Seeking Digital Sovereignty

This chapter focuses on how the European Commission’s ‘Shaping Europe’s Digital Future’ strategy emphasises technological sovereignty as the means to establish Europe as a leader in critical areas such as AI and 6G. It outlines a comprehensive regulatory agenda for cybersecurity, semiconductors, digital services, and connectivity, aiming for a harmonised digital policy framework by 2030 with targets like gigabit connections for all households. However, there is recognition that the narrative often diverges from market realities and that Europe’s efforts, particularly in AI, may not yet match those of global competitors. Indeed, there are doubts about whether the EU’s role in setting global industry standards, the ‘Brussels Effect’ exemplified by the GDPR, truly boosts competitiveness or if Europe’s role as a regulatory leader impedes its market competitiveness. Similarly, the 2022 Digital Market Act, following on from past digital antitrust cases against Microsoft and Google, attempts to ensure fair digital markets. Still, current evidence suggests that disruptive innovation is a more viable path for challenging dominant positions. The tensions between innovation and regulation, or content moderation versus free speech, challenge the EU’s ambition to maintain a competitive edge in a rapidly evolving digital market. A focused, excellence-driven approach to innovation, inspired by models like DARPA, is required, along with re-evaluating international cooperation, particularly with China, to foster a globally collaborative digital ecosystem.