EU proposes Chips Act 2.0 and Cloud and AI Act - Evertiq

The European Commission unveiled the 'European Technological Sovereignty Package' on June 4, 2026, aimed at reducing Europe's reliance on foreign suppliers in semiconductors, AI, cloud computing, and ... Read original →

The EU’s 'Technological Sovereignty Package' is a corrective maneuver after the 2023 Chips Act missed its mark. Technologically, prioritizing 3nm and EUV will pressure ASML, IMEC, and STMicroelectronics to integrate advanced packaging with local fabs—but Europe lacks a cohesive AI chip ecosystem, jeopardizing full-stack autonomy. Compliance-wise, mandating 'sovereignty certification' for cloud providers in critical sectors will inflate operational costs for U.S. hyperscalers like AWS and Azure, erecting new data-localization barriers. Strategically, the U.S. may retaliate via export controls on EUV tools or AI IP under the CHIPS Act, while TSMC (Taiwan, China) could delay its German fab amid subsidy uncertainty. Over the next 12–24 months, expect surging EU investment in homegrown EDA, RISC-V, and open-source AI stacks—but without sufficient design talent or customer pull, its 'AI continent' ambition risks becoming infrastructure without demand.