Europe has two options in the race for technological sovereignty: It is threatened with losing 4 trillion euros annually

The initial impression for many seems to be that the technology war in the world is nothing more than a conflict raging between the United States on one side and China on the other.
However, the Europeans seem to be on the fringes of the conflict, third at best, and by no means the core of this technological war.
This belief or impression was manifested in a well-known article published in January 2020 by the well-known American Foreign Policy magazine under the title “Europe cannot win the technology war that has just begun.” The gist of the article was that in the race for technological supremacy and the dominance of artificial intelligence, there is no bronze medal, the conflict revolves around only two “gold or silver” medals.
As for the bronze medal, it does not exist, and if it does, it has no meaning. The article concludes that Europe must choose between gold or silver, otherwise it will be left with nothing but dust.
In fact, many experts are still convinced that this situation still exists in Europe, and that European elites use technological buzzwords like “digital sovereignty” without a real translation of it on the ground, or that what Europeans are achieving does not match this great ambition inherent in the term digital sovereignty, and that Europeans have a psychological yearning for technological independence from the United States, but this is nothing more than a psychological state, and not a lived reality on the ground, what’s the point down is shown in the opinion of these experts in the tireless pursuit by European Union officials of major American technology companies, either by accusing them of behavioral violations, as they did with Google, or tax evasion, as they accused Apple.
For his part, Professor Dan Lee, head of technology research at Oxford University, told The Economist, “Given Europe’s size and economic strength, its story with technology is a story of unrealized potential. We have always had talent and financial capacity had, but Europe did not do well. To retain talent or coordinate talent and investment, the question now is whether, given the current background of turbulent economic conditions, uncertainty in the global economy, fears and anxieties among investors, and Brexit , Europeans can show resilience under those circumstances. sufficient and still to bridge the gap with the American Silicon Valley or the Chinese Dragon competition.”
Beneath the folds of that vision is a recognition that Europeans’ technology investment culture has been more conservative than its competitors, and that its technology investments are taking small steps in the gold and silver medal race. that fail, the economic system is designed in a way that helps them bounce back after learning from their mistakes.
Historically, modern Europe was shaped in times of crisis. The European Union was a response to the devastation of the Second World War, and the fall of the Berlin Wall represented an opportunity for the economies of Eastern and Central Europe, which joined the European Union joined to link with the global economy.
As for the financial crisis of 2008 and the Eurozone crisis, it led to more financial cooperation between European countries, and more powers for the European Central Bank, and the Corona pandemic pushed the Europeans to a higher level of financial coordination through the European Union pressed. Fund for Future Generations.
And finally, the Ukrainian war, which exposed the hidden Europeans in energy and defense, and a growing awareness that technological superiority is decisive in future conflicts, and if Europe does not catch up with the American and Chinese poles, it will be in danger in all sectors related to growth and competition.
He told The Economist, Nelson Karp, an economic researcher, “Although Europe has many companies that have performed well, the overall performance of European companies is poor compared to those in other major regions, they grow more slowly, have lower returns and invest less in research development than its counterparts in the United States.
Some studies suggest that between 2014 and 2019, major European tech companies were 20 percent less profitable compared to their American counterparts, for example, and their revenue grew 40 percent slower, invested 8 percent less, and spent 40 percent less on research. and development.
Of the ten technologies such as artificial intelligence, quantum computing and clouds, Europe leads only two. In quantum computing, 50 percent of the top ten technology companies investing in this technology are in the United States, 40 percent in China, and none in the European Union.
In the fifth generation Internet, which is an essential component of the future of communication, China is responsible for almost 60 percent of the investment in this sector, the United States 27 percent and Europe only 11 percent, while the United States in artificial intelligence was responsible. for 40 percent of the investment during the period. From 2015 to 2020, Europe received 12 percent, and Asia, including China, controls a 32 percent share. In the field of biotechnology, the United States spent $260 billion between 2018 and 2020, Europe $42 billion, and China $19 billion.
On her part, Dr. Erin Heven of the Institute for Renewable Energy Studies told the Economist: “In the area of ​​clean energy technology, Europe is more ambitious than most other regions in terms of targets to reduce carbon emissions by 2030, but it is losing steam in the next wave of Clean energy technology: European companies own 38 percent more clean technology patents than companies in the US, and more than double the number in China.Clean technology production in almost all areas, often with a market share of more than 50 percent , with the United States leading the most advanced technologies.
Some experts estimate that if Europe cannot improve its technology capacity, its technology companies could miss out on a value-added opportunity of €2-4 trillion per year by 2040, which means higher wages and more sustainable investment. This value at risk is equivalent to between 30 and 70 percent of Europe’s GDP growth between 2014 and 2040, and six times the money needed to switch to zero carbon emissions.
Dr. However, Scott Mandelson, professor of European economics at Westford University, believes that it is too early to say that Europe is marginalized in the global technology race, as it still has many strengths that qualify it to compete with tough competition and one of the two gold or silver medals.
He assures Al-Eqtisadiah that high-quality education systems in Europe produce leading talents in the fields of science, technology, engineering and mathematics, in addition to the most productive economic activities at the international level, and this qualifies Europe for an advanced role in the technology race .
With this, there is an urgent need for Europe to work towards adopting a more aggressive policy in order to change technological capabilities and the competitive environment and to present an integrated vision to change the rules of the game for the benefit of European companies to attract financing. on a larger scale, with European companies aiming beyond their current business, And to set a vision for global leadership over a period of ten to twenty years.

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