The facilities will combine more than 100,000 advanced AI processors with specialised software, secure cloud systems, high-speed networks, large-scale storage and energy-efficient data centres. They are designed to support the development, training and operation of highly complex AI models containing trillions of parameters.
Up to €10 billion in public funding will be provided jointly by the EU and participating countries. Brussels expects the commitment to attract at least €20 billion from technology companies, infrastructure investors and other private partners.
The European Commission expanded the proposed network from five to seven sites after receiving strong interest from governments, technology suppliers and investors. An earlier expression-of-interest process drew 77 proposals covering 16 possible locations in 16 countries.
Consortia of public bodies, private companies and investors can submit applications until 12 November. Successful projects are expected to be identified in early 2027, with each selected facility required to become operational within 18 months after the relevant contracts are signed.
The gigafactories will be built under the EuroHPC Joint Undertaking, the programme coordinating Europe’s high-performance computing resources. Each project may qualify for substantial EU support, although final commitments will depend on national contributions, private financing and decisions under the bloc’s next long-term budget.
Brussels intends the sites to provide computing services for start-ups, research organisations, universities, established businesses and public institutions. Priority areas are expected to include healthcare, manufacturing, energy, defence, climate modelling, robotics, drug development and other sectors that require intensive processing of large datasets.
The initiative represents a significant escalation of Europe’s AI infrastructure strategy. The EU already supports a network of 19 smaller AI factories connected to supercomputers across the region. Gigafactories will operate on a much larger scale, with processing capacity expected to be about four times greater than that of existing facilities.
Europe has strong scientific institutions, semiconductor equipment companies and industrial data resources, but it has struggled to match the computing investment of the United States and China. Most large cloud platforms used by European companies are operated by US groups, while the most powerful processors needed for advanced AI systems are largely supplied by Nvidia, AMD and other overseas manufacturers.
Nvidia, AMD and Qualcomm have signalled their willingness to provide hardware for the programme. Their participation could accelerate construction, although it also highlights the difficulty of achieving full technological sovereignty while Europe lacks a major producer of cutting-edge AI accelerators.
The Commission wants the programme eventually to strengthen domestic chip design and manufacturing. European processors and open technology platforms could be incorporated into the facilities as they become commercially viable, allowing the bloc to diversify supply chains and retain more economic value within its borders.
Energy access will be a decisive factor in selecting locations. AI data centres consume large amounts of electricity and require reliable grids, extensive cooling systems and high-capacity fibre connections. Applicants will have to demonstrate credible plans for efficiency, renewable power, heat reuse and responsible water consumption.
Europe’s relatively high electricity prices may place some proposed sites at a disadvantage against data-centre projects in the United States, the Middle East and parts of Asia. Grid congestion and lengthy permitting procedures could also delay construction unless governments coordinate energy, planning and digital infrastructure policies.
The gigafactories form part of the EU’s wider effort to turn its regulatory influence into industrial strength. The bloc has established extensive rules governing AI safety, transparency and data protection, but technology businesses have repeatedly warned that limited access to computing power and investment capital could weaken European competitiveness.
Commission officials argue that shared infrastructure can give smaller developers access to resources normally controlled by global technology corporations. The model is intended to spread the cost across governments and industry while ensuring that strategically important computing capacity remains available under European legal and security standards.
Selected operators will be expected to provide secure environments for sensitive commercial and public-sector information. That requirement is particularly important for applications involving health records, defence research, industrial intellectual property and confidential government data.
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