Source: The Next Web
European policymakers are confronting a structural problem that regulation alone won't solve: American companies have already captured the AI infrastructure layer through superior capital, talent, and ecosystems, making GDPR-style compliance frameworks feel like rearguard actions. The convergence of VivaTech and G7 discussions reveals Europe's real fear isn't AI itself but technological dependency—it can set rules that don't apply to American foundational models, but it can't easily build competitive alternatives without the venture capital density and university-industry pipelines the US possesses. European governments are moving toward industrial policy rather than further regulation, directing funding to domestic AI champions and supply-chain localization efforts.