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What is Nvidia CEO Jensen Huang's push for 'sovereign AI' that has struck a chord with European leaders?

What is Nvidia CEO Jensen Huang's push for 'sovereign AI' that has struck a chord with European leaders?

Time of India6 hours ago

On Monday, NVIDIA stock (NVDA) rallied nearly 2.6 percent, rebounding strongly from the previous close amid Israel-Iran tensions. The chipmaker continues to trade near its recent highs, riding on the backs of momentum in artificial intelligence and the recent buzz around '
Sovereign AI
.'
Nvidia CEO Jensen Huang
's push for 'sovereign AI' has struck a cord with leaders of
European leaders
as they are also pushing for the development of their own
AI infrastructure
, reports news agency Reuters.
What is Jensen Huang's idea of Sovereign AI?
The concept of sovereign AI is based on the idea that the language, knowledge, history and culture of each region are different, and every nation needs to develop and own its AI, the report said. Jensen Huang has been advocating for the concept of 'sovereign AI' since 2023. Now, Europe is beginning to take notice and respond. NVIDIA is looking to fill this gap in Europe by promising enhanced transparency and complete compliance with its data protection laws.
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European leaders enthusiastically embraced his vision of 'sovereign AI' — where each country must build its own AI infrastructure. It is pertinent to note that Sovereign AI refers to a nation's capabilities to produce artificial intelligence using its own infrastructure, data, workforce and business networks, according to Nvidia blog.
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Sovereign AI encompasses both physical and data infrastructures. The latter includes sovereign foundation models, such as large language models, developed by local teams and trained on local datasets to promote inclusiveness with specific dialects, cultures and practices, it said.
Jensen Huang toured Europe's major capitals- London, Paris and Berlin last week and announced a slew of projects and partnerships, while highlighting the lack of AI infrastructure in the region. Developing Sovereign AI requires multifaceted, coordinated and sustainable efforts across several key areas.
In a place where leaders are increasingly wary of the continent's dependency on a handful of US tech companies and after drawing ire from President Donald Trump, his vision has started to gain traction. "We are going to invest billions in here ... but Europe needs to move into AI quickly," Huang said on Wednesday in Paris.
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'Every industrial revolution begins with infrastructure. AI is the essential infrastructure of our time, just as electricity and the internet once were,' said Huang, calling on Europe to exercise 'bold leadership' in shaping innovation and prosperity for future generations.
This comes as European nations have openly shared their concerns regarding how current AI models are using data.
How European Union has responded to AI infrastructure?
Nvidia CEO Jensen Huang's push for 'sovereign AI' comes at a time when EU has recognised this idea as imperative. In France, Mistral has partnered with Nvidia to build a data centre to power the AI needs of European companies with a homegrown alternative, according to Reuters. It will use 18,000 of the latest Nvidia
AI chips
in the first phase, with plans to expand across multiple sites in 2026.
In February, the European Union announced plans to build four "
AI gigafactories
" at a cost of $20 billion to lower dependence on US firms. The European Commission has been in touch with Huang and he had told the EU executive that he was going to allocate some chip production to Europe for these factories, an EU official told Reuters.
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In Europe, the drive for sovereign AI is poised to transform the tech landscape, benefiting local cloud providers, AI startups, and chipmakers as governments invest in regional data infrastructure. At the same time, Nvidia aims to secure continued demand for its AI chips—positioning itself as an essential player, even as nations pursue technological self-sufficiency.
What has been EU's response?
On Monday of last week, British Prime Minister Keir Starmer announced 1 billion pounds ($1.35 billion) in funding to scale up computing power in a global race "to be an AI maker and not an AI taker." French President Emmanuel Macron called building AI infrastructure "our fight for sovereignty" at VivaTech, one of the largest global tech conferences. After Nvidia laid out plans to build an AI cloud platform in Germany with Deutsche Telekom (DTEGn.DE), opens new tab, German Chancellor Friedrich Merz called for the digital sovereignty and economic future of Europe's top economy.

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