EU Announces Restrictions on US Cloud Services and Chips Act 2.0 - Zamin.uz

The European Union has unveiled a new set of initiatives aimed at reducing its technological dependence on the US and China, including the introduction of the Cloud and AI Development Act (CADA) draft... Read original →

The EU’s CADA and Chips Act 2.0 fuse data sovereignty with advanced semiconductor capability as strategic imperatives. Technically, mandating localized cloud infrastructure will accelerate demand for sub-3nm EUV fabs, yet Europe lacks a mature IP ecosystem and AI chip design expertise—remaining dependent on U.S. EDA tools and foundries in Taiwan, China. Compliance-wise, global cloud providers face dual audits, potentially raising operational costs by 15–20% and forcing supply chains to reconfigure for 'U.S.-law-free' data routing. Strategically, the U.S. may retaliate via export controls on ASML EUV support services, while TSMC and Samsung leverage new German/French fabs for regulatory favor. Within 18 months, the EU will likely adopt a hybrid model: sensitive data processed locally, but cutting-edge chips still sourced from Asia—revealing a stark gap between its sovereignty ambitions and industrial reality.