The European Commission has unveiled a massive €200 billion investment in artificial intelligence, aiming to strengthen Europe’s position in the sector. European Commission President Ursula von der Leyen made the announcement at the AI Action Summit in Paris, emphasising the need for “collaborative development” of advanced AI models.
A key part of this plan is the establishment of AI gigafactories, which will receive €20 billion in funding. These large-scale computing hubs will enable companies, including smaller ones, to access powerful AI training capabilities. The facilities will feature around 100,000 cutting-edge AI chips, significantly increasing Europe’s AI infrastructure.
Von der Leyen highlighted Europe’s commitment to AI growth, stating, “We want AI to be a force for good and for growth.” She stressed the importance of collaboration between EU member states and private partners through the InvestAI initiative.
The EU’s announcement follows French President Emmanuel Macron’s pledge of €109 billion for AI development in France, a move he compared to the US’s ‘Stargate’ initiative. Last month, US President Donald Trump also revealed a joint venture involving OpenAI, Oracle, and SoftBank, committing up to $500 billion to AI infrastructure.
The EU’s AI gigafactories initiative, part of the Competitiveness Compass strategy, aims to boost technological leadership. Funding will come from existing EU programmes, with member states encouraged to contribute. This landmark investment signals Europe’s ambition to compete globally in AI innovation.
