EU Commission presents plans to boost AI uptake, protect critical sectors

The European Commission on Wednesday presented a plan to help boost the uptake of artificial intelligence by companies. 

The so-called AI Continent Action Plan covers infrastructure, data access, cloud, skills and simplification, and aims to transform Europe's traditional industries into “powerful engines of AI innovation and acceleration”, as Commission President Ursula von der Leyen announced in February in Paris.

It's important "to build capacities in critical sectors” to ensure that the bloc is not dependent on other regions, EU Technology Commissioner Henna Virkkunen told reporters during the launch. 

“We have identified AI as one of the sectors where we need to build our own capacity, like quantum and chips. They are key technologies for the future,” Virkkunen said. When it comes to chips used for the development of AI tools, Virkkunen said that the EU has a “good partnership” with the US. 

“We are willing to buy, but we need our own capacities. That is also why we are working on a Chips Act 2.0.,” she added.

She declined to comment when asked whether the tech sector will be affected by tariffs in the ongoing trade spat between the EU and the US.

Gigafactories for AI development

Companies are invited to share feedback until June on several of these strategies via a public consultation on the Cloud and AI Development Act, and the Apply AI strategy, aiming to identify challenges to the uptake of AI.

Last year the EU adopted an AI Act setting out rules for AI tools depending on the risk they pose to society. It is being phased in gradually and will be fully in force in 2027.  The EU has set a target for three-quarters of firms in the bloc to be using AI by 2030. 

The Commission previously announced plans for a public-private partnership to set up gigafactories which will have around 100,000 last-generation AI chips, around four times more than the AI factories currently being set up. 

The aim is that even smaller companies should be able to access large-scale computing power for future development. Euronews understands that a first gigafactory could be set up in 2026. 

Some €20bn will be earmarked for AI gigafactories, the Commission said in January. 

Data published by the Commission last January suggests that the bloc is behind when it comes to AI innovation and investment compared to other regions, including the US.

Due to “excessive regulation and administrative barriers” technology companies decide to move elsewhere. Between 2008 and 2021 some 147 unicorns were founded in Europe –  companies whose valuation exceeds a billion dollars – but 40 of these moved their headquarters abroad, the bulk went to the US, according to the data.