The European Union’s initiative to bolster its artificial intelligence prowess has received a rapturous response. With a fund of €20 billion ($23.6 billion) earmarked for constructing AI megafactories, interest has surged. Big names such as Nvidia are expected to benefit greatly. According to the European Commission, a stunning 76 expressions of interest have been submitted, covering 60 sites in 16 member states. These proposals represent a mix of data center operators, telecom providers, and power companies, all eager to cash in on this major funding opportunity.

Henna Virkkunen, Executive Vice-President for Technological Sovereignty, declared this response as exceeding expectations and indicative of Europe’s commitment to technological innovation. The AI megafactories are envisioned as expansive hubs designed to handle the computational demands of emerging AI models, which require infrastructures of massive scale.

The plan is not just about infrastructure; it’s strategic, aiming to position Europe as a significant player in the AI arena, competing with the US and China. Recent interest by German host Ionos and Spanish telcos Telefónica and MasOrange further establish the momentum behind these developments.

However, these are preliminary interests rather than formal applications, set to inform future calls for proposals. The upcoming proposals’ selection process promises to redefine Europe’s AI capabilities.

Challenges remain, such as energy consumption, which is a concern in countries like Denmark and Belgium, where potential sites have been proposed. As various stakeholders prepare for the official call for proposals later in 2025, the initiative paves the way for Europe to strengthen its AI infrastructure substantially.