Germany's recent general election resulted in a great victory for the country's mainstream politicians. Whether they can re-energize a nation that feels somewhat pessimistic with its very sluggish economic growth in recent years is the key question to be answered.

A coalition between its center-right and center-left parties, with help from somewhere else on the left, is expected to form and start to govern soon. Germany's surging extreme right wing party did finish second in the overall voting, albeit with 80 percent of the electorate not choosing it and with no path to assuming governmental control.

So analysts are left with the basics that have defined Germany for decades. It is still one of the world's largest economies, now in third place with an annual GDP that approaches $5 trillion. At current growth rates, India may catch Germany for the bronze within three years, but even so will still have only 5% of per-person income, given the population difference of 1.4 billion people for India and 83 million for Germany.

Germany remains a muscular economy, the largest in the EU, and a perpetually powerful manufacturer and financial services provider. Its education, research and development, and technology sectors remain strong, despite eternal pessimism and worries by the nation's public. The country's looming problem concerns energy and its ability to provide enough of it to catch the oncoming AI wave in proportion to expectations.

Germany has one of the strongest data center footprints in the world, comparable to other leading northern European economies. It is solidly among the Top 20 in the IDCA Digital Readiness Index of Nations, which measures relative strength and dynamism.

As such, its digital infrastructure is already pulling more than 5 percent of its total electricity grid. Its renewable program has created a sustainable grid of 40 percent of its power., delivering a sustained 27GW. There is now no nuclear power in the country, following a long scaling down process dating to 30 years ago and a decision by then-Chancellor Gerhard Schroeder to eliminate it.

Germany is thus constrained in its ability to expand its renewable grid, and by extension, its data center footprint. It is already among the most efficient manufacturing giant in the world, producing CO2 emissions 15% more efficiently than the US, 40% more efficiently than Japan, and 5X more efficiently than China.

A dip in manufacturing, literally driven by China's consumers now buying more locally produced cars at the expense of German autos, has slowed Germany's economic growth to a crawl. Political tensions continue to run in the line between former West and East Germany, more than 30 years after unification.

Germany retains its AAA bond rating, in line with the US and other leading EU economies. It remains a very attractive destination according to the numbers. The question is whether its newly elected government leaders will be able to restore enough optimism – and make progress attacking the knotty problem of creating substantial new renewable energy – to place Germany on a course that will enable it to be among the AI and Digital Economy leaders in coming decades.