The EU Launches the Technology Sovereignty Package. Why It Matters for Europe’s IT Industry

Europe wants to reduce its dependence on technologies developed and controlled outside the European Union. From semiconductors and cloud infrastructure to artificial intelligence and open-source software, many of the technologies we rely on every day are developed in other parts of the world.

To address this challenge, on 3 June 2026 the European Commission unveiled the European Technology Sovereignty Package — a set of legislative and strategic measures aimed at strengthening Europe’s ability to develop, host and use its own strategic technologies.

The stakes are both economic and geopolitical. As artificial intelligence becomes increasingly important, so does the demand for semiconductors, data centres and digital infrastructure. The Commission estimates that AI-related applications will account for more than 70% of semiconductor demand by 2030.

The package is built around four major pillars:

• strengthening Europe’s semiconductor industry;

• expanding cloud and AI capacity;

• developing the European open-source ecosystem;

• integrating digital infrastructure into the energy system.

What Does the Package Include?

Chips Act 2.0: More Than Semiconductor Manufacturing

Europe already has strong capabilities in the semiconductor industry, but it aims to increase its autonomy in a field that has become essential for AI, cloud computing, industry and critical infrastructure.

The new version of the Chips Act seeks to accelerate investment and simplify administrative procedures needed to develop new manufacturing capacity. It also introduces an excellence label for specialised regions and promotes a more integrated approach that connects chip manufacturers with organisations that rely on these technologies, including data centres, cloud providers and future AI Gigafactories.

Cloud and AI Development Act: Building the Infrastructure for AI

One of Europe’s major challenges is the lack of sufficient infrastructure to develop and deploy artificial intelligence at scale.

Through the Cloud and AI Development Act, the European Commission aims to triple Europe’s data centre capacity over the next five to seven years, with a strong focus on both sustainability and innovation.

The Act also introduces a common European framework for assessing cloud and AI sovereignty and encourages coordinated action among Member States through the creation of Experience and Acceleration Centres for AI — local hubs designed to support the adoption and scaling of AI solutions.

Open Source as a Strategic European Asset

Europe is home to more than three million active contributors to the open-source ecosystem, and the new strategy aims to turn this strength into a competitive advantage.

Its objectives include developing European solutions in areas such as cloud computing, artificial intelligence, cybersecurity and semiconductors, supporting open-source startups, and promoting the adoption of open-source solutions in public administrations through guidelines, best practices and dedicated tools.

Digitalisation and AI for a More Efficient Energy System

The fourth pillar focuses on the relationship between digital infrastructure and the energy sector.

The roadmap proposes better integration of data centres into the European energy system, increased use of AI to optimise power grids, wider deployment of smart meters, and the development of sovereign AI models for the energy sector based on European data.

What Opportunities Does This Create for Clusters, EDIHs and Companies?

Beyond its policy dimension, the Technology Sovereignty Package contains several elements that may directly affect regional innovation ecosystems, IT clusters and European Digital Innovation Hubs (EDIHs).

A Potential New Role for EDIHs

The Cloud and AI Development Act explicitly introduces the concept of Experience and Acceleration Centres for AI — local structures designed to support AI adoption and scaling within companies and public institutions.

This description closely resembles the role already played by EDIHs across Europe. It will therefore be important to monitor how this new mechanism will be connected to the existing EDIH network and whether it may create additional funding opportunities or expand the current mandate of these hubs.

AI Gigafactories: An Opportunity to Watch in 2026

The European Commission has announced the launch of a call for AI Gigafactories in July 2026 through the European High Performance Computing Joint Undertaking (EuroHPC JU).

For clusters that bring together industry, universities and research organisations, this could become an important entry point — either through direct participation or through partnerships with larger organisations leading these initiatives.

New Opportunities for the Open-Source Ecosystem

The planned investments in open-source skills, startup support and the security of Europe’s software infrastructure send a strong signal about the future direction of European digital policy.

These priorities are likely to translate into future funding calls and collaborative projects in which companies, clusters and EDIHs can participate either directly or as partners.

Chips Act 2.0 Is Not Just About Chip Manufacturers

An important aspect of the new approach is its focus on the entire value chain.

By connecting semiconductor manufacturers with data centres, cloud providers and AI Gigafactories, the Commission is making it clear that the ecosystem extends well beyond chip fabrication.

Companies developing applications, providing integration services, operating digital infrastructure or building AI solutions may also become part of this ecosystem and benefit from the opportunities it creates.

A New Funding Instrument for Startups and Scaleups

The Commission has also announced consultations on the creation of a European equity fund dedicated to investments in technology sovereignty.

For startups and scaleups, this could become an alternative or complementary financing instrument alongside traditional grant schemes, particularly for projects with strong commercial potential and growth prospects.

Why Is This Package Worth Following?

The Technology Sovereignty Package is more than another European policy initiative.

It provides important signals about where future investments, funding programmes and strategic priorities are heading across the European Union.

For technology companies, clusters and digital innovation hubs, the message is clear: digital infrastructure, artificial intelligence, open source and semiconductors will play an increasingly important role in Europe’s competitiveness and technological autonomy.

Understanding these trends today can make the difference between simply reacting to opportunities and being ready to seize them when they emerge.

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