Introduction
Technology and politics have always been inextricably linked. In Man’s internal Hobbesian struggle for geopolitical dominance, polities who can manage to get the most out of technological innovation tend to persevere over those who don’t. In this light, the AI revolution paints a bleak picture for Europe, as it is seemingly left behind by the USA and China. However, the EU is not standing still, as it has launched a number of consecutive initiatives to become a leader in AI in its own right. As EU policy can sometimes be opaque and overwhelming regardless of the topic, this explainer lays out these recent developments in a simple overview.
Milestones
In early October of this year, the European Commission introduced its highly anticipated Apply AI Strategy, which may turn out to be a defining milestone for Europe’s digital future. Presented by Henna Virkkunen (the Commission’s Executive Vice-President for Tech Sovereignty, Security and Democracy), the initiative sits at the heart of the EU’s ambition to claim AI sovereignty and become a so-called “AI Continent”.
The strategy is backed by €1 billion in EU funds, and it aims to boost ten key areas including healthcare, defence, and public administration. Behind the technocratic tone, however, lies a bigger ambition: a European attempt to assert its digital independence from the USA and China. These two tech colossuses have so far led the global race for artificial intelligence dominance in recent years through substantial innovation and investment. In contrast, the EU has often been criticised for lagging behind and has now sought to position itself as a significant digital pole in its own right.
Reducing Dependence
By promoting EU-made AI technologies, the Commission aims to reduce dependence on foreign tech powers while fostering internal cohesion. As Henna Virkkunen put it during the strategy’s presentation, Europe’s goal is not merely to “catch up” with the United States or China, but to define its own path, rooted in democratic and ethical governance. In practical terms, the Apply AI Strategy focuses on helping small and medium-sized enterprises (SMEs) integrate AI tools, strengthening digital infrastructure, and providing public administrations with ad hoc support to modernise operations. The plan also encourages governments and institutions to “favour EU solutions where they can”, reinforcing the bloc’s goal of technological sovereignty. 
Apply AI builds on the AI Continent Action Plan. This earlier plan set the foundation for the EU’s AI-related efforts by investing in computing capacity, common data spaces, and skills development to train Europe’s next generation of AI professionals. The European Policy Centre proposes that the Apply AI Strategy can be seen as its operational counterpart. An attempt by the Commission to move from vision to implementation.
First Ever
On the level of actual policy, Apply AI complements the existing AI Act, which introduced the first-ever written regulatory framework on artificial intelligence. These two initiatives form a dual approach. The AI Act establishes the legal foundation and boundaries whereas the Apply AI seeks to accelerate the adoption and innovation within the established limits.
The European Commission’s press release frames the new strategy around three central objectives: speeding up AI adoption in high-impact sectors, investing in digital infrastructure, and promoting transparent governance. To achieve this, the plan mobilises both public and private investment through a mix of Horizon Europe funds, Digital Europe Programme resources, and national contributions. Of course, the success of the implementation heavily depends on Member States’ willingness to cooperate, sustain funding, and the capacity to translate broad objectives into tangible results. This makes the balance between innovation and regulation fragile.
Conclusion
In sum, the Apply AI Strategy is a tangible representation of digital policy. By introducing this strategy the EU has made a bold statement in favour of technological self-determination and digital sovereignty. The claim to become an “AI Continent” is an affirmation of Europe’s identity as a global actor. By coupling strategic regulation with investment, Brussels aims to demonstrate that ethical standards and innovation are not mutually exclusive, especially as concerns about data privacy, algorithmic bias, and digital dependency grows.
