Europe prepares formal call for AI Gigafactory projects
EU plans to fund four to five AI Gigafactories, consolidating 76 pitches into fewer large training hubs.
The European Commission is collaborating with the EU capitals to narrow the list of proposals for large AI training hubs, known as AI Gigafactories. The €20 billion plan will be funded by the Commission (17%), the EU countries (17%), and industry (66%) to boost computing capacity for European developers.
The first call drew 76 proposals from 16 countries, far exceeding the initially planned four or five facilities. Most submissions must be merged or dropped, with Poland already seeking a joint bid with the Baltic states as talks continue.
Some EU members will inevitably lose out, with Ursula von der Leyen, the President of the European Commission, hinting that priority could be given to countries already hosting AI Factories. That could benefit Finland, whose Lumi supercomputer is part of a Nokia-led bid to scale up into a Gigafactory.
The plan has raised concerns that Europe’s efforts come too late, as US tech giants invest heavily in larger AI hubs. Still, Brussels hopes its initiative will allow EU developers to compete globally while maintaining control over critical AI infrastructure.
A formal call for proposals is expected by the end of the year, once the legal framework is finalised. Selection criteria and funding conditions will be set to launch construction as early as 2026.
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