The European Union is tired of catching up with technology. And they put $1.4 billion in the table to prove that.
On Friday, the European Commission announced that it would invest 1.3 billion euros between 2025 and 2027 to enhance artificial intelligence, cybersecurity, cloud infrastructure and digital skills. The funding is one of the most targeted efforts of the bloc, which falls under the Digital Europe program and has not bridged the gap with the US and other tech powerhouses.
The announcement is seen as a direct response to the US Department of Defense Stargate initiative, one month after France announced its own $112 billion AI investment plan, as the global AI arms race gains momentum.
The committee said the investment will support key technologies that will be central to Europe’s future and support independence from external tech giants.
This next phase of the Digital Europe work programme is zero on actual results. Help businesses and governments deploy AI, strengthen cyber defense, expand access to data infrastructure, and build digital talent from the ground up.
It also has the driving force to expand access to generation AI in healthcare, strengthen the EU’s digital innovation hub, and strengthen projects like Destination Earth that support climate and disaster risk modeling. Other areas of fundraising include public services, educational institutions and EU digital identity wallets.
“Ensuring technological sovereignty in Europe starts with investing in advanced technologies and enabling people to improve their digital capabilities,” said Henna Wilkunen, Digital Chief of the European Commission.
“The opportunities under the Digital Europe program ensure that new technologies reach European citizens, businesses and government,” she added.
The total budget for the Digital Europe programme is 8.1 billion euros until 2027, the first EU initiative focused solely on accelerating digital adoption across the sector.
Just a year ago, the EU made another bold move headline. Passes the world’s first comprehensive AI regulations. The EU AI Act has been unanimously adopted by all 27 member states, providing strict rules on how AI can be developed and used across the bloc.
Whether this new wave of funding will move the needle against the US technology lead is debate, but the EU is clearly waiting.
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