Lack of talent is not a national issue in Germany. German unis and schools produces great devs, along with the slef-taught "hackers" and tinkerers which are quite numerous there. The whole "talent shortage" in Germany is propaganda from shitty companies engaging in wage suppression, and actually a shortage of pay that keeps decent devs away from such companies.
It's more the lack of good pay/equity to motivate people, but the main issues are the immovable and outdated bureaucracy without any wish to address it, and the heavy top - down approach where top management is clueless and dysfunctional, scaring away the top talent over time and ensuring that only the equally clueless yes-men stay, and the result is what wee can see.
These large German "ships" are only good at bureaucracy, maintaining the jobs and status quo for those at the top, not innovation, efficiency(despite the stereotype) or customer satisfaction.
My favorite about German companies is project management done in Excel, and bosses who don't want to use Jira and demand their seniors send them emails explaining the current work status. You can't make this up.