The European Commission has unveiled its boldest initiative yet in the race for global leadership in Artificial Intelligence (AI), launching the AI Continent Action Plan. Announced and first outlined by President Ursula von der Leyen during the AI Action Summit in Paris this February, the plan aims to transform Europe’s industrial strength and talent into a competitive force in the AI domain.
With global competition in AI intensifying, the EU’s strategy targets rapid growth across five key areas: infrastructure, data access, sectoral adoption, skills development, and regulatory simplification.
Building a large-scale AI data and computing infrastructure
A cornerstone of the initiative is the creation of a continent-wide AI and supercomputing infrastructure. Thirteen AI Factories are already being established near Europe’s high-performance computing centers, offering support for startups, industry and researchers developing AI models and applications.
The Commission also announced plans for AI Gigafactories—next-generation facilities powered by around 100,000 cutting-edge AI chips, quadrupling the capacity of current AI infrastructure. These hubs will help train advanced AI models and ensure the EU’s technological sovereignty. To encourage public-private collaboration, the Commission has launched a call for consortia and introduced InvestAI, a €20 billion funding instrument aimed at financing up to five Gigafactories across the Union.
A proposed Cloud and AI Development Act will further drive private sector investment in cloud capacity and sustainable data centers, with the goal of tripling Europe’s data center capabilities within seven years.
Increasing access to large and high-quality data
Access to high-quality data is also central to the plan. Data Labs will be created within AI Factories to manage and curate large datasets for AI training. The upcoming Data Union Strategy, launching in 2025, aims to build a unified internal market for data to support scalable AI solutions.
Developing algorithms and fostering AI adoption in strategic EU sectors
Currently, only 13.5% of EU businesses use AI. To change that, the Commission will roll out the Apply AI Strategy, aimed at promoting AI applications in strategic sectors and boosting adoption through the European Digital Innovation Hubs (EDIHs) and AI Factories.
Strengthening AI skills and talents
To support long-term AI growth, the EU is focusing on talent development. A new AI Skills Academy will offer fellowships and training programs, while initiatives like ‘MSCA Choose Europe’ and a dedicated Talent Pool will support the recruitment of top AI researchers and international experts. Upskilling efforts will target both professionals and the future workforce.
Streamlining Regulation
The AI Act, which came into force on August 1, 2024, provides a trusted framework for AI development in Europe. To simplify compliance, the Commission is launching an AI Act Service Desk, a central hub for guidance and support for businesses navigating the regulation.
Regulatory simplification
To engage stakeholders, the Commission is launching two public consultations—on the Cloud and AI Development Act and on the Apply AI Strategy—running until June 4, 2025. A third consultation on the Data Union Strategy will follow in May. Industry and public sector dialogues will also help identify untapped opportunities for AI integration across key sectors.
Background
The AI Continent Action Plan builds on a series of EU initiatives, including the enforcement of the AI Act and the launch of AI Factories under the amended EuroHPC JU Regulation. It follows President von der Leyen’s announcement in February of InvestAI, a €200 billion investment initiative to accelerate AI growth across Europe.
With this comprehensive plan, the European Union is making a strong bid to become a global powerhouse in artificial intelligence—positioning itself as not only a regulatory leader but also an innovation hub for the AI era.
Read the full details from the press release by the European Commision here.
Useful Links:
Apply AI strategy public consultation
Cloud and AI Development Act public consultation
