The European Union will spend €200 billion (A$366 billion) supercharging its AI development and deployment capabilities, investing in a new generation of AI data centres and relaxing AI regulation.
The massive investment announced on Wednesday is aimed at improving Europe’s competitive position in artificial intelligence with the US, boosting the continent’s domestic AI capacity and capability.
The AI Continent Action Plan sets out separate strategies for building large-scale AI computing infrastructure, improving access to high-quality data for AI ventures, boosting investment in AI skills, and streamlining AI regulation.
Announced by the European Commission’s executive vice-president for Technological Sovereignty Henna Virkkunen, the action plan aims to leverage Europe’s access to top talent and the strength of its existing industrial base and turn these into AI accelerators.
The plan calls for the setting up of at least 13 ‘AI factories’ across Europe to support startups, industry, and researchers in developing AI models and leading applications.
It will also fund up to five AI gigafactories, described as large-scale facilities with massive computing power and up to 100,000 of the most powerful AI processors.
The gigafactories initiative requires both public and private investment, with the EU also outlining plans for a €20 billion InvestAI Facility to help mobile private capital.
In launching the plan, Ms Virkkunen said the EU was uniquely positioned to become a global AI leader.
“We have an unparalleled pool of top talents: Our universities and research institutions are among the best in the world,” she said. “It is not said enough, but we have today 30 per cent more AI researchers than in the US.”
“We have a vibrant ecosystem of dynamic startups that are driving key innovations in the development of AI frontier models and in applications across various sectors, from healthcare to robotics to manufacturing”
“However, we need to do more, and we need to do it now, because the pace of change is accelerating, and we cannot afford to fall behind.
“AI is no longer ‘just’ a competitive advantage; it’s a necessity to be competitive and to close the innovation gap.”
A big part of the plan relates to streamlining and relaxing some European AI regulatory frameworks – some of which were introduced less than a year ago.
“This Action Plan focuses on measures minimising regulatory burden and guaranteeing a simple and innovation-friendly implementation of the AI Act,” Ms Virkkunen said.
“We should never forget that under the risk-based AI Act around 85 per cent of all AI systems remain unregulated. We want these [AI] companies to know that they are not subject to any rules under the AI Act.
“And for the remaining 15 per cent, we want to achieve a maximum of simplicity.”
The AI Continent Action Plan is seen as a response to the US$500 billion Stargate initiative announced in the US in the first days of the Trump presidency, which signalled the start of a period of frenzied activity.
In Australia, policymakers have struggled to finalise its regulatory regime for AI, and started late in working on a National AI Capability Plan, which is not due to be completed until the end of the year.
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