment.
“Our 2025-2029 strategy, Adapt Intelligently, is focused on ensuring that we strengthen long-term investment, deliver sustainable growth, scale cutting-edge innovation and deliver across all regions, and today’s results demonstrate that the implementation of our strategy has got off to an exceptional start,” he said.
“We remain resolute in our vision to position IDA Ireland as the world’s best investment promotion agency by nurturing a collaborative, inclusive and future-focused ecosystem that benefits clients, employees and communities nationwide.”
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