Technological Sovereignty – Building a European Innovation Ecosystem

Europe’s share of the global AI market stands at just 14%. Can we afford to fall behind, or is it time to reclaim our technological sovereignty? While global tech giants like the U.S. and China dominate in AI, Europe has yet to create a company with a market capitalization of over €100 billion in the last 50 years. By contrast, six U.S. companies have surpassed €1 trillion in value.

This begs the question: why are we lagging? The digital age is evolving at breakneck speed, and Europe must take bold steps to build an innovation ecosystem that doesn’t just compete, but leads. How do we get there? By addressing the regulatory hurdles, fueling our entrepreneurial spirit, and investing strategically in emerging technologies.

One of the biggest challenges we face is regulatory fragmentation. Companies trying to scale across Europe often encounter complex, varying regulations that stifle innovation. Take France as an example: its SecNumCloud standards ensure data security against U.S. laws, yet Europe lacks a unified approach, with conflicting models like EUCS. How can we expect our businesses to thrive if they have to navigate 27 different regulatory environments?

Let’s shift our thinking. What if the law became a tool for innovation rather than a barrier? Imagine a legal framework that prioritizes European providers and enables easier cross-border collaboration. Could such an approach foster the next generation of tech giants in Europe? How do you think regulatory reform could be accelerated?

It’s not just regulation. Europe needs to unlock its entrepreneurial potential. Countries like Estonia have shown us what’s possible when startups are empowered by clear, supportive policies. Wise (formerly TransferWise) and Bolt are prime examples of what happens when barriers are removed. But this level of support needs to be Europe-wide.

And let’s address a major issue that’s holding us back: the brain drain. Europe is losing talent to more dynamic environments like the U.S. and China. How do we ensure that our brightest minds stay here, to build the future of European tech? I’d love to hear your thoughts: What policies or initiatives do you think would help Europe keep its top talent?

Then, there’s the question of disruptive technologies. AI, cybersecurity, and digital infrastructure aren’t just buzzwords; they’re the keys to our future leadership in tech. Initiatives like France 2030 are already making strides, supporting projects like EDHISI (European Data Hub Infrastructure & Services Initiatives), a partnership between Cleyrop, OUTSCALE, and the Institut Mines-Télécom. Together, they’re building a sovereign, secure cloud infrastructure that aligns with European standards such as Gaia-X.

But here’s the challenge: Europe is still heavily dependent on non-European infrastructures like those from the U.S. and China. If we’re serious about technological sovereignty, we need more European solutions. What role do you see for public-private partnerships in reducing this dependency? How can we support initiatives that are already working to make this a reality?

Another key piece of the puzzle is investment. Europe has €1.3 trillion in household savings sitting idle. If we could channel even a fraction of that into strategic sectors like tech, we could unlock a wave of innovation. Public-private partnerships, like the one led by IMT Teralab with ENGIE and 达索系统 , are helping create sovereign data infrastructure, but we need more.

The Draghi report underscores this: Europe’s venture capital ecosystem is fragmented, and the European Innovation Council (EIC) is vastly underfunded compared to programs like the U.S.’s DARPA. How can Europe attract more venture capital to fuel the growth of its startups? And what role do you think private investors can play in shaping Europe’s technological future?

Now more than ever, Europe’s future doesn’t lie in playing catch-up; it lies in leading the next wave of innovation. Governments, investors, entrepreneurs, and even everyday professionals like you and me need to come together and push for a robust European tech ecosystem. If we don’t act now, we risk falling further behind.

Let’s kickstart the conversation: What steps can you take within your organization to foster European innovation? How can we as a community advocate for the regulatory changes, investments, and partnerships that Europe needs? I’d love to hear your thoughts. Drop a comment below or share your own experiences—together, we can build a tech ecosystem that doesn’t just survive, but thrives.

The time to act is now.

This article was co-authored by Arnaud Muller, co-founder of Cleyrop, and Jean-Christophe Conticello, founder and CEO of Wemanity.

Arnaud Muller is the co-founder of Cleyrop , a French Tech 2030 laureate, which offers a Data & AI platform enabling both private and public entities to fully manage the data lifecycle in a trusted, sovereign, and secure environment. Previously, Arnaud founded Saagie, which he left to focus entirely on Cleyrop, particularly on strategy and R&D.

Jean-Christophe Conticello is an international entrepreneur, investor, and pioneer in agile transformation, focused on reshaping leadership and the future of work. As the Founder & CEO of Wemanity Group and an active shareholder in numerous startups, he drives innovation and long-term growth through agile strategies and Management 3.0. With over 30 co-founded ventures, he combines strategic leadership with investment to unlock the potential of businesses and leaders. His mission is to help companies not just adapt to change but lead it, creating a future where agility and bold vision are at the core of success.