Matthew Kilcoyne

The European Commission’s 2025 Strategic Foresight Report misframes the U.S. as a rival on par with China, risking transatlantic unity and protectionist policies that weaken Europe while leaving China free to dominate critical technologies.

European consumers report a decline in online experiences since the Digital Markets Act took effect, as regulatory restrictions on platform integration and data use have reduced functionality, slowed searches, and fragmented services across maps, travel, jobs, and more.

Europe’s pursuit of digital sovereignty rests on a flawed premise: that competing with the United States, rather than China, should be the central priority. To advance this goal, Brussels has embraced the so-called “Airbus model”—the belief that the government-led coordination that created an aerospace champion can be replicated to achieve dominance in semiconductors, cloud computing, and artificial intelligence (AI). The idea is seductive and gaining traction, but the analogy is unproven and misguided.

In its push for digital sovereignty, the European Commission is reportedly planning to replace Microsoft Azure with the French cloud provider OVHcloud or another European alternative. But this move, while politically symbolic, would be costly. Far from enhancing security, this migration would sacrifice sound procurement and EU legal obligations in service of a hollow vision of digital nationalism.

Schleswig-Holstein’s move to drop Microsoft for open-source tools reflects costly digital protectionism driven by politics, not practicality. EU governments should focus on evidence-based tech procurement over nationalist agendas.