EU Launches AI Action Plan

The European Union continues to take steps to become a global leader in artificial intelligence (AI). The EU Commission launched the AI Continent Action Plan (Action Plan) on April 8, 2025. The Action Plan is intended to boost the EU’s artificial intelligence capabilities by focusing on five main pillars:

1. Building AI computing infrastructure
2. Increasing access to large and high-quality data
3. Developing algorithms and fostering AI adoption
4. Strengthening AI skills and talent
5. Simplifying regulations

While most of the five pillars are still works in progress, the EU has begun increasing AI computing infrastructure: The European High-Performance Computing Joint Undertaking (EuroHPC) regulation was amended in July 2024 to expand the objectives of the Joint Undertaking to include the development and operation of AI factories. Through a series of RFPs, 13 consortia were selected to establish AI factories with dedicated AI supercomputers.

With the newly created computing power, the Commission will set up data labs intended to consolidate data from different AI factories. The Commission will make the data available to developers under conditions consistent with the EU AI Act in support of fostering innovation, particularly in key sectors such as health and life sciences, environment and sustainability, education, finance, space and cybersecurity, among others. The EuroHPC will act as the administrator granting access to users across the EU, with priority given to AI innovators, startups, academia and public authorities. 

On April 9, 2025, the Commission opened two public consultations where interested parties can share their views on: (1) the Cloud and AI Development Act, and (2) Apply AI.

The Cloud and AI Development Act is aimed at increasing the EU cloud and data center capacity, as the EU trails the U.S. and China in both of these respects. The Cloud and AI Development Act will incentivize investment in cloud and edge capacity while decreasing the barriers of building additional cloud and edge capacity. Some of the existing barriers include environmental authorization, permitting, sites identification and access to energy. 

The objective of Apply AI is to accelerate the uptake of AI, particularly in those key industry sectors identified above, in addition to health care, justice and public administration. According to EU statistics, only 13.5% of companies in the EU have adopted AI.

The public consultation period for the Cloud and AI Development Act as well as Apply AI will end June 4, 2025. For those that are interested or may be impacted, there is a two-month window to submit comments.

Armstrong Teasdale will continue to monitor AI-related developments both in the EU and globally. If you have any questions, please contact your regular AT attorney or one of the listed authors.