The European Commission has proposed a technology sovereignty package to reduce the bloc’s reliance on non-EU suppliers across semiconductors, artificial intelligence (AI), cloud computing and open-source technologies.
The package includes two legislative proposals – the Chips Act 2.0 and the Cloud and AI Development Act – together with an Open Source Strategy and a Strategic Roadmap for Digitalisation and AI in the Energy Sector.
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According to the European Commission, the measures are intended to strengthen digital autonomy, expand computing infrastructure and encourage wider adoption of technologies developed within the EU.
“We cannot afford to depend on others for the technologies that keep our hospitals running, our energy grids stable and our services secure, ” European Commission president Ursula von der Leyen said.
“This is about protecting our citizens, defending our interests and making our own choices. Europe has the talent, the research excellence, the industrial base and the Single Market. Together, we must turn these strengths into technological sovereignty,” she added.
Growing concern over reliance on foreign providers for critical digital infrastructure and technologies, coupled with rising demand for AI-driven computing capacity, has prompted the initiative.
More than 80% of key digital products, services, infrastructure and intellectual property currently originate from outside the EU, the Commission said.
Building on the bloc’s 2023 Chips Act, Chips Act 2.0 is designed to reinforce Europe’s semiconductor industry, particularly in advanced chips used for AI applications.
Proposed measures include accelerated permitting procedures, support for strategic investment projects, stronger international cooperation and an excellence label for semiconductor regions.
AI-related components are expected to account for more than 70% of the semiconductor market by 2030, according to the Commission.
Meanwhile, the Cloud and AI Development Act seeks to triple Europe’s data-centre capacity within the next five to seven years.
Planned measures include support for sustainable data-centre projects, an EU-wide framework to assess cloud and AI sovereignty, and initiatives to advance cloud and AI development and deployment.
Further provisions include Experience and Acceleration Centres for AI, intended to coordinate AI adoption across member states.
Under the Open Source Strategy, the Commission aims to increase the availability of European alternatives in cloud computing, AI, internet technologies, cybersecurity and semiconductors.
