Geographically, Zaragoza is strategically situated between Barcelona and Madrid, Valencia and Bilbao. It is the administrative and economic capital of the Aragon region, a large and sparsely populated area of some 1.2m inhabitants. The city has maintained its strong position as an industrial region and has benefited from the generally favourable economic developments in Spain. This chapter explores the knowledge economy strategies of Zaragoza. It analyses the foundations of the knowledge economy for Zaragoza. They include the knowledge base, the economic base, the quality of life, the accessibility, the urban diversity, the urban scale, and the social equity in the city. The chapter discusses Zaragoza's knowledge economy activities. It explains how well the city (and the actors in it) manages to: attract and retain talented people; create new knowledge; apply new knowledge and make new combinations; and develop new growth clusters. The chapter contains conclusions and unfolds perspectives for Zaragoza's position in the emerging knowledge economy.