Defense giants urge von der Leyen to prioritize European-made technology.

European Companies Warn of Rising Risks from U.S. Tech Dependence

As tensions between the European Union and the United States continue to escalate, European industry leaders are raising concerns over the risks associated with relying on U.S. technology in critical supply chains. A recently published letter highlights these growing threats, referencing U.S. Vice President JD Vance’s speech at the Munich Security Conference as evidence of deteriorating transatlantic relations.

Currently, the EU is locked in a dispute with Washington over tariffs on aluminum and steel, with additional friction arising over technology regulations in recent months.

Broad Coalition of European Firms Call for Action

The letter was signed by major European players, including aerospace giants Airbus and Dassault, as well as the French public investment bank Bpifrance. Numerous European cloud companies—such as Scaleway, OVHCloud, and Nextcloud—also endorsed the message, alongside industry alliances like France Digital, the European Digital SME Alliance, and Connect Europe. Smaller European tech firms, including Proton and Ecosia, also participated in the initiative.

Europe’s Heavy Dependence on U.S. Technology

The EU remains highly reliant on American tech firms. U.S. cloud providers such as Amazon, Microsoft, and Google PLACEHOLDER40a5d579764652ec more than two-thirds of the European cloud market, while European companies PLACEHOLDER59b80960bf0a76d6 only about 10 percent of the world’s microchips. In emerging technologies like artificial intelligence, American firms, including OpenAI, dominate innovations such as chatbot applications.

A Call for a European Tech Strategy

To address these vulnerabilities, the letter urges the European Commission to “mobilize industry” in crafting a comprehensive, continent-wide strategy to establish alternatives in key technology sectors.

Frank Karlitschek, CEO of the German cloud storage company Nextcloud, which co-signed the letter, emphasized the importance of reducing Europe’s reliance on U.S. technology while maintaining global cooperation. “I don’t think the goal is to be completely independent from the U.S. or the rest of the world … but at least have some assets so that we can negotiate,” he stated.

Building a Stronger Independent Tech Infrastructure

This call to action follows another industry-backed effort, EuroStack, which proposes developing a robust European technology ecosystem. The EuroStack initiative envisions a tech infrastructure spanning three key layers: hard infrastructure, intermediary services like cloud computing, and digital applications. The goal is to reduce Europe’s reliance on American Big Tech and establish a more self-sufficient digital economy.

With tensions escalating, European industry leaders argue that strengthening domestic technological capabilities is essential to ensuring Europe’s long-term competitiveness and negotiating power in the global market.