Developing successful services and solutions calls for continuous development, iteration and feedback in real operating environments, with real users. VTT helps organisations accelerate the full development cycle through living labs built in actual operating contexts. Combining deep research expertise with technologies such as secure data spaces, edge computing and safe AI, we bring end users, partners and data-driven tools together to create innovation ecosystems that keep development on track and turn co-creation into validated impact.
Key facts
Our living lab approach brings the right tools and expertise into your real operating environment, accelerating development from early ideation to proof of concept and validation.
Living labs create a shared context for collaboration, helping organisations form new partnerships and develop both individual and joint offerings around a common vision.
VTT combines deep expertise in innovation processes, ecosystem development and governance with advanced technological capabilities, such as secure data spaces, edge computing, sensor data integration and safe AI deployment, to enable collaborative development.
What are living labs and why they matter
Developing successful services and solutions requires more than isolated testing. Living labs accelerate innovation by bringing ideation, prototyping, development and testing into real operating environments, including buildings, transport systems and public spaces. Validating solutions where they are actually used reveals how they perform in practice. When needed, real-world testing can be complemented with simulation environments, creating an efficient development toolchain that combines preliminary design in the virtual world with validation in real-world conditions. With ready-made infrastructure for development, living labs reduce uncertainty and shorten development cycles.
At the centre of living labs is real-world use. Depending on the development context, this may mean end users and their everyday experiences, or the operating environment itself, with its physical, technical and environmental conditions. Living labs provide a structured way to capture these insights and turn them into better services and solutions that work in practice.
They bring together diverse perspectives, including technology, end-user experience and societal acceptance, ensuring solutions are both technically sound and ready for adoption. By fostering collaboration across companies, researchers and public stakeholders, living labs turn innovation into a shared effort rather than a siloed process.
Living labs enable rapid iteration by making it easier to test ideas early and adjust direction quickly. Strong technical foundations, such as edge computing, secure data management and AI platforms, enable advanced experimentation while safeguarding privacy and data governance.
In short, living labs combine speed, inclusivity and trust to deliver impactful solutions to complex challenges.
The value of living labs
For organisations, living labs offer clear business and development value. They help reduce risk, build strong ecosystems and deliver innovations that resonate with both markets and society – while creating tangible business benefits for those who lead the way.
Faster learning, lower risks
Living labs provide a cost-efficient way to innovate in real-world conditions and validate ideas early. By enabling rapid testing and iteration, they shorten development cycles, reduce the risk of costly fixes later on and lower the threshold for exploring bold, breakthrough solutions. Faster successes – and just as importantly, faster learning when ideas don’t work – help organisations focus resources on what truly delivers value.
Collaboration
Living labs bring together companies, research organisations, public authorities and citizens within a shared, trusted framework. This ecosystem-based approach enables co-creation across organisational boundaries and multiplies innovation outcomes especially while searching for novel systemic solutions. Partnerships formed through living labs often lead to joint offerings, shared visibility and stronger positioning in the market.
Data-driven solutions
Secure data sharing within a living lab environment, guided by commonly agreed data sharing principles, unlocks new opportunities for data-driven services and business models. Combined with participatory development, user-centred design and continuous feedback, this ensures solutions meet real user needs and gain societal acceptance. Public–Private–People Partnerships (PPPP) bring diverse expertise into development, resulting in solutions that are technically robust and market-ready.
Competitive advantage
Living labs also amplify marketing and collaboration potential. Open and visible innovation builds credibility and trust, while positioning the living lab itself as a strategic asset. For organisations, this strengthens attractiveness as a partner, increases visibility among stakeholders and reinforces competitiveness as a place where innovation happens in practice.
VTT – Your experienced and reliable living lab partner
VTT stands out as a trusted partner by combining deep research and innovation expertise with the ability to design, build and manage complex innovation ecosystems. We help organisations turn living labs into strategic platforms for co-creation, learning and growth.
We provide cutting-edge technology tailored to each context, such as:
Secure data spaces and data portals that enable safe data collection, sharing, management and analysis within living labs. Clear access control, licensing terms and usage rules ensure that organisations know what data can be used, for what purpose and under what conditions.
Edge computing to support local data processing and refinement close to the source, reducing the need to transfer and store large raw data streams. It also enables the anonymisation or aggregation of sensitive human data on site, helping address GDPR and privacy and data protection requirements.
Safe AI deployment in living lab environments to allow advanced analytics and decision-making without exposing sensitive data to unnecessary security risks.
Beyond technology, VTT brings expertise in how collaborative innovation works in practice. We help living lab partners define governance models and shared ways of working, including general operational rules and how data can be used, shared and protected under agreed conditions. This is essential for organisations that want to collaborate but are cautious about data ownership, liability and compliance.
By bringing together technical leadership, governance expertise and broad domain knowledge across sectors such as transport, energy, buildings and environmental properties, VTT offers a complete, modular approach to living labs. Our strong track record in EU projects and international partnerships further supports ecosystem building and access to external funding.
Success stories
Lyyli Living Lab is a real-world testing environment at the heart of the Tampere Urban Rail Mobility Services (TURMS) innovation cluster, supporting the development of data-driven and user-centric urban rail solutions. The environment enables continuous testing and validation of technologies and services in an operational tram system without disrupting daily operations.
One of the most significant users of the environment has been the SmartRail ecosystem, led by Škoda Transtech in collaboration with VTT and other partners. Through Lyyli Living Lab, the ecosystem has developed and validated tram-related technologies and services that support the digital and green transition of urban mobility.
The Living Lab Bus project, coordinated by VTT, turned electric buses into a real-world platform for developing, testing and demonstrating new mobility technologies and services. It provided an open environment where technology and service providers could prototype solutions, collect data and validate ideas in the context of everyday public transport with real users. By bringing together private companies, research organisations and the public sector, Living Lab Bus supported co-development of user-centric services and new mobility value chains while accelerating commercialisation and building credible user acceptance evidence.
Our living lab offering
Our modular living lab suite makes it possible to run anything from a single, targeted experiment to large-scale, multi-year development programmes across different industries.
We work where your solutions will ultimately be used – in your actual operating environments, with real users. We can support you from early design and set-up through technical implementation, data management and validation, or step in only where our expertise brings the most value.
What we can help you with:
Defining and planning living labs and innovation ecosystems
Creating clear operational and data frameworks
Participative and collaborative development
Designing and implementing technical living lab environments that integrate safely with operational systems without interfering with ongoing operations
Interaction with end users through experimentation interfaces and feedback systems
Data management, sensor fusion and AI solutions
Trusted data sharing (e.g. Data Spaces) and edge computing solutions
Proofs of concept, validation and impact assessment
Linking RDI efforts across multiple technologies through the living lab
Some questions we can help you with
How long does it take to get a living lab up and running?
How can we ensure the safety of the living lab environment?
Who acts as the host and main contact for the operational living lab, and what is VTT’s role?
How can we align the goals of different stakeholders to make joint RDI processes work effectively?
What kind of technical environment enables the analysis of customer behaviour?
How can we ensure that AI development does not expose sensitive data?
How can we engage users in testing and validating solutions?
How can we speed up our development process when setting up new trials takes too long?
How to work with us
Contact us and we'll build a living lab that serves your business needs together!
We are happy to help in designing, building and operating your living lab. Following an initial assessment, we can offer a range of options.
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Customised partnership
Every research case is unique, and we’re happy to tailor our services to your needs. We’ll take you from an early concept to a tested and validated solution smoothly and efficiently.
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Co-creative project to build a living lab
We frequently participate in research and development projects with multiple business partners and funding agencies. In cooperative projects, the risk is split between multiple organisations, and everyone benefits from the results.
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Our networks and ecosystems at your disposal
You can benefit from our extensive research and industry networks. We are happy to put you in touch with the ideal sparring and development partners to support your goals.
Contact us here!
FAQ - Frequently Asked Questions about living lab services
What are living lab services?
Living lab services enable organisations to test, validate and co-create new products, services and technologies in real-life environments. At VTT, living labs bring together users, companies and researchers to develop solutions that respond to real needs and usage contexts.
Why use living lab services in innovation projects?
Living lab services reduce development risks by validating concepts in authentic settings before full-scale launch. By involving end users early, organisations gain insights into usability, functionality and acceptance, improving market readiness and impact.
Who can benefit from VTT’s living lab services?
Companies of all sizes, public sector organisations and research partners can benefit from living lab services. They are especially valuable for organisations developing user-centric innovations in areas such as health, smart cities, sustainability and digital solutions.
How does VTT support co-creation in living labs?
VTT facilitates structured collaboration between stakeholders, combining research expertise, user engagement and real-world testing environments. This ensures that innovation processes are evidence-based, measurable and aligned with both user needs and business goals.
What outcomes can be achieved through living lab testing?
Living lab projects deliver validated concepts, user insights, performance data and clear development recommendations. These outcomes help organisations accelerate commercialisation, strengthen customer value propositions and support sustainable growth.
This FAQ is written by AI and checked by a human.
