The European Union revealed a broad technology sovereignty strategy on June 3 aimed at expanding domestic supply chains in semiconductors, artificial intelligence, cloud computing, and open source software to reduce dependence on US and Asian providers. [1, 2, 3, 4]

Key legislative proposals include the Chips Act 2.0 to strengthen the semiconductor ecosystem and increase domestic chip manufacturing capacity. [2, 4] The Cloud and AI Development Act (CADA) targets accelerated AI and cloud innovation while ensuring data sovereignty and aligning with climate goals. [2, 4]

The package also features an EU Open Source Strategy to decrease technology stack dependencies and encourage open-source growth in AI and cybersecurity sectors. [2, 4] A Strategic Roadmap for Digitalisation and AI in the Energy Sector promotes collaboration between digital and energy industries alongside sustainable data center expansion. [2, 4]

The EU plans to impose new rules to protect sensitive government data from reliance on non-European cloud providers and encourages the use of European-made technologies over foreign alternatives. [1, 3]

Commission President Ursula von der Leyen stressed the urgency of the plan, saying, "We cannot afford to depend on others for the technologies that keep our hospitals running, our energy grids stable and our services secure." [3]

The EU aims to triple data center capacity within the next five to seven years as part of the AI and cloud expansion effort. [4] Approval of the proposals requires agreement from all 27 EU member states. [3] These developments mark the EU's push to bolster its strategic autonomy in critical technology sectors.