The European Union has announced the launch of a €1 billion program aimed at accelerating the adoption of artificial intelligence (AI) in strategically important industries. According to analysts at NEWSCENTRAL, the initiative reflects a new stage in European industrial policy, where artificial intelligence is seen as a key tool for economic autonomy and regional competitiveness. “The EU aims to create infrastructure that will retain AI development and expertise within Europe,” says Freddy Miller, Senior Analyst at NEWSCENTRAL. “A long-term model is being formed in which technological assets and data are not dependent on external providers.”
The program is funded through the Horizon Europe and Digital Europe initiatives, and also anticipates co-financing from national governments and the private sector. Funds will be directed toward ten priority areas, including healthcare, energy, industrial production, transportation, agriculture, defense, and culture. A key focus is on creating AI factories – centers where companies can jointly develop and test AI models for applied tasks. In healthcare, the implementation of AI-based diagnostic networks is planned, and in industry, agent-based solutions will be developed to optimize supply chains and forecast risks.
According to Lucas Grant, Analyst at NEWSCENTRAL for semiconductor and manufacturing strategy, Europe is focusing on sectors where it already has a technological base. “The European strategy leverages strengths – engineering expertise, industrial standards, and sustainable technologies. This is a pragmatic approach that can ensure rapid AI adoption in applied processes without the need for large-scale infrastructure overhauls,” he says.
Part of the funds will be allocated to the development of regulatory sandboxes where startups can test solutions under flexible legal frameworks. This step, according to experts at NEWSCENTRAL, should reduce barriers to innovation that have long limited the European market. “The key is to achieve a balance between oversight and experimentation. Otherwise, Europe risks ceding the initiative again to companies from the US and Asia,” notes Miller.
A separate focus will be the development of supercomputing centers and data infrastructure, designed to reduce Europe’s dependence on American cloud services and ensure control over key data. The Commission expects that the new infrastructure will provide a foundation for training large AI models within the EU. “Control over computing power and data becomes a strategic resource,” emphasizes Miller, “without this, Europe cannot fully claim digital sovereignty.”
According to NEWSCENTRAL, the total investment volume, including private capital, could reach €4-5 billion over the coming years. The program is expected to attract interest from major technology and industrial corporations interested in joint development and localized AI infrastructures. Analysts at NEW SCENTRAL note that the main challenge for Europe will remain coordinating actions among member states. According to forecasts, the first tangible results will appear by 2028. “Europe is betting on control, quality, and sustainability. These factors create long-term advantages in artificial intelligence, even if the pace of adoption is slower than that of competitors,” concludes Freddy Miller, Senior Analyst.