In today’s world, where globalization and digital transformation are accelerating, technological innovations are bringing about fundamental changes in economic, political, and social spheres. As part of this transformation, the European Union (EU) is developing comprehensive policies in the field of artificial intelligence (AI) and digital technologies.
The EU has introduced regulatory frameworks such as the Digital Markets Act (DMA), the Digital Services Act (DSA), and the Artificial Intelligence Act (AI Act) to integrate the digital market, limit the power of major technology companies, and ensure technological independence. The AI Act was published in the EU Official Journal on July 12, 2024, and came into effect on August 1, 2024.
The EU has implemented significant regulations, such as the DMA and DSA, to ensure fair competition in the digital economy. The DMA specifically aims to curb the dominance of major platforms like Google, Apple, Amazon, and Meta, allowing small and medium-sized enterprises (SMEs) to have a stronger presence in the digital ecosystem. This law has been designed comprehensively, ensuring security and human rights while preserving EU values. On the other hand, the DSA introduces extensive measures regarding content regulation in online services, combating disinformation, and ensuring user safety. This law is not only designed to strengthen the internal market but also aims to serve as a model for global regulations.
The EU’s developments in artificial intelligence have brought along several challenges, the most significant being ethics and security. The AI Act addresses these concerns by classifying AI applications based on their risk levels and imposing stricter oversight on high-risk systems. Within this framework, AI applications used in critical sectors such as healthcare, transportation, and finance will undergo rigorous testing and certification processes to ensure compliance with strict safety measures.
This historic law, passed in the European Parliament with 523 votes in favor and 46 against, will impose strict regulations on high-risk AI systems. Moreover, it will regulate AI applications in education, employment, critical infrastructure, and law enforcement, with penalties reaching up to €35 million or 7% of a company’s global annual turnover.
With this legislation, the EU aims to promote human-centered and reliable AI technologies while protecting democratic values and fundamental rights. This regulation seeks to maximize the economic and societal contributions of AI while ensuring progress without compromising European values.
The EU’s AI Vision and Objectives
The European Commission has developed a comprehensive vision to ensure the trustworthy and transparent use of AI technologies. At the core of this vision is the objective of developing AI systems in alignment with European values and fundamental human rights.
The Digital Transformation Strategy aims to maximize the economic and social benefits of AI-driven analysis and applications. Significant efforts are being made, particularly in improving predictive capabilities, optimizing processes, and personalizing service delivery. Additionally, the EU’s AI strategy is supported by a €200 billion investment mobilization.
With the rapid advancement of technology, the EU’s strategic priorities in AI are evolving. Investments in R&D and data infrastructure development form the foundation of this strategy. The private sector plays a crucial role in the EU’s R&D investments, with 17.5% of global R&D expenditures made by EU-based companies. Furthermore, the EU’s innovation performance continues to improve, with Finland, the Netherlands, Germany, and Denmark ranking among the top 10 in the Global Innovation Index.
To enhance its competitiveness in AI, the EU actively supports startups and researchers.
The EU’s National AI Strategies
Several EU member states have developed their own national AI strategies:
France announced its “AI for Humanity” strategy in 2018, aiming to improve AI-driven analysis and the education ecosystem. The French government allocated €1.5 billion for AI development by the end of 2022.
Germany unveiled its AI strategy in 2018, formulated through a collaboration between three federal ministries. This strategy, designed to make Germany and Europe a global AI hub, was allocated a €3 billion budget for the 2019-2025 period.
Estonia has developed a strategy encouraging the use of AI-driven analysis and applications in both public and private sectors, with an investment plan of at least €10 million between 2019 and 2021.
The Netherlands’ AI strategy is based on three fundamental pillars:
- Leveraging societal and economic opportunities
- Supporting education and skill development
- Ensuring trust and the protection of human rights
EU member states are working on establishing common standards in AI-driven analysis processes. Collaboration mechanisms are being developed particularly in the areas of data sharing, ethical principles, and security. Additionally, platforms that facilitate knowledge and experience exchange among member states are being set up.
The Nordic-Baltic region countries have strengthened regional cooperation by issuing a joint AI declaration. Furthermore, coordination mechanisms have been established among EU member states to harmonize AI regulations.
2030 Digital Strategy: Technological Independence and Semiconductor Production
The EU’s digital transformation strategy is not limited to regulatory laws; it also focuses on technological independence and AI leadership on a global scale. Initiatives such as the European Chips Act aim to reduce dependency on foreign sources and enhance domestic semiconductor production capacity.
This strategy supports not only economic development but also cybersecurity, data management, and infrastructure investments, ensuring global competitiveness. Under the 2030 vision, the EU is increasing digital infrastructure investments to achieve technological sovereignty. These efforts are particularly aimed at establishing a strategic balance against the technological dominance of the US and China, fostering a more integrated and resilient digital economy among EU member states.
In conclusion, the Digital Markets and Services Acts contribute to ensuring fair competition by regulating major technology companies, while the AI Act paves the way for ethical and reliable AI applications. The steps taken under the 2030 digital strategy will strengthen the EU’s technological independence and cybersecurity foundations. However, to compete with global powers such as the US and China, the EU must review its bureaucratic processes and adopt more flexible innovation models.
