European Union officials unveiled a broad plan Wednesday to reduce dependence on American technology, which they increasingly see as a threat to the region’s economic future and geopolitical security amid a rocky relationship with the Trump administration.
Under the plan, officials outlined more government involvement in the region’s tech industry to accelerate the construction of data centers and revive its semiconductor industry. It would also push European governments and businesses to purchase technology from domestic suppliers, while potentially barring American firms from cloud computing contracts seen as critical to security.
European leaders have become increasingly alarmed by the reliance on American technology in areas like artificial intelligence, cloud computing and semiconductors. Many worry the dependence creates a “kill switch” that the Trump administration or future U.S. presidents could exploit to block access to essential tech services.
“We cannot afford to depend on others for the technologies that keep our hospitals running, our energy grids stable and our services secure,” Ursula von der Leyen, president of the European Commission, the executive branch of the 27-nation bloc, said in a statement.
The tech package is part of a wider strategy shift to drive economic growth.
The European Commission said the bloc relies on foreign providers for over 80% of its digital products, services, infrastructure and intellectual property.
Many parts of the new tech package could take a year or more to become law. The proposals must wind their way through a lawmaking process that requires agreement on a deal by European countries and the 720-member European Parliament.
The draft bill encourages construction of data centers by speeding up permits, providing reliable electricity and investing government funds. The EU says it wants to at least triple its data center capacity by 2030.
Another piece of the package, the Chips Act 2.0, attempts to increase demand for semiconductors among European businesses, including automobile and defense firms. The proposal builds on a 2023 law aimed at bolstering chip manufacturing.
European officials said the tech plan was not about replacing American technology, but about building resiliency so governments and companies in the region are not reliant on one foreign supplier.