- The European Union will fund seven artificial intelligence gigafactories across the bloc with €10 billion ($11.5 billion), as the EU steps up efforts to close the technology gap with the U.S. and China.
- Brussels pledged €10 billion in funding, of which €4 billion was expected to come from an EU-based private tenders to get the centres up and running.
- The Commission aims to attract at least €20 billion in private investments for the projects, increasing the total from five planned gigafactories to seven following strong interest from EU countries.
- EU tech chief Henna Virkkunen stated, "Access to the raw scale of computing power within AI Gigafactories is a strategic necessity for Europe as AI development accelerates."
- AMD, Nvidia, and Qualcomm have signed letters of intent with the Commission to provide chips to groups involved in the gigafactory projects.
- The project will also seek to reduce EU dependence on foreign companies for chips and cloud services.
- The tender will be supported by €10 billion, equivalent to $11.47 billion, in public funding from the EU and member states, expecting the call to draw €20 billion of private investment.
The EU has launched a call for tenders to fund up to seven AI gigafactories as part of a broader strategy to enhance its technological independence. The initiative, announced at the AI Action Summit in Paris, aims to reduce reliance on foreign companies for chips and cloud services.7
Brussels pledged €10 billion in funding, with expectations of attracting at least €20 billion in private investments. The total number of planned gigafactories increased from five to seven due to strong interest from EU countries. “Access to the raw scale of computing power within AI Gigafactories is a strategic necessity for Europe as AI development accelerates,” stated EU tech chief Henna Virkkunen.23458
The tender process will close on November 12, 2026, with successful bidders expected to be announced in early 2027. The facilities are projected to become operational within 18 months of contract signing. Major tech companies like AMD, Nvidia, and Qualcomm have already signed letters of intent to provide chips for the gigafactory projects, indicating strong industry support for the initiative.6
This move is part of the EU's broader strategy to close the technology gap with the U.S. and China, ensuring that Europe remains competitive in the rapidly evolving AI landscape.1
“The European Commission aims to attract at least €20 billion in private investments for the gigafactories, increasing the total from five to seven due to strong interest from EU countries. EU tech chief Henna Virkkunen emphasized that access to computing power in these gigafactories is crucial for accelerating AI development in Europe.”
wsj.com
