EU plans seven AI gigafactories with €10 billion fund

The European Commission announced on Thursday (July 30, 2026) a €10 billion ($11.5 billion) plan to build seven AI gigafactories across the EU, up from five initially planned due to strong member-state interest. The Commission aims to attract at least €20 billion in private investments for the projects.

The gigafactories will combine advanced AI processors, software, cloud technology, high-speed connectivity and data centres. They will supplement the 19 existing AI factories in EU countries. EU tech chief Henna Virkkunen said access to computing power at scale is a strategic necessity for Europe as AI development accelerates.

AMD, Nvidia and Qualcomm have signed letters of intent to supply chips. Consortia of technology providers, cloud firms, public entities and investors can apply. The tender closes on November 12, with successful bidders expected in early 2027. Facilities should become operational within 18 months of contract signing.