The European Commission unveiled a four-part tech sovereignty package aimed at reducing the EU's dependence on US and Asian technology. The centerpiece measures are Chips Act 2.0, which grants emergency powers to override chip supply contracts and fine companies withholding supply-chain data, and the Cloud and AI Development Act, which creates a four-tier sovereignty framework that would restrict US cloud providers from handling sensitive public-sector data in healthcare, finance, and judicial systems. The EU currently produces under 10% of global semiconductors and relies on non-EU suppliers for over 80% of its digital infrastructure. The package still requires approval from all 27 member states, with France and Germany pushing for stricter European-preference rules while Nordic countries and Ireland favor a softer approach.
