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EU AI Factories: Open for Business

The EU is investing €30 billion for large-scale AI Gigafactories and plans to mobilize €200 billion in public-private investments.

The European Union’s AI Factories initiative is a bold step to position Europe as a global leader in ethical and innovative artificial intelligence.

Launched in January 2024 as part of the AI Innovation Package and expanded through the AI Continent Action Plan in April 2025, the initiative seeks to create a network of advanced AI development hubs across Europe.

These hubs, built on the EuroHPC Joint Undertaking’s supercomputing infrastructure, aim to provide startups, small businesses, researchers, and public entities with the tools to develop cutting-edge AI models.

AI-optimized Supercomputers

By combining powerful AI-optimized supercomputers, access to high-quality datasets, and expert support, AI Factories foster innovation in critical sectors like healthcare, manufacturing, energy, and cybersecurity, while prioritizing trustworthy AI aligned with EU values, such as privacy and safety, as outlined in the EU AI Act.

In December 2024, the EuroHPC JU selected seven sites in Spain, Luxembourg, Italy, Germany, Sweden, Finland, and Greece to establish the first AI Factories, with six additional locations in Austria, Bulgaria, France, Germany, Poland, and Slovenia announced in March 2025. These hubs, expected to be operational by 2026, will serve as one-stop shops offering computing power, data resources, and training to drive AI development.

The EU has committed €10 billion through 2027, supplemented by a €20 billion InvestAI Facility for large-scale AI Gigafactories and plans to mobilize €200 billion in public-private investments. While the initiative enhances Europe’s strategic autonomy and global competitiveness, challenges like simplifying access to resources, ensuring energy efficiency, and securing advanced AI chips persist.

By fostering collaboration across supercomputing centers, universities, and industry, AI Factories aim to democratize AI innovation, boost economic growth, and deliver societal benefits, positioning Europe as a hub for trustworthy AI.

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