Nvidia CEO Jensen Huang has been making the case for ‘sovereign AI’ since 2023, arguing that nations should craft AI solutions that reflect their unique cultural and historical contexts. European leaders, increasingly cautious about depending on U.S. tech giants, are now warming to the idea.
During visits to cities like London, Paris, and Berlin, Huang highlighted the region’s current shortfall in AI infrastructure. In Paris he remarked, “We’re going to invest billions in here … but Europe needs to move into AI quickly.” Across the Channel, UK Prime Minister Keir Starmer has pledged £1 billion to ramp up computing power, aiming to establish the nation not as a consumer, but as a creator of AI technologies.
At the VivaTech conference, French President Emmanuel Macron emphasised that building robust AI infrastructure is key to ensuring digital sovereignty. In Germany, Chancellor Friedrich Merz hailed Nvidia’s collaboration with Deutsche Telekom on an AI cloud platform as a pivotal move toward securing the country’s digital future.
While major players like Microsoft, Amazon, and Google currently dominate Europe’s cloud services, smaller firms such as Mistral are determined to challenge the status quo. Arthur Mensch, Mistral’s CEO, observed, “There’s no reason why Europe shouldn’t have tech champions.” Teaming up with Nvidia, Mistral plans to launch a data centre in France equipped with 18,000 state-of-the-art Nvidia AI chips, with further expansion eyed for 2026. This effort dovetails with the EU’s $20 billion drive to establish four AI gigafactories, all aimed at reducing dependence on U.S. companies.
Nvidia’s GPUs remain a cornerstone for global AI data centres, and the push for sovereign AI could reshape Europe’s tech landscape—opening doors for local startups and chipmakers alike. Yet, challenges like high electricity costs, which already account for 3% of the EU’s power use, and the hefty investments seen in U.S. hyperscalers, remind us that the journey is not without its hurdles. Pascal Brier of Capgemini put it succinctly: “Hyperscalers are spending $10 billion to $15 billion per quarter in their infrastructure. Who in Europe can afford that exactly?”
Even as European players like Mistral combine their innovative AI models with technologies from partners such as OpenAI and Meta Platforms, there’s a clear message: the quest for digital independence is well underway. With strategic investments and meaningful partnerships, Europe is steadily carving out a space in the global AI arena.
