EU targets Big Tech dependence with 'made-in-Europe' drive

EU targets Big Tech dependence with 'made-in-Europe' drive

The Star Online - Tech·2026-06-03 21:00

BRUSSELS, June 3 (Reuters) - ⁠The European Commission proposed new laws on Wednesday to boost domestic cloud, AI and semiconductor ⁠industries, aiming to cut reliance on U.S. Big Tech in a move that could ‌ratchet up transatlantic tensions.

The Cloud and AI Development Act and Chips Act 2.0 form part of Europe's push for technological sovereignty and its efforts to close the gap with U.S. and Chinese rivals. The Commission wants to double the EU's global ​market share of semiconductors to 20% by 2030.

"We cannot afford ⁠to depend on others for the technologies ⁠that keep our hospitals running, our energy grids stable and our services secure," Commission President Ursula ⁠von ‌der Leyen said in a statement.

EU tech chief Henna Virkkunen warned of the risk of potential 'kill switches' that could disable or disrupt services.

"We want to be sure that in the ⁠critical fields we are always able to control the services and ​control the data in Europe," ‌she told reporters.

The proposal sets out sovereignty requirements for cloud providers in sensitive sectors such ⁠as banking, energy ​and healthcare, driven in part by concerns over U.S. laws such as the Cloud Act which requires U.S.-based providers to grant authorities access to data even if it is stored abroad.

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