Published on 5/30/2026
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Last update: 16:52 (Mecca time)
The European Union is taking a set of new, far-reaching steps that contribute to achieving its cloud and digital sovereignty in several technical sectors in the near future, and among them comes the amended chip law as well as a package of European Union technological sovereignty laws, according to the Agence France-Presse report.
The new laws will be presented during the European Union sessions next Wednesday, as the expected package includes a group of new laws related to chips, cloud computing, and even artificial intelligence technologies.
These laws come as part of Brussels’ efforts to reduce dependence on foreign companies, boost domestic manufacturing, and restore the European Union’s position in the global race for geopolitical power, despite the risk of opening a new front of geopolitical tensions across the Atlantic.
The reason for amending the European Chip Law, despite its first issuance in September 2023, that is, less than 3 years ago, is due to growing fears of the European Union’s dependence on American service providers, as well as the heavy reliance on American technology in general.
This dependence raises concerns among many within the European Union, especially after the return of US President Donald Trump to the White House, as the French agency’s report describes that the US government now has a button to bring down the entire European infrastructure, as American cloud companies control 70% of the total European market.
For her part, European Union Competition Officer Teresa Ribera stressed the necessity of developing the European Union’s technical capabilities, in order to preserve European sovereignty over the decisions, values, economy, and services provided within its countries.
Fear of a repeat of the crisis
The France 24 report mentions European fears of a repeat of the crisis that occurred with International Criminal Court judge Nicolas Guillot, who lost his ability to use his electronic payment cards because they were provided by the American company Visa.
Member of the European Parliament, Oliver Schenck, explained while speaking to Agence France-Presse that the new package is not related to confronting trading partners or closing markets for European services, stressing the need for Europe to avoid relying on any single external party.
Therefore, Brussels is preparing a major shift in its industrial and supply policy to address the errors that appeared in the previous chip law, as the previous law focused on increasing the rate of production and manufacturing within European markets without focusing on creating an appropriate demand for this increase.
The report of the European news site Euronews indicates that the early draft includes tools that increase the rate of demand for European chips, such as coordination of purchases and consumption incentives to stimulate the market.
The new legislation will focus on pooling orders and implementing joint purchasing mechanisms, meaning that the EU will act as a central buyer for many member states facing severe shortages in their purchases.
It also proposes changes to the EU’s management of semiconductor supply chain crises and calls for proactive information sharing by companies to make emergency measures more effective and organised.
Sovereignty is based on fair competition
The Euro News report confirms that the European technological sovereignty package focuses more on diversifying supply chains and enhancing control over vital infrastructure, as it is based on fair competition rather than isolation or protection.
The head of the European Union’s Digital Committee, Hina Virkkonen, reinforces this trend, stressing that the new package of measures encourages European countries to catch up with the United States and China in various technological sectors.
The new European laws are consistent with what the EuroStack movement calls for, which calls for the development of technology solutions based in the European Union, which prompted the European Union to work closely with the movement, according to what Cristina Cavara, founder and president of the movement, said.
Cavara expressed her wide welcome in relying on open source technology, describing it as the magic sauce for Europe and its main strength directly.
The new legislation defines 4 levels of European sovereignty over computational services and artificial intelligence, which are the levels that authorities must take into account in purchasing decisions depending on the sensitivity of the user’s situation.
Direct American response
For his part, the American envoy to the European Union, Andrew Puzder, warned against any legal measures to protect European markets and close their doors to American companies, stressing that Europe will not be able to withdraw itself into the artificial intelligence economy by abandoning others.
American companies also called on European countries not to completely exclude them and to maintain the good commercial relationship between the two parties, noting that European data will be under complete European control while it is in American companies, according to the Agence France-Presse report.
Aaron Cooper, from the Business Software Alliance group in the technology sector, sought to reassure the Europeans, stressing that there is no immediate stop button for American technologies, and that American administrations will not act to harm the European bloc in times of crisis, adding that companies want to comply with the laws wherever they do business.
