The European Commission announced Thursday a call to fund up to seven AI "gigafactories" to train next-generation artificial intelligence models [1].
This initiative represents a strategic push for sovereign AI infrastructure. By building these facilities, the EU aims to reduce its dependence on foreign technology and maintain competitiveness against the U.S. and China [2].
The funding for the program is subject to conflicting reports. Some sources said the EU has earmarked €10 billion [1], or approximately $11.5 billion [1], for the project. However, other reports place the total value of the call at €30 billion [5].
There are further discrepancies regarding current spending. While some reports suggest the full €10 billion is to be allocated [1], other data indicates that only about €1 billion has been committed so far [6].
Member states will be selected to host these factories through a competitive bidding process [3]. The Commission said the facilities are expected to be operational by mid-2028 [4].
The gigafactories will focus on the compute-heavy process of training large-scale AI models. This infrastructure is intended to provide the raw processing power necessary for the EU to develop its own foundational technologies, rather than relying on external providers [2].
“The EU aims for sovereign AI infrastructure to reduce dependence on foreign technology.”
The move signals a shift from AI regulation toward aggressive industrial policy. By investing in the physical layer of AI—the compute and hardware—the EU is attempting to bridge the gap between its regulatory leadership and the technological dominance of U.S. and Chinese firms. The success of the plan depends on whether the EU can attract the necessary talent and hardware to make these factories viable by 2028.
