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European Commission Official Sees $100 bln In Private Chip Investment By 2030

The European Chips Act is on track to help attract more than 100 billion euros ($108.41 billion) worth of private investment to the European semiconductor industry by 2030, a European Commission official said on Wednesday.

Thomas Skordas was speaking at a conference in Antwerp about the future of the initiative, which is Europe’s answer to similar programmes in the United States and Japan and to China’s support for its domestic computer chip makers.

The European Chips Act has led to “promises for investments of the order of 100 billion euros to expand the manufacturing capacity within the EU by 2030”, Skordas said.

The European Union Chips Act, billed as offering funding of 43 billion euros, relies heavily on individual governments with the Commission so far approving very little actual funding.

However, firms including Intel INTC.O and TSMC 2330.TW have announced plans to build plants in Germany at a cost of more than 30 billion euros this year.

Skordas, an official at the Commission’s digital unit, said the commission expects to finalise funding for R&D pilot lines in four sub-sectors of the chip industry by September, including a 2.5 billion euro grant for developing extremely advanced chips in Europe.

Skordas said unspecified funding for another pilot line to develop photonics, or chips that use light instead of electricity, is still in the works.

The Commission is also arranging funding for a European design platform to give companies, academics and startups access to the software tools needed to design their own chips. Most advanced chipmakers design chips but leave the manufacturing to specialists such as TSMC, Samsung 005930.KS or Intel.

“In July, we expect to open the call for the consortium that will be responsible for designing and developing this platform at the European level,” Skordas said.

Attacks On Data Centers In UAE And Bahrain Highlight Digital Infrastructure Risks

Recent drone attacks linked to Iran have struck data center facilities in the United Arab Emirates and Bahrain, raising concerns about the vulnerability of digital infrastructure in conflict zones. Facilities operating within the cloud network of Amazon Web Services were among the targets. These incidents highlight how modern conflicts increasingly extend beyond traditional military assets to include critical digital infrastructure.

Critical Infrastructure In The Crosshairs

Iranian drones struck two data centers in the United Arab Emirates on Sunday. A separate strike in Bahrain also affected infrastructure connected to regional cloud operations. The attacks occurred amid escalating tensions following U.S. and Israeli strikes on Iranian targets. Analysts say the incidents demonstrate how data centers are becoming strategic assets in geopolitical conflicts. Patrick J. Murphy, executive director of the geopolitical advisory unit at Hilco Global, said the attacks reflect a broader shift in how infrastructure is viewed in modern security planning. In his view, digital assets now carry strategic importance comparable to energy systems and telecommunications networks.

Industry Response And Strategic Repercussions

Companies operating cloud services in the region responded quickly to the disruptions. Organizations relying on Amazon Web Services infrastructure were advised to move workloads to alternative regions where possible. Major technology providers, including Microsoft and Google, have also reviewed contingency procedures following the incidents. The situation has underscored the importance of redundancy and geographic diversification in cloud infrastructure. Government authorities increasingly classify data centers as critical national infrastructure. Policymakers in the United States, the United Kingdom and the European Union have introduced measures aimed at strengthening the protection of digital assets. Security analysts expect the recent attacks to accelerate efforts to integrate cloud infrastructure into national security planning alongside sectors such as energy, water and telecommunications.

Developments And Industry Reactions

The events also come amid wider debates about the relationship between technology companies and national security policy. In a separate development, the U.S. government recently designated technology company Anthropic as a potential supply chain risk. The company’s chief executive, Dario Amodei, has indicated that the designation could face legal challenge. Technology firms with major operations in the Middle East are reassessing risk management strategies. Expanded multi-region data replication and stronger backup systems form part of these measures, according to Scott Tindall of Hogan Lovells. Meanwhile, comments from OpenAI chief executive Sam Altman have reignited discussion about the growing links between technology companies and government defence programmes.

Looking Ahead

The recent drone strikes illustrate the increasing strategic importance of digital infrastructure in global security dynamics. Data centers are gradually being treated as critical assets within geopolitical conflicts. Continued tensions are likely to prompt additional investment by governments and technology companies in strengthening protection of cloud infrastructure and improving operational resilience across global networks.

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