Germany Urges AI Self-Reliance for Digital Sovereignty

Chancellor Friedrich Merz declared on Monday that Germany and Europe must expedite the development of their own artificial intelligence capabilities to safeguard their "digital sovereignty." He cautioned that nations risk losing control to external providers as AI becomes increasingly integral to the global economy. Merz emphasized the urgency, stating that avoiding complete dependence on third parties for AI development and use is crucial.

The German leader highlighted the immense technological and organizational effort required for adaptation, including a far-reaching modernization of the state and economy. Merz vowed to accelerate digitalization initiatives, aiming for independent, secure, and autonomous production and management of AI technologies across the entire value chain.

Appointing a minister for digitalization last year, Merz's government has committed to reducing the technological gap with faster-moving European nations. While Germany introduced a national AI strategy in 2018 and has seen adoption by numerous firms, critics point to a slow build-up of necessary digital infrastructure, skills, and a domestic technology sector.

The Ifo economics research institute noted that Germany, with its public services and companies still reliant on paper-based processes, is ill-prepared for an AI boom. Issues such as a small high-tech sector, poorly digitalized public services, and skill shortages were cited. Merz indicated Germany would also collaborate with like-minded partners like Canada and France, following a recent visit to East Asia.