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EU aims for seven AI gigafactories with €10 billion plan in race with US, China

The plan aims to draw 20 billion euros in private investment and build data centers with at least 100,000 AI chips each.

  • On Thursday, The European Union announced it is offering 10 billion euros in funding to build seven AI gigafactories, seeking to close the computing gap with American and Chinese providers.
  • Europe currently lags behind American and Chinese rivals, relying on a network of 19 data centers from Finland to Spain; existing facilities have not kept pace with American companies like OpenAI or Chinese competitors like DeepSeek.
  • Planned gigafactories will feature at least 100,000 cutting-edge chips each, making them roughly four times more powerful than current European data centers, while The Commission hopes public financing will draw an additional 20 billion euros in private investment.
  • Henna Virkkunen, The Commission executive vice president, stated that access to computing power is a strategic necessity for "tech sovereignty," with new products required to follow European standards on data protection, safety, security, and ethics.
  • Brussels leaders worry that dependence on foreign providers could be "weaponized" against Europeans, and the initiative seeks to reduce reliance on third-country access that might endanger operational autonomy and expose data to outside surveillance.
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Lean Right

Denmark will participate in a European project on AI gigafactories that will reduce dependence on the US and others.

·Borås, Sweden
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Lean Right

The EU wants to build up to seven huge data centres and mobilise at least 30 billion euros.

·Vienna, Austria
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Lean Right

Europe wants to significantly increase its computing power for artificial intelligence. For this purpose, the EU, together with the Member States, provides up to ten billion euros and wants to mobilise at least 20 billion euros in private investments.

·Vienna, Austria
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Reuters broke the news in London, United Kingdom on Thursday, July 30, 2026.
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