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European Commission fines Temu €200 million under DSA

The European Commission has imposed a €200 million fine on Temu after finding that the online marketplace breached obligations under the Digital Services Act by failing to properly assess and mitigate systemic risks linked to illegal products sold to consumers in the EU.

According to the Commission, Temu’s 2024 risk assessment did not meet DSA requirements because it relied on general information about the wider e-commerce sector rather than evidence specific to its own platform. Regulators also found that the company significantly underestimated the likelihood that the EU consumers would encounter illegal or unsafe products.

The investigation drew on mystery shopping exercises and information from customs and market surveillance authorities. Findings included chargers that failed basic safety requirements and baby toys that contained chemicals above legal limits or presented choking hazards.

Regulators also criticised Temu for failing to sufficiently assess how recommender systems and influencer promotion programmes could contribute to the spread of illegal products on the platform.

Temu must now submit a detailed action plan explaining how it will address the shortcomings identified by the Commission. The plan will be reviewed with the European Board for Digital Services before implementation requirements are set. Failure to comply could lead to additional penalties under the DSA.

The decision is part of a wider Commission investigation into Temu, including issues related to potentially addictive design, recommender systems, and data access for researchers.

Why does it matter?

The fine marks one of the most significant enforcement actions under the Digital Services Act against a major online marketplace. It shows that the DSA is being used not only to address illegal content, but also to require platforms to assess and reduce consumer safety risks linked to illegal and unsafe goods. The case reinforces the EU’s focus on proactive risk management by very large online platforms, including how marketplace design, recommendations, and influencer promotion can amplify the reach of harmful products.

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EU ICT workforce grows to 10.45 million in 2025, Eurostat says

The number of ICT specialists in the EU reached 10.45 million in 2025, representing 5% of total employment, according to new data published by Eurostat. Although annual growth slowed compared with the post-pandemic increases recorded in 2020 and 2021, the number of ICT specialists has continued to rise over the past decade.

Northern European countries continued to lead the bloc in ICT employment concentration. Sweden recorded the highest share of ICT specialists in the workforce at 8.9%, followed by Luxembourg and Finland. At the opposite end, Greece, Romania and Italy reported the lowest shares.

The figures also highlighted the persistent gender imbalance within Europe’s technology workforce. Men represented more than 80% of ICT specialists in 2025, although the share of women increased modestly compared with 2015. Romania, Latvia and Bulgaria recorded the highest proportions of women working in ICT roles.

Eurostat noted that ICT specialists include professionals responsible for developing, operating and maintaining digital systems across all sectors of the economy. Eurostat noted that ICT specialists include professionals responsible for developing, operating and maintaining digital systems across sectors of the economy. The growth of the workforce coincides with increasing digitalisation across businesses, public services and industry.

Why does it matter?

The steady growth of ICT specialists reflects Europe’s accelerating digital transformation and the increasing dependence of economies, governments and businesses on advanced digital infrastructure. The figures also underline major regional and gender disparities that could affect Europe’s competitiveness, digital sovereignty and long-term technology workforce resilience.

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EU adopts unified cyber incident reporting templates under NIS2

The NIS Cooperation Group has adopted common templates for cybersecurity incident reporting across the EU, marking a step towards more harmonised compliance requirements for companies subject to the NIS2 Directive.

The templates were adopted during the group’s 39th plenary meeting in Cyprus and are intended to provide a uniform format for reporting cyber incidents across member states. The NIS Cooperation Group brings together the EU member states, the European Commission, and the EU Agency for Cybersecurity (ENISA) as part of wider EU cybersecurity coordination efforts.

According to the Commission, the standardised templates are designed to reduce administrative burdens and simplify compliance for companies required to report cybersecurity incidents under NIS2. The move also aligns with broader EU efforts to create a single-entry point for incident reporting under the proposed Digital Omnibus initiative.

The Commission now plans to adopt the templates through an implementing act, which would make them mandatory for all member states. The EU officials say harmonised reporting fields should reduce fragmentation, simplify reporting obligations, and help strengthen cybersecurity resilience across the bloc.

Why does it matter?

Cybersecurity reporting requirements across Europe have often created complexity for companies operating in multiple jurisdictions. Common templates could reduce duplication, make reporting procedures more predictable, and improve coordination between national authorities. The move also fits into the EU’s broader push to simplify digital compliance while strengthening cyber resilience under NIS2.

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European Commission marks .eu anniversary with internet governance focus

The European Commission has marked the 20th anniversary of the .eu top-level domain, presenting it as a symbol of European identity online and an element of Europe’s technological sovereignty agenda.

The milestone was celebrated during the 2026 European Internet Governance Dialogue in Brussels, where policymakers, technical experts, businesses, civil society representatives, and other stakeholders discussed the future of global internet governance.

According to the Commission, .eu has grown into the fourth-largest country-code top-level domain in Europe, with 3.8 million registrations since its launch in April 2006. The EU officials described the domain as a symbol of European identity online and an example of resilient European digital infrastructure, noting that it has operated without a single outage for two decades.

The discussions also focused on Europe’s broader approach to internet governance, digital autonomy, and the reduction of strategic technological dependencies. Executive Vice-President Henna Virkkunen said Europe is at a pivotal moment where digital autonomy, reduced dependencies, and global leadership in internet governance must go hand in hand.

The Commission linked the anniversary to future EU initiatives, including the upcoming Technological Sovereignty Package, which it said would further support Europe’s vision for a decentralised and open internet where users, businesses, and governments have real alternatives and control over their digital future.

Officials also stressed the importance of ensuring that European values, including human rights, inclusivity, and competition, continue to shape the next decade of global internet governance.

Why does it matter?

The anniversary shows how domain governance and internet infrastructure are increasingly being linked to digital sovereignty and technological dependence. By framing .eu as part of Europe’s identity, resilience, and internet governance agenda, the Commission is connecting a long-standing country-code top-level domain to broader debates on autonomy, infrastructure, trust, and Europe’s role in shaping the future of the open internet.

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European Commission delays tech sovereignty package again

The European Commission has postponed the presentation of its tech sovereignty package until 3 June, following several earlier delays. The publication had previously been scheduled for 25 March, 15 April and 27 May.

According to Euractiv, the package is expected to include the proposed Cloud and AI Development Act and Chips Act 2. The initiatives are intended to support digital infrastructure development and strengthen Europe’s semiconductor sector. The measures are also expected to encourage data centre investment and semiconductor manufacturing within the EU.

The latest postponement follows comments from the US ambassador to the EU concerning potential trade implications of European digital regulation. Euractiv additionally reported uncertainty regarding a proposed EU open-source strategy previously linked to the package.

The European Commission did not comment publicly on the latest delay.

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EU and Africa deepen cooperation on AI investment and digital infrastructure

European Commission has expanded cooperation discussions with African partners on AI through a new EU-Africa AI Tech Business Offer Event held in Brussels.

The event brought together policymakers, technology companies, development finance institutions, and digital cooperation organisations from Europe and Africa.

Government representatives from Kenya, Nigeria, Senegal, South Africa, and Tanzania participated in discussions alongside European digital companies and private sector organisations.

According to the European Commission, discussions focused on investment opportunities, AI infrastructure, and long-term cooperation between European and African digital ecosystems.

The initiative was organised under the Team Europe approach in cooperation with Smart Africa, the German development agency GIZ, and the Digital for Development Hub.

Why does it matter?

The event highlights increasing geopolitical and economic competition around ΑΙ partnerships, infrastructure, and digital influence across emerging markets. For Europe, cooperation with African countries supports broader goals linked to digital development, technological sovereignty, and global AI governance. For African governments, the partnerships may accelerate access to AI infrastructure, investment capital, skills development, and digital innovation ecosystems.

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DIGITALEUROPE urges stronger EU-US digital cooperation

DIGITALEUROPE has called for the rapid implementation of the EU-US trade deal and the launch of a broader transatlantic digital dialogue. The organisation said commitments under the Turnberry Agreement should be implemented to provide greater predictability for businesses.

DIGITALEUROPE said progress on implementing legislation is important for timely adoption of the agreement. The organisation also highlighted the importance of cooperation on digital resilience and competitiveness between the EU and the United States.

According to DIGITALEUROPE, the proposed EU-US Digital Dialogue could address areas including critical technologies, cybersecurity, secure connectivity, and energy technologies. The organisation said industry participation would support cooperation and transatlantic coordination.

DIGITALEUROPE also called for progress on a Cyber Mutual Recognition Agreement between the EU and the US. The statement reflects ongoing efforts to reinforce digital collaboration between Europe and the US.

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European Commission backs €5 billion fund for AI and deep tech

The European Commission has announced that the European Innovation Council Fund Board has selected EQT as the preferred investment adviser and fund manager for the new €5 billion Scaleup Europe Fund, an initiative designed to support European deep-tech scaleups.

According to the Commission, the fund will be the largest initiative of its kind launched in Europe and forms a central pillar of the EU Startup and Scaleup Strategy. It aims to provide late-stage growth capital for European companies operating in strategic technology sectors, including AI, quantum computing, semiconductors, clean technology, biotech, medical technologies, space and dual-use technologies.

European officials said the fund is intended to address the financing gap that has often pushed promising European scaleups to seek investment outside the continent. The aim is to help more high-growth technology firms remain headquartered and operational in Europe as they expand.

EQT was selected following what the Commission described as a competitive process focused on investment expertise, fundraising capability and operational experience in scaling technology companies.

The initiative is being developed alongside several major European institutional investors and financial organisations, including Novo Holdings, Allianz, CriteriaCaixa, ABP and Santander/Mouro Capital.

The Commission said legal agreements and investor approval processes are underway, with the Scaleup Europe Fund expected to begin investment operations in autumn 2026. The initiative will also be formally presented during the EIC Summit on 3 June 2026.

Why does it matter?

he fund reflects Europe’s concern that strategic technologies such as AI, quantum computing, semiconductors, biotechnology and space are increasingly tied to economic security and geopolitical influence. By creating a large European growth-capital vehicle, the EU policymakers are trying to reduce the pressure on scaleups to rely on foreign financing or relocate abroad, while strengthening Europe’s ability to retain innovation, industrial capacity and technological leadership.

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SAIFA project launched to support AI and high-performance computing in Serbia

The School of Electrical Engineering at the University of Belgrade has announced the launch of SAIFA, the Serbian Artificial Intelligence Factory Antenna, supported by the EuroHPC Joint Undertaking. According to the organisers, the project forms part of a broader EU initiative focused on interconnected AI and high-performance computing environments.

SAIFA is intended to expand access to AI and computing resources for academia, public administration, startups, and industry. It also aims to integrate national expertise into the broader European AI ecosystem through collaboration, application development, and knowledge exchange.

Project leadership highlighted SAIFA as both a continuation of ongoing work in advanced computing and a step towards stronger regional cooperation within the EU. The initiative includes partners from research, innovation, and government sectors.

A consortium of institutions, including research institutes and government bodies, will support the project’s development and implementation. The launch event and initial meeting took place in Belgrade, Serbia.

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Council compromise text advances EU AI Act changes

The Council of the European Union has confirmed agreement on a compromise text for the Digital Omnibus on AI, a proposal intended to simplify parts of the EU AI Act’s implementation while preserving protections for health, safety, and fundamental rights.

The Permanent Representatives Committee confirmed the agreement on 13 May 2026, following informal negotiations between the EU institutions on 6 May. The Council Presidency was authorised to send a letter to the European Parliament stating that, if Parliament adopts the text at first reading, the Council will approve Parliament’s position.

The compromise text amends Regulation (EU) 2024/1689 on AI and Regulation (EU) 2018/1139 on civil aviation. It says targeted changes are needed because delayed standards, national governance structures, and conformity assessment frameworks have created compliance burdens heavier than expected.

The proposal would adjust several AI Act implementation rules, including provisions on AI literacy, treatment of small mid-cap enterprises, conformity assessment, AI regulatory sandboxes, real-world testing, and the role of the AI Office. It would also simplify some registration and monitoring requirements while providing more time for high-risk AI obligations to apply.

One major addition concerns prohibited AI practices. The text would prohibit placing on the market, putting into service, or using AI systems that generate or manipulate realistic non-consensual intimate images, videos, audio, or similar material of identifiable people. It would also prohibit AI systems that generate or manipulate child sexual abuse material, subject to limited lawful exceptions.

The compromise text also modifies the AI literacy obligation. Instead of requiring providers and deployers to ensure a sufficient level of AI literacy among staff, the revised wording would require them to take measures to support AI literacy, while clarifying that they are not required to guarantee a specific level for each individual.

For high-risk AI systems, the compromise text proposes delayed application dates for certain obligations: 2 December 2027 for systems classified as high-risk under Article 6(2) and Annex III, and 2 August 2028 for systems classified as high-risk under Article 6(1) and Annex I. The text says this is intended to address implementation challenges linked to delayed standards, guidance, and national competent authorities.

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