Sittings · Document
Follow-up to the European Parliament non-legislative resolution on European technological sovereignty and digital infrastructure
Rapporteur: Sarah KNAFO (ESN / FR)
References: 2025/2007(INI) / A10-0107/2025 / P10_TA(2026)0022
Date of adoption of the resolution: 22 January 2026
Competent Parliamentary Committee: Committee Industry, Research and Energy (ITRE)
Brief analysis/ assessment of the resolution and requests made in it:
The resolution reflects the European Parliament’s strong call for strengthening European technological sovereignty, particularly in response to the EU’s strategic dependencies on non-European digital infrastructure and technology providers. The Parliament emphasises the need for a comprehensive industrial policy covering the entire digital value chain – from semiconductors and connectivity to cloud, data and artificial intelligence (AI) – while promoting open standards, interoperability, and competitive market structures. The resolution highlights several strategic priorities, including high-performance computing, boosting semiconductor manufacturing, accelerating fibre and next-generation connectivity deployment, and developing key emerging technologies such as AI and quantum computing. The resolution also calls for legislative initiatives, notably the Digital Networks Act and the Cloud and AI Development Act, aimed at strengthening European digital infrastructure and reducing reliance on dominant global providers. At the same time, it stresses the importance of maintaining the EU’s ability to enforce its digital legislation autonomously, protect users from extraterritorial risks, and ensure that public digital infrastructure is governed through fair and decentralised models. The resolution also underlines the need for regulatory simplification and talent attraction policies to support Europe’s innovation ecosystem and global competitiveness.
Response to requests and overview of actions taken, or intended to be taken, by the Commission:
Paragraph 4: The Commission welcomes the European Parliament's reaffirmation calling on the EU to remain sovereign in enforcing its laws in the digital space, including the Digital Services Act (DSA). After just two years of implementation, the DSA has already shaped the online world for the better – from protecting minors, to tackling financial scams, protecting the electoral process and ensuring safer e-commerce.
The Commission’s enforcement actions under the DSA demonstrate its determination to hold platforms to account. The recent EUR 120 million fine against X for repeated breaches of transparency and risk-mitigation obligations sends a clear signal: compliance with EU law is not optional. Very large online platforms (VLOPs) must fulfil their legal responsibilities, including when deploying new functionalities such as generative AI, to prevent the spread of illegal or manipulated content. The DSA does not regulate online content, instead it ensures that platforms mitigate systemic risks and respect users’ rights, including the right to appeal content moderation decisions. This gives greater control back to the users over their online experience.
Regarding the travel bans imposed on civil society leaders and former Commissioner Thierry Breton, the Commission firmly condemns this decision by the US authorities, which sets a dangerous precedent and undermines the EU’s institutional independence. The Commission stands by those who contribute to a safer digital environment and uphold EU digital sovereignty.
The Commission will continue to enforce the DSA rigorously, fairly, and with full transparency, as it has done since its entry into application.
Paragraph 14: The Commission will also propose a Strategy for EU Open Digital Ecosystems within the Communication on a Sovereign Technological Package to support the vibrant European communities of open-source developers and the nascent open-source industry to deliver alternatives to third countries’ proprietary solutions across the tech stack. Open Source and open technologies are a crucial contributor to the strategic framework for the EU’s digital sovereignty and competitiveness. Investing into Open Digital Ecosystems gives the EU control over its digital future by reducing dependency on external vendors while strengthening security, transparency, and innovation and helping European companies to grow. Therefore, the actions by the Commission will not only address Open Source’s political and economic importance but also set out actions to strengthen the broader EU open ecosystem of solutions and products in critical digital sectors. The Commission’s ambition is to take a holistic view of the full lifecycle, from research and development to market integration and long-term sustainability and maintenance. For public administrations a strategic framework to build Open Digital Ecosystems will be proposed with the European Commission to set the example. The key challenge now is to reach scale, ensure financial sustainability and achieve much wider market penetration.
The Commission agrees on the importance of allocating sufficient resources to deploying European Digital Public Infrastructure (DPI). A framework for digital identity and the sharing of verified data is crucial for the establishment of a robust and reliable DPI, creating a trusted and interoperable environment for digital services. The Commission is delivering on this vision through the EU Digital Identity Framework, which lays the foundation for a European DPI, and actively supports the roll-out and implementation of the EU Digital Identity Wallets, which Member States are obliged to provide by the end of 2026. The Commission has also proposed a Regulation on the European Business Wallets to extend the benefits of the EU Digital Identity Framework to economic operators and public sector bodies. The Commission will continue to work on the development of European DPI, taking into account the need to identify technologies best suited to European action and to dedicate appropriate resources to its deployment.
Paragraph 14: The Commission welcomes the calls by the European Parliament, which are in line with the Data Union Strategy. In the Strategy, the Commission has announced that future EU funding for Common European Data Spaces will prioritise sectors of public interest, such as health, mobility, energy, defence, public administrations, and the environment. The Data Spaces Support Centre, funded by the Commission, supports private- as well as public sector data spaces in achieving interoperability across different data spaces. Finally, under the Data Act, the Commission has issued a Standardisation Request for a European Trusted Data Framework, to support the exchange of data in a trusted, efficient, and secure manner, which is currently addressed by the European Standardisation Organisations and involves in particular the participation of market actors in the drafting of relevant standards.
Paragraph 25: The proposed Cybersecurity Act 2 sets a trusted ICT supply chain framework which will enable the Commission to address non-technical cybersecurity risks by imposing targeted mitigating measures, including potential restrictions, on entities established or controlled from third countries designated as third countries posing cybersecurity concerns in relation to key ICT assets of critical ICT supply chains, including in the energy sector.
Paragraph 26: The Digital Networks Act (DNA) proposal addresses the recommendations of the Draghi and Letta reports on reinforcing competitiveness and deepening the single market for electronic communications.
On competitiveness, the DNA proposal provides for the acceleration of the transition to fibre, predictable spectrum licences and pro-investment and competition friendly award procedures catered towards more innovation and competitiveness; harmonises market entry for satellite connectivity encouraging new players and business models; introduces an ecosystem cooperation mechanism to facilitate more innovation; proposes to improve legal clarity to encourage the deployment of innovative services; reduces administrative burden and reporting obligations, especially by allowing more flexibility in business-to-business relations and freeing resources for investment and innovation; and streamlines end-users protection rules.
On the single market, the DNA proposal introduces a Single Passport for general authorisation and EU satellite authorisation; provides for further harmonisation of conditions for terrestrial spectrum assignment; introduces a harmonised EU wholesale access products to foster predictability and greater harmonisation of the regulatory landscape between Member States; provides for a more consistent regulatory oversight and governance proposing a Commission scrutiny on spectrum remedies; and simplifies rules facilitating more cross-border network and services operations.
The Commission also agrees with the call to deepen the Single Market in the context of the forthcoming Multiannual Financial Framework (MFF). It recalls that its proposal for the Multiannual Financial Framework, adopted on 16 July 2025, places the deepening of the Single Market at its core.
A concrete channel for advancing this objective is reflected in the link between the MFF and the Digital Decade objectives and targets. This connection enables a stronger alignment of funding and reforms with the identified gaps and shortcomings highlighted through the Digital Decade monitoring and governance framework.
The Commission also believes that the funding under the forthcoming MFF should prioritise active capacity-building in key hardware, software and service areas, including high-performance computing, quantum technologies, encryption and communication, connectivity, cloud, data, web and AI ecosystems, and digital libraries. The proposed European Competitiveness Fund (ECF) is the EU’s central financing instrument to reinforce such technological and digital sovereignty, by supporting the full digital value chain – from semiconductors and connectivity to cloud, data and AI – while actively reducing strategic dependencies on non-European providers. It consolidates fragmented programmes into a single framework to strategically invest in critical infrastructure, emerging technologies and large-scale projects, ensuring Europe can develop, deploy and master key digital capacities from research to deployment. The proposed ECF is a flexible instrument with a varied financing toolbox, including the InvestEU Instrument which will provide repayable forms of support adapted to the investment life cycle, from early stages to scaling up. In doing so, the ECF strengthens the EU’s competitiveness and strategic autonomy by building domestic industrial and technological capabilities, while complementing regulatory initiatives through simplification, skills support as well as a more integrated innovation and deployment approach.
Paragraph 29: While the scope of the DNA as regards infrastructures and services covered is not significantly changed, it recognises the evolution of connectivity infrastructure towards cloud-based networks and introduces a cooperation mechanism for actors across the extended connectivity ecosystem. Furthermore, the DNA proposes measures that cover both terrestrial and non-terrestrial networks (including satellite connectivity).
Paragraph 30: The resolution rightly emphasises the importance of simplification and harmonisation of rules in the electronic communications sector. The DNA proposal, which has been accompanied by a thorough impact assessment, addresses this from several perspectives. First, the DNA proposal is a proposal for a regulation, ensuring direct applicability, more harmonisation across the single market with less national ‘gold-plating’. The proposal merges various legislative acts (the European Electronic Communications Code Directive (EECC), the Regulation establishing the Body of European Regulators for Electronic Communications (BEREC), the Radio Spectrum Policy Program (RSPP), the core part of the Open Internet Regulation, various articles of the e-Privacy Directive, etc.) into one single rulebook. Second, it reduces administrative burden (removing in particular outdated obligations) and cuts down reporting obligations in particular for the business-to-business (B2B) segment. Finally, the DNA proposal streamlines the consumer protection rules, without lowering the safeguards.
Paragraph 31: The Commission shares the Parliament’s ambition for the Cloud and AI Development Act concerning the need to foster the development and wider adoption of a European cloud and AI offer, thus boosting European competitiveness and strengthening the single market for cloud and AI computing services. The Commission proposal will aim to address both supply and demand side of the market in order to (a) position the EU as a leader in resource-efficient and sustainable data processing infrastructures; (b) stimulate enhanced deployment of sustainable cloud and AI computing capacity across the EU; and (c) create the conditions for the EU-based cloud and AI industry to serve the needs of its customers, including those in highly critical sectors through sovereign cloud and AI offerings. In this context, the Commission is also leading by example through the implementation of its sovereign cloud framework, with the tender for the next-generation interoperable sovereign cloud already completed, providing a concrete reference that can be considered and reused more broadly.
Paragraph 34: The Commission fully shares the Parliament’s view that the future of connectivity lies in the complementarity of diverse technologies such as 5G/6G, Wi-Fi and satellite, where seamless integration benefits both businesses and consumers. As laid down in the Digital Decade Policy Programme 2030 (DDPP), in accordance with the technology neutrality principle, all technologies and transmission systems able to contribute to the achievement of the gigabit connectivity, including the current and upcoming advancements of fibre, satellite, 5G or any other future ecosystem and next generation Wi-Fi should be treated equally, where they have equivalent network performance.
Paragraph 38: The Commission fully shares the Parliament’s conviction that ubiquitous coverage with high quality, reliable and secure connectivity is indispensable for both private and business end users in the EU, a precondition for reliable and resilient public services, a fundamental enabler for competitiveness and for preparedness.
an overall total of EUR 23.5 billion in grants has been made available in EU shared management programmes for the 2021-2027 period to support connectivity, most of which under the European Regional Development Fund. In addition, the Recovery and Resilience Facility (RRF) dedicates around EUR 16,8 billion to connectivity, including Very High-Capacity Networks (VHCN) and 5G roll-out in remote areas.
In addition, the Connecting Europe Facility (CEF) Digital supports connectivity projects with high EU added value – either highly innovative projects or projects with strong cross border impact – with a budget of EUR 1.8 billion. Those include backbone projects which strengthen the continent’s connectivity to outermost regions (improving for example connectivity on islands or remote territories) and 5G connectivity projects linked to transformative use cases, such as remote surgery, virtual reality for education, and drone-based monitoring, thereby modernizing critical sectors like healthcare, education, transport and agriculture, and stimulating demand. CEF projects are selected on a competitive basis and often integrate security enhancing equipment and features, for example smart technologies on submarine cables or highly secure 5G standalone networks integrated with cloud and edge capabilities.
Paragraph 46: The DNA proposal takes fully on board the Parliament’s call on the Commission and Member States for:
i) a radio spectrum policy that promotes investment in Europe including harmonisation of spectrum assignment policies across the Member States to accelerate 5G deployment. Article 31 of the DNA proposal introduces a mandatory spectrum single market procedure at EU level to increase consistency in spectrum authorisations. The measures aimed at harmonising authorisation conditions should facilitate the cross-border provision of services and economies of scale;
ii) enhanced coordination of spectrum allocations, in particular through earlier identification and harmonisation of the release of new frequencies. Article 17 of the DNA proposal establishes a competence for the Commission to lay out a spectrum strategy and operational roadmaps providing transparency and predictability on the availability of spectrum. Article 18 of the DNA proposal reduces the deadline for authorising a frequency band to 24 months from the adoption of a spectrum harmonisation measure; and
iii) the promotion of longer license durations – according to Article 24 of the DNA proposal, the rights of use for radio spectrum shall be in principle granted for an unlimited duration, under strong competition caveats. Moreover, in line with Article 25 of the DNA proposal, any right of use of harmonised radio spectrum subject to limited duration shall be, in principle, renewed for a similar duration and with similar conditions upon request by its holder, while preserving the possibility to launch a new tender procedure under conditions.
The call for access to new spectrum such as the upper 6 GHz band in order to meet future demand and enable 6G has been addressed in November 2025 by the Radio Spectrum Policy Group (RSPG), a high-level advisory group assisting the Commission in the development of radio spectrum policy, by recommending the allocation of the upper part of the upper 6 GHz band (6585-7125 MHz or 540 MHz in total) for prioritised use by 5G and future 6G mobile networks in the EU.
Paragraphs 48-52: The Commission concurs with the Parliament’s assessment regarding the importance of satellite-based communications in developing EU digital infrastructure as well as the strategic role of the EU space programme, notably as one of the pillars of EU sovereignty.
The Commission considers that its proposal on the European Competitiveness Fund addresses the challenges raised by the Parliament in its resolution. The Commission proposed to continue and reinforce existing systems, notably with the provision of new services to tackle new needs. The proposal also provides the first building blocks for the development of an autonomous catalogue for the tracking and surveillance of space objects, notably with the inclusion of Union space-based assets and the provision of a Space Situational and Tracking governmental service. Finally, the Commission included a new component dedicated to access to space with specific measures to support this sector of activity.
In addition, the Commission launched technical work to ensure the integration of 5G within the Secure Connectivity Programme.
Paragraph 53: To remain competitive and safeguard its strategic autonomy, the Union must secure reliable, energy-efficient and sovereign access to high‑end compute for all stages of the AI lifecycle from pre‑training and fine‑tuning to testing, inference and deployment.
In this context, the EU has launched the AI Factories initiative, building on the world-class EuroHPC supercomputing network. AI Factories are dynamic innovation ecosystems that bring together AI‑optimised supercomputers, large‑scale and high‑quality data resources, advanced software tools, training and programming facilities, and highly skilled human capital. They are designed not only to develop state‑of‑the‑art AI models and applications, but also to make Europe’s high‑performance computing (HPC) capabilities accessible to industry, small and medium-sized enterprises (SMEs), the public sector and academia.
To date, 19 AI Factories and 13 AI Factory Antennae are being deployed across Member States, EuroHPC Participating States and associated countries. Together, they will underpin the roll‑out of a large pan‑European infrastructure and service layer, including 15 new AI‑optimised supercomputers and one major upgrade, which is expected to increase Europe’s dedicated AI computing capacity fivefold. Overall, AI Factories and AI Factory Antennas have already mobilised approximately EUR 2.6 billion in investment for European AI excellence, helping to anchor a sovereign, world‑class AI and HPC ecosystem in Europe and substantially expanding the availability of competitive AI compute in Europe.
But the EU does not stop there. AI is rapidly evolving, and Europe needs to push the boundaries towards frontier models, multimodal systems, and AI at massive scale. That is why the Commission is now bringing in the AI Gigafactories – a new generation of infrastructure that will combine massive computing power (up to four times more powerful than the top current AI Factory) with energy-efficient data centres and AI-driven automation for seamless development and deployment. The EU plans to deploy several AI Gigafactories in the coming years across the Union.
By establishing AI Factories and AI Gigafactories, the Union will pave the way for a truly sovereign AI, enabling the development of advanced models trained on European data, governed by European rules; an AI that is built within a trusted, secure, and ethical framework reflecting the EU’s values and that safeguards Europe’s future.
Paragraphs 60-63:
The U.S. Framework for Artificial Intelligence Diffusion that was published by the Bureau of Industry and Security in January 2025 under the Biden Administration was rescinded on 13 May 2025. Whereas the (first) Chips Act aimed to address dependencies on other parts of the world and led to considerable investments in the EU on mostly the production of mainstream chips, the EU continues to face structural vulnerabilities across the semiconductor value chain. These vulnerabilities stem from dependence on a limited number of third-country suppliers, in particular for the manufacturing and design of AI chips. Such dependencies can only be resolved through unprecedented investments in leading edge semiconductors. The upcoming revision of the Chips Act aims to serve as a conduit for effective investments, including in the design and manufacturing of AI chips, by both the Union and Member States. Strong research and development (R&D) is also needed and therefore activities under the Chips for Europe Initiative will continue and be expanded. The Initiative will support first innovation procurement actions in 2026. Strategic projects in semiconductor design and manufacturing are expected to become central instruments in the next MFF. Current activities on quantum chips, including six pilots and a public investment by Member States and the Union of around EUR 400 million, are expected to continue under the next MFF.
The revision of the Chips Act is expected to encompass measures to stimulate investments in leading edge and mainstream semiconductor production capacity in the Union. The development of energy-efficient chips will build on R&D, for instance FD-SOI technologies, the FAMES pilot line, and actions in power electronics in 2026. Under Chips JU, the GENESIS project has launched with the goal of promoting greener semiconductor manufacturing, including measures to improve energy efficiency of various processes.
The revision of the Chips Act (“Chips Act 2.0”) will be part of a Technology Sovereignty package and is expected in 2026.
Paragraph 67: The Commission agrees on the importance of a common definition for sovereign cloud and AI services, including in relation to the issue of extraterritorial application of foreign laws. The Cloud and AI Development Act will expand on the topic and move toward a practical solution. The Commission remains committed to finalising the European Cybersecurity Certification Scheme for Cloud Services, a single market instrument essential for both providers and users of cloud services.
Paragraph 68: The Commission welcomes Parliament’s acknowledgement of the importance of interoperability between cloud providers for the achievement of technological sovereignty and a competitive European cloud offer. The Data Act imposes strong interoperability obligations on cloud providers to eliminate technical and commercial barriers to switching between providers but also to allow for an enhanced in-parallel use of cloud services (multi-cloud). The Commission remains committed to a diligent enforcement of the legislation and also actively supports the emergence of new interoperability standards and open specifications to equip the market with the tools necessary to benefit from the rights and obligations stemming from the Data Act.
Paragraph 69: The Commission appreciates the Parliament’s recognition of the role that Important Project of Common European Interest on Next Generation Cloud Infrastructure and Services (IPCEI-CIS) (8ra) should play in the EU digital ecosystem. IPCEI-CIS is developing an interoperable and openly accessible European data processing ecosystem, based on a multi-provider cloud to edge continuum. The Cloud Infrastructure and Services Exploitation Resources Office (CISERO) support action promotes the outcomes of this Important Project of Common European Interest (IPCEI) beyond the initiative’s boundaries and participating Member States. The initiative drives European innovation in the area of cloud and AI computing, helping to make available sovereign and secure services in the EU market.
Paragraph 71: The Commission appreciates the Parliament’s recognition of the importance of developing European AI and adopting policies and measures that will enable European industrial sectors. The European Union is committed and determined to become a global leader in Artificial Intelligence, a leading AI continent. In this context, the European Commission adopted on 9 April 2025 an AI Continent Action Plan outlining a set of bold actions to shape the future of AI in a way that enhances the EU’s competitiveness, that safeguards and advances European democratic values and that protects Europe’s cultural diversity. This includes investing in large-scale AI computing infrastructures, improving access to data, accelerating AI adoption in strategic EU sectors, strengthening AI skills and talent, and fostering regulatory compliance and simplification. As regards more specifically the adoption and deployment of AI in sectors, in October 2025 the EU launched the Apply AI Strategy to enhance connections between AI suppliers and adopters, promoting a pan-European approach through public procurement, and the EU is investing EUR 1 billion in AI to ensure Europe’s technological sovereignty and reduce reliance on third countries. The Commission is working full speed on the concrete implementation of the Apply AI strategy. It monitors the 70 policy actions announced in the strategy to support AI adoption and integration: 28 sectoral flagship actions, 10 flagship actions relating to cross-sectoral challenges and 32 other relevant supporting actions. These actions are the results of 17 sectoral structured dialogues and discussions between relevant stakeholders. They constitute initial measures that will promote positive spillover effects; they will be complemented in the future by further sectoral initiatives following the organisation of sectoral workshops. To ensure a continuous implementation a sustained dialogue will be fostered throughout the Apply AI Alliance: a coordination forum for AI stakeholders and policy makers, to advance the discussion on AI policy in strategic EU sectors.
Paragraph 75: The Commission welcomes Parliament’s support for the Quantum Europe Strategy and for further work towards a Quantum Act. In this context, the Commission will examine how to promote coherent framework conditions for quantum technologies across the Union, including by taking stock of relevant national approaches for experimentation, testing and deployment, with a view to reducing fragmentation and supporting cross-border scale-up. This work builds on existing EU action to structure the European quantum ecosystem, notably through EuroHPC-based quantum infrastructures, the European Quantum Communication Infrastructure (EuroQCI), the development of a Europe-wide network of open-access quantum testbeds, the expansion of quantum competence clusters, and work on European quantum standards.
Paragraph 76: The Commission shares Parliament’s objective of reinforcing Europe’s leadership in quantum excellence and innovation and of ensuring that European research results are translated into industrial uptake and commercial value in Europe. The Commission is already supporting the quantum ecosystem across the full value chain, including through the Quantum Flagship, EuroHPC deployment of quantum computers and their hybridisation with supercomputing infrastructures, EuroQCI, QuantERA (European network of public organisations funding quantum-related research and innovation projects), and the European Innovation Council. Building on the Quantum Europe Strategy, further action will support the scale-up of the ecosystem through open-access testbeds, quantum competence clusters, quantum pilot lines and a quantum design facility under the Chips Joint Undertaking, as well as targeted roadmap and challenge-based actions in areas such as fault-tolerant quantum computing, quantum communications and quantum sensing.
Paragraph 78: The Commission fully agrees with the Parliament and has implemented and continues to implement actions for a coordinated EU strategy for Post-Quantum Cryptography (PQC). Following the Commission Recommendation from April 2024 on a Coordinated Implementation Roadmap for the transition to PQC, the NIS (Network and Information Security) Cooperation Group issued such a Roadmap in June 2025, with agreed timelines among the Member States for the migration of high-risk, medium-risk and low-risk use cases, and a strong hook to several EU policies, notably the NIS 2 Directive and Cyber Resilience Act. Currently, the NIS Cooperation Group is developing a second, refined version, addressing sectorial challenges and intermediate milestones for pilot testing of cross-border critical services. The roadmap highlights the need to take action as soon as possible. The recently proposed Directive amending the NIS 2 Directive as regards simplification measures and alignment with the Cybersecurity Act 2 proposal requires Member States to adopt policies for the migration to PQC as part of their national cybersecurity strategy, in alignment with the EU PQC Roadmap. Coordination at EU level is needed for cross-border services and because fragmented transition timelines risk undermining strategic autonomy, as essential infrastructures could become dependent on cryptographic systems shaped by such actors.
Challenges for the transition to PQC can hinder EU digital sovereignty and autonomy which cannot be achieved without cryptographic security since cryptographic security forms the fundamental pillar for the security and resilience of all communication networks and digital applications. Such challenges are well summarized in three main pillars: nurturing competence, control and capacity. Robust research and investment (R&I), transparent standardisation processes, the deployment of hybrid schemes which combine PQC with current public-key cryptography, and a robust industrial policy with dedicated funding for start-ups and public-private partnerships are needed. Main efforts are to be done to diversify the portfolio of PQC algorithms for basic cryptographic tasks, providing the EU with fully sovereign solutions that could be standardised without relying on the sole National Institute of Standards and Technology (NIST) standardised choices, to advance in the development of advanced privacy-enhancing schemes for EU critical assets, such as the Wallet(s), AI-pipelines, cloud-based applications, age verification protocols, and others, and to address the supply chain security (hardware and software upgrades, and trusted chips). The Commission will therefore strengthen its actions to ensure a robust transition to PQC as strong cryptographic security is essential for protection critical infrastructure and society as a whole.
Paragraph 79: The Commission welcomes the European Parliament’s view of the importance of data ecosystems for sharing industrial data to foster innovation and collaboration in line with sovereignty and compliance requirements, as set out in the EU Data Union Strategy. The Commission has launched the roll-out of common European data spaces in strategic sectors to harness the value of data for the benefit of the European economy and society, in particular for the training of AI, in line with European rules and values. It intends to further scale up common European data spaces and create new data spaces.
Paragraph 81: The Commission agrees that the enforcement of the Data Act is essential to open data for innovation, create a level playing field, and to strengthen users’ rights. In addition, it is essential to eliminate all obstacles to cloud switching and to promote a competitive and open cloud market. The Commission provides concrete guidance to support stakeholders in applying the regulation and is committed to proper implementation and enforcement by the Member States.
Paragraph 82: The Commission is committed to upholding its climate and sustainability pledges. This is at the core of the enforcement of the Energy Efficiency Directive, notably through the upcoming Data Centre Energy Efficiency package, establishing a rating scheme for the energy efficiency of data Centres. It will also be reflected in the Cloud and AI Development Act, which will propose conditions for supporting/ prioritising sustainable data centre projects from the early stages of their development. The Act will also aim at stimulating research and innovation in energy-efficient technologies, and it will include ambitious sustainability targets for new deployment of computing infrastructures to ensure the growth of the European data centre capacity is sustainable from the beginning and remains such throughout all the development stages, thus aligning our technology and competitiveness objectives with our environmental responsibilities.
Paragraph 83: The Commission agrees that public and private investments are essential prerequisites for the development of modern European cloud and AI computing infrastructure. This is highlighted by Professor Draghi in his report. To address this, the Cloud and AI Development Act will improve the conditions for investment in data centres, notably by streamlining permitting procedures across the Union to ensure that investors and operators of sustainable data centre projects able to implement projects on time.
Paragraph 83: The Commission fully agrees with the European Parliament and is addressing its call under the 2025 EU Action Plan on Cable Security, which covers both submarine data and electricity cables, including measures on security, repair, and investment. As a major deliverable under Action Plan, the Commission published in October 2025 an EU risk assessment on submarine cable infrastructures. In February 2026, the Commission followed up with a Cable Security Toolbox of mitigating measures, in response to the results of the EU risk assessment, and a list of priority areas for Cable Projects of European Interest (CPEIs), to be prioritised for future public support, under the Connecting Europe Facility (CEF) and other programmes. All these deliverables were agreed together with Member States.
Furthermore, it should be noted that a significant part of the investments to date made under the Connecting Europe Facility Digital programme (CEF Digital) have strengthened already the security and resilience of EU’s submarine cables. Currently, the programme is financing over EUR 600 million to support more than 70 projects related to critical backbone infrastructures. Moreover, in line with the prevention and detection objectives of the EU Action Plan on Cable Security, most of the CEF Digital funded projects integrate smart technologies that act as early warning systems of potential threats. The CEF Digital Work Programme has been just amended to channel European funding to strategic submarine cable initiatives. Worth a total EUR 347 million, the calls will support the Cable Projects of European Interest as well as reinforce the EU’s cable repair capacity and the equipment of submarine cables with smart capabilities.
For repair capabilities of energy cables, the Commission will follow up on the announced EU Cable Vessels Reserve Fleet, starting with a pilot regional framework in the Baltic Sea, in collaboration with Member States, cable owners, and producers. Preliminary discussions took place at ministerial level under the Baltic Energy Market Interconnection Plan (BEMIP) High-Level Group in May last year, and DG ENER will continue this work under the implementation of the new BEMIP Memorandum of Understanding, which includes a stronger focus on security.
Paragraphs 85 and 88: The Commission agrees with the European Parliament on the importance of repair capabilities, which are explicitly mentioned as priority areas in the 2026 CPEI list, to be prioritised for future public support, under the CEF and other programmes.
The amended CEF Digital work programme has allocated EUR 60 million for funding EU based repair equipment. A new call for proposals with a budget of EUR 20 million was launched on 5 February 2026, with the aim to fund adaptable modules for the repair of submarine cables. These modules will be hosted in ports or shipyards and will be available to re-establish service of submarine cables. While intervention is planned for all the main sea basins of the European Union, notably the Baltic, the Mediterranean and the Atlantic, this first pilot call will focus on the Baltic Sea only.
Calls for proposals will be restricted to public entities with an ‘emergency response’ mandate, such as entities active in the civil protection, national emergency response agencies, coastguards and military navies.
This CEF Digital is complementary with the call for the establishment of the Regional Cable Hubs under the Digital Europe Programme (DEP), aimed to create Cable Integrated Surveillance Mechanisms per sea basin to enhance the detection capacity against threats to undersea cables.
As regards IPCEIs, the Commission would like to recall that these are primarily an instrument to govern State aid, i.e. following initiatives by Member States. The Commission would however welcome co-funding of submarine cable projects by Member States (via IPCEIs where appropriate, or other instruments), as already stipulated in its Recommendation (EU) 2024/779 on Secure and Resilient Submarine Cable Infrastructures.
Paragraph 87: The Commission fully agrees with the European Parliament to promote R&I to enable advanced technological innovations in cable security. The Commission is for instance providing EUR 2 million for a coordinated support action under Horizon Europe to prepare the advancement of the state of the art of submarine cable infrastructures.
The CEF Digital programme has always incentivised deploying the latest sensing technologies with the deployment of new submarine cables. The recently amended CEF Digital work programme now allocates also EUR 20 million for retrofitting or upgrading existing cables with smart technologies. A dedicated call is foreseen for launching in the first part of the year.
Paragraphs 93-95:
The Commission welcomes the call to ensure that any new Union-level regulatory initiative delivers a tangible net reduction in costs and administrative burdens for businesses and recognise the need to remove barriers to market entry in order to enable European companies to scale and grow across the Single Market.
The European Business Wallets play a key role in achieving this objective, as they will extend the benefits of the EU Digital Identity Framework to businesses by providing a tailored solution, enabling them to interact seamlessly with public sector bodies and other businesses across the EU. By providing a secure and trusted digital environment for businesses, the Business Wallets will facilitate cross-border transactions, reduce administrative burdens, and increase efficiency. This initiative is a major step forward in the EU's single market strategy and will have a significant impact on the competitiveness of European businesses.
By streamlining administrative procedures and reducing bureaucratic burdens, the Business Wallets will help to unlock the full potential of other initiatives, such as the 28th regime, making it easier for companies to establish and operate across borders. This will be a major boost to the EU's single market strategy, and will help to drive economic growth, innovation, and competitiveness across the EU.
In this context, it is important to underline that even where legal requirements are harmonised or simplified at Union level, fragmented and duplicative national administrative procedures may continue to generate significant compliance costs.
The accelerated and comprehensive implementation of the Single Digital Gateway and the Once-Only Technical System constitute a structural response to this challenge. By enabling interoperable, cross-border exchange of evidence between competent authorities and reducing repetitive documentary submissions, the SDG framework lowers transaction costs, enhances legal certainty and supports digital-by-default administrative processes.
The Interoperable Europe Act paves the way for the deployment of seamless interoperable Trans-European Digital Public Services, ensuring that citizens and businesses can access digital services efficiently across different countries within the Union, favouring the effective completion of the Digital Single Market.
Strengthening this infrastructure therefore directly contributes to ensuring that any future Union initiative in the same policy area delivers a genuine net burden reduction. It helps to ensure that legal simplification is matched by administrative operability, thereby removing practical obstacles to market entry and supporting the scaling-up of European businesses across Member States.
The Commission will continue to be guided by the principle of simplification in the upcoming delivery of the commitments under the Single Market Strategy. The upcoming revision of the Internal Market Information System will aim to maximize the potential of the digital tool as a simplification enabler of administrative cooperation as well as to facilitate the user journey by allowing interoperability with existing digital tools and systems. In addition, the Commission policy on eInvoicing is shaped to reduce burden reduction, by the making electronic invoicing for all companies an enabler for automation, as the remarkable case of automated value-added tax (VAT) reporting processed directly from the eInvoice. In the context of the adoption of the legislative proposal for the revision of the Directive on electronic invoicing, planned for the end of 2026, the Commission will explore other venues of automation based on eInvoicing and the European eInvoicing standard, such as sustainability reporting, customs processes, and different statistical obligations.
Paragraphs 96 and 97: The Commission welcomes the strategic importance that the resolution gives to the ongoing regulatory simplification efforts that the Commission is carrying out. The Commission stresses its full commitment to support European industry by delivering better, simpler rules. The Commission’s 2025 Overview Report on Simplification, Implementation and Enforcement highlights this shift in regulatory culture.
The Commission is committed to an ambitious simplification agenda for the digital rulebook, not least through its support to the co-legislators for the swift adoption of the Digital Omnibus and the Digital Omnibus on AI, which promise a EUR 5 billion reduction in administrative costs for European businesses, as well as the European Business Wallets proposal, part of the Digital Package on Simplification presented on 19 November 2025.
The Commission will further pursue its efforts through an ongoing Digital Fitness Check, addressing the cumulative impact of the digital acquis, to ensure that Europe remains innovation-driven and a place where companies of all sizes can scale and grow.
Paragraph 99: In line with the European Parliament’s resolution, the Commission presented a proposal for the 28th regime corporate legal framework – EU Inc – on 18 March 2026. It is one of the key initiatives to reduce regulatory fragmentation across the EU, reduce costs for companies and provide an attractive business environment encouraging companies to set up and scale up in the EU.
The proposal puts a strong focus on digitalisation by providing digital-by-default corporate procedures throughout the company lifecycle and applying the “once-only principle” so that corporate information is shared directly between national authorities rather than requested repeatedly from companies. It also relies on digital infrastructures by providing for a multilingual EU central interface for the registration of EU Inc. companies and for submitting corporate information by such companies, which will build on the Business Registers Interconnection System (BRIS) and will be developed towards a central digital register to further simplify and streamline the digital registration and filing, and provide optional guided forms and models for EU Inc. companies.
The proposal also builds on the existing and future EU digital solutions and tools, including the unique EU company identifier (EUID), the EU Digital Identity Wallets and trust services such as electronic signatures, and ensures compatibility with the European Business Wallets.
Together with the legislative proposal, the Commission has also presented a communication “Towards a 28th regime for EU companies”, which highlights that the European Business Wallets will enable EU companies to interact digitally with public authorities and economic operators across the EU, allowing, for example, the effortless submission of tax returns, application for permits, and exchange of contracts, with full legal validity.
The communication also explains that the Single Digital Gateway Regulation requires Member States to provide online access to information and procedures for EU businesses, and that the Once-Only-Technical System (OOTS) enables the automated and secure exchange of evidence and documents between Member States. In the Communication, the Commission has also called on Member States to prioritise the onboarding of procedures and evidence that are critical for key stages of the business lifecycle and generate significant cross-border interaction, and to identify such priorities by 30 September 2026. The Commission will continue to support Member States in their endeavour to finalise the implementation of the OOTS.
Paragraph 100: The existing Single Digital Gateway, with its front-end Your Europe, over 60 000 associated national government websites, and over 600 million visitors since its start in 2020, is already providing information about and access to funding as well as various assistance services and points of contact, which makes it an obvious candidate to help simplify the mentioned processes. The Commission continues to support the expansion of Your Europe, as a single-entry point to information and procedures, in accordance with EU Single Market legislation recently adopted, therefore ensuring access to online information on these new areas while avoiding the creation of additional portals or IT solutions and supporting the objective of reducing fragmentation.
To display budgetary information, including about funding opportunities, the Commission put forward for the next MFF, in its Performance Regulation proposal (COM(2025) 545 final), the establishment of a Single Gateway, as a unified, transparent, and user-friendly platform. The platform will display information on ongoing and upcoming calls for proposals and calls for tenders financed by the budget, and on advisory and business support services funded by the budget, while also providing a platform for promoters to present operations to potential investors. It will centralise and streamline access to information and services related to the EU budget through a single-entry point. The Single Gateway, as far as possible, will build on existing tools, in line with the European Commission’s Digital Strategy. It should be user-friendly and designed to adapt to the needs of the different users, where possibly integrated with the Single Digital Gateway.
Paragraph 101: The Commission agrees with the Parliament that data centres will put additional pressure on electricity grids. Data centres currently account for around 2-3% of EU electricity consumption, and their demand is expected to raise substantially from approximately 12 Gigawatt in 2025 to around 28 Gigawatt by 2030. Integrating data centres into the energy system requires the provision of grid connections, which are supported through the European Grids Package. It also calls for coordinated grids planning and operation, and a sustainable supply of energy. Network operators need timely information on data centre developments to plan grid investments and manage connections efficiently. Data centres can support system stability by providing flexibility services, as targeted incentives can align data centre demand with new clean energy supply. Public authorities also require robust data to support planning and permitting and to maximise waste-heat reuse, which is an area where data centres offer significant potential and where proven examples should be replicated. EU-wide coordination is needed to speed up the sustainable integration of data centres in the energy system. The Commission has already launched a structured dialogue with industrial stakeholders and Member States. Through the Strategic Roadmap for Digitalisation and AI in energy, which will be published in 2026, the Commission will develop a replicable model for voluntary agreements between public authorities, data centre operators and energy actors to support grid integration, clean energy supply, flexibility and energy performance. The model could then be subsequently adapted and piloted in Member States and regions
Paragraph 102: The Commission agrees with the Parliament that the energy consumption of data centres and their energy access requirements are one of the key considerations in incentivizing an enhanced deployment of data centres to meet the future demand for computing capacity across the Union. In this context, the Cloud and AI Development Act will pursue a high standard of environmental performance and energy-efficiency of all data centres deployed through the measures to be put forward in the Act. Member States benefit from the most direct insight into the local requirements for data centre deployment and as such are best placed to drive these efforts. Furthermore, the Data Centre Energy Efficiency Package, which will be adopted in 2026, will introduce an EU rating scheme for data centres covering energy efficiency, water efficiency, renewable energy use, waste heat reuse and flexibility.
Paragraph 104: The Commission agrees with the Parliament on the importance of building sustainable digital infrastructure relying on clean energy and technologies. The Cloud and AI Development Act, particularly with its research and development measures, aims to optimise the operation of data centres and develop energy-efficient technologies as well as new innovative means of energy generation. The Commission has launched a structured European dialogue between public authorities, data centre developers and operators, grid operators and clean energy generators. The upcoming Strategic Roadmap for Digitalisation and AI in the energy sector will develop a common EU template for local agreements setting out voluntary commitments by the relevant parties to facilitate the sustainable integration of data centres in the energy system.
Regarding the sustainability of telecommunications networks, the Commission published an EU Code of Conduct in January, setting best practices in terms, for instance, of energy efficiency and lifecycle management. The DNA proposal, currently under interinstitutional negotiations, refers to this Code of Conduct. The European Green Digital Coalition has demonstrated that digital infrastructure can deliver net climate benefits when energy and material efficiency and rebound effects are addressed at system level. In this context, targeted funding under the current and future MFF, is essential to ensure that the scale-up of digital infrastructure is underpinned by reliable access to clean energy, net-zero technologies and circular solutions, thereby strengthening European technological sovereignty and resilience.
Paragraph 108: The Commission monitors the application of digital rights and principles across the Union. This monitoring aims to assess the extent to which the Union and the Member States remain on track in implementing the agreed objectives and to identify progress and gaps. By highlighting best practices at Member State level, it seeks to support evidence-based policymaking and to encourage further action across the Union. The Declaration also serves as a reference framework for the Union’s external action. The Commission is reporting regularly on progress in promoting and implementing the Declaration, as illustrated with the 2025 State of the Digital Decade report adopted on 16 June 2025.
Paragraph 111: The Commission agrees that it is of utmost importance to bridge the gap between research and commercialisation. The goal of the EU valorisation policy as established by the EU Guiding Principles for Knowledge Valorisation is to increase the societal value and impact of research and innovation investments. To accelerate the use of results and create more economic and societal value, the FP10 (tenth framework programme) proposal fully integrates valorisation as an objective. In addition, research and technology infrastructures capacities, including digital infrastructures, are instrumental to EU competitiveness and play a role for bridging research and innovation. The recent European Strategy on Research and Technology Infrastructures emphasises the need for joint work between the Commission, Member States and stakeholders to increase and strengthen the EU capacities.
Paragraph 115: All European funding instruments and the different legislative acts addressing digital and digital infrastructure technologies and investments aim at optimising the use of public support tools, including at national, regional and local level, and incentivising and leveraging private investments.
The Commission agrees that strengthening private investment in RDI is essential to close Europe’s innovation gap, notably given the EU’s comparatively lower business R&D intensity. Leveraging private funding through public–private partnerships and other instruments remains a priority, particularly in critical technologies where scale-up gaps persist. This objective is supported by initiatives such as the European Innovation Council, the Startup and Scale-up Strategy, the forthcoming European Innovation Act, and the Savings and Investments Union, which aim to deepen capital markets, reduce fragmentation and improve market uptake conditions across the Single Market.
Paragraphs 119, 120 and 121: The Commission agrees with the Parliament on the importance of expanding the network of digital trade agreements (DTAs) to continue building consumer trust, ensuring predictability and legal certainty for businesses, and removing and preventing the emergence of unjustified barriers to digital trade. The Commission’s approach to DTAs creates the conditions to pursue sovereignty goals with likeminded partners, emphasising modern, open, and rules-based trade relations. In that regard, the Commission launched negotiations for a DTA with Canada on 5 March 2026 and will explore possibilities for launching DTA negotiations with other trading partners. Similarly, the Commission agrees with the Parliament on the importance of continued cooperation in multilateral fora with like-minded countries, including within the G7, the OECD and the WTO. Lastly, the Commission is fully committed to finding an open-ended solution to the WTO moratorium with a view to preserving an open and predictable trading environment while taking into account the development dimension and the interests of all WTO members.