EU Unveils Ambitious AI Action Plan to Rival U.S. and China with €220 Billion Investment
April 11, 2025
Currently, only 13.5% of EU businesses have adopted AI technology, prompting the upcoming Apply AI Strategy to encourage AI use in priority sectors through networks such as European Digital Innovation Hubs.
On April 9, 2025, the European Commission launched the AI Continent Action Plan, aimed at enhancing the EU's artificial intelligence industry to compete globally with the U.S. and China.
The plan includes the establishment of 13 AI factories across Europe, which will support startups, industries, and researchers by providing supercomputing capabilities.
Additionally, the Commission plans to develop AI Gigafactories, designed to house approximately 100,000 advanced AI chips, significantly increasing the capacity for training complex AI models.
To meet workforce demands, the initiative includes attracting international AI talent and supporting European researchers through programs like the Talent Pool and AI Skills Academy.
The EU boasts a significant pool of AI talent, with 30% more researchers than the U.S., and aims to launch new training programs to further enhance this workforce.
Data access is a key focus of the plan, with the creation of Data Labs within AI Factories to curate high-quality datasets that will support the forthcoming Data Union Strategy.
Henna Virkkunen, the Commission's executive vice-president, emphasized the need for a regulatory framework that minimizes burdens while promoting innovation in AI.
To bolster tech development, the EU announced a €1.3 billion investment in the Digital Europe Programme for 2025-2027, aimed at enhancing the continent's technological independence.
However, the EU's digital regulatory framework has faced criticism from technology firms for being overly strict, which they argue may stifle innovation and industrial growth.
Public consultations regarding the AI Continent Action Plan and related strategies will be held until June 4, 2025, focusing on cloud capacities, data strategies, and overall AI adoption.
Moreover, the EU has committed to investing €200 billion through the InvestAI initiative, which includes a €20 billion fund for developing AI Gigafactories.
Summary based on 3 sources
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Sources

Tech Monitor • Apr 10, 2025
European Commission launches AI Continent Action Plan to accelerate AI leadership
BiometricUpdate.com • Apr 10, 2025
EU unveils biggest AI strategy yet, including simplifying the AI Act
Social News XYZ • Apr 10, 2025
EU unveils AI action plan to simplify regulations, boost innovation