- The European Commission is aiming to build up to seven AI gigafactories by mid-2028 to create sovereign AI infrastructure and reduce dependence on foreign cloud and chip suppliers.
- The initiative, part of a broader tech sovereignty push, has expanded from 4-5 to 7 gigafactories due to industry interest, with 76 consortia expressing preliminary interest.
- Public funding is limited, with the EU contributing roughly €5 billion and governments another €5 billion, while private sector provides about €20 billion; only €1 billion is available now, with the rest from the next budget.
- The projects face criticism for delays, favoring wealthier member states, and reliance on foreign chipmakers; the EU has signed deals with Nvidia, AMD, and Qualcomm to mitigate risks.
- Construction is expected to start in early 2027, with gigafactories operational by mid-2028, and access to AI compute will be shared with public projects and research centers.