EU tech sovereignty package curbs US cloud, launches Chips Act 2.0 The European Commission has launched a comprehensive tech sovereignty package to reduce dependence on foreign technology, focusing on cloud computing, AI, semiconductors, and open-source software. The Cloud and AI Development Act introduces tiers for cloud sovereignty, requiring EU-based ownership and control for sensitive public-sector data, directly challenging US cloud providers and laws like the US Cloud Act. A revamped Chips Act 2.0 aims to stimulate demand for European semiconductors and secure design capabilities, with significant investment planned for advanced manufacturing facilities.

• The EU’s tech sovereignty package aims to reduce dependence on foreign technology in cloud computing, AI, semiconductors, and open-source software.
• The Cloud and AI Development Act (CADA) establishes four tiers of cloud sovereignty for public authorities, with higher tiers requiring EU-based ownership, personnel, and independence from third-country jurisdictions.
• This legislation targets sensitive public-sector workloads in healthcare, finance, and judicial systems, impacting major US cloud providers like Amazon Web Services, Microsoft Azure, and Google Cloud.
• Chips Act 2.0 shifts focus to stimulating demand for European-made semiconductors and securing design capabilities, with plans for advanced manufacturing facilities and substantial investment.
• The package aims to triple the EU’s data center capacity within five to seven years and ensure European organizations can run AI workloads on European infrastructure.
• Unlike previous initiatives, this package has regulatory teeth, restricting the use of non-EU providers for specific government data categories and requiring structural independence, not just data residency. Continue reading https://thenextweb.com/news/eu-tech-sovereignty-cloud-chips-act