This is the EU’s plan to create AI hubs: Is it too late?

As artificial intelligence reshapes the global tech landscape, the European Union is scrambling to catch up. While the US and China continue to lead the charge, Europe has long been criticized for prioritizing regulation over innovation. But now, the EU is unveiling a bold plan to reposition itself in the AI race.

Europe’s massive investment in AI infrastructure

The European Commission has announced a €30 billion plan to develop AI infrastructure, including five massive “AI gigafactories.” Each of these facilities will host 100,000 AI accelerators, dramatically increasing Europe’s current computing capacity. The goal is to build a unified European market for data and AI services, accessible to all member states.

Funding will come from the InvestAI fund (€20 billion), aimed at data centers and semiconductor acquisition, and an additional €10 billion will support 13 smaller facilities, expected to be operational by 2026. However, the location of these centers remains undecided, and any delay in the selection process could push back their launch by years.

Bridging the AI adoption gap in Europe

At present, only 13.5% of European companies use AI in production, a figure the Commission wants to improve. Through an initiative called Apply IA, the plan is to help local businesses adopt AI tools more easily. The lack of infrastructure—not a lack of willingness—has been the main barrier.

Additionally, the EU plans to introduce visa and scholarship schemes to attract global talent, instead of focusing on bringing back European AI experts from abroad. While this move might raise questions, it highlights Europe’s urgency in securing its position in the global AI ecosystem.

Whether this ambitious roadmap is too little, too late remains to be seen.