EU takes a page from Ireland's AI playbook

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Add to Preferred Sources The EU wants to ramp up its data center capacity. The EU wants to catch up in the AI race by taking a cue from Ireland—an early adopter of the technology which has rolled out the red carpet for data centers despite local backlash.

Ireland will showcase the role it bids to play in the technological revolution when it hosts an international AI summit in the capital Dublin on Wednesday.

While the European Union is pushing for strong governance to limit the risks of AI growing out of control, the bloc also believes it must invest and exploit its potential to avoid falling further behind the United States and China.

"We need to stay in the race. Because this is crucial for our independence," EU chief Ursula von der Leyen said last month.

Leading AI minds and executives will attend the summit including Google DeepMind chair Demis Hassabis and Microsoft President Brad Smith, as well as the EU's most senior tech officials including Henna Virkkunen.

Europe will use the gathering to hammer home its pro-AI agenda.

Some 20% of companies in the 27-country bloc used AI last year, with the adoption rate rising to 55% for the biggest businesses—figures the EU wants to see increase.

Most still use AI for relatively simple tasks, research shows.

Europe has around 5% of the world's data center capacity, while the United States has around 75% and China approximately 15%, according to Andrea Renda, director of research at CEPS think tank.

The EU wants to ramp up its capacity and is pouring billions into so-called AI gigafactories made up of advanced AI processors and energy-efficient data centers for companies and research labs.

"If you only build data center capacity, you have not done much," Renda told AFP, calling for "political leadership" to help "identify the roadblocks, the obstacles and the enablers of this transformation."

The EU insists it is working on several fronts, mobilizing funds from various existing programs, and appointing a Siemens executive to push manufacturers to integrate the technology under a strategy called "Apply AI."

But Renda counters that the strategy has "zero" dedicated budget, warning that without "bold intervention, we are not going to be able to do this."

Ireland—already home to many U.S. tech giants because of its attractive tax policies and favorable location—wants to help drive the momentum in Europe.

Prime Minister Micheal Martin is expected to champion Ireland's role as a hub for the development of AI.

Yet while it boasts one of the highest adoption rates in the bloc, Ireland also shows some of the pitfalls of Europe's AI push.

Its heavy reliance on U.S. giants runs counter to the EU's sovereignty efforts, and the rapid expansion of data centers is putting Irish infrastructure under increasing strain, especially its power grid—fueling local opposition.

The Central Statistics Office said data centers accounted for 23% of the country's electricity consumption last year—as much as all Irish households combined.

"A world record," said Patrick Bresnihan, a researcher at Maynooth University.

During a "counter-summit" held a few days before Wednesday's gathering, he pointed out that the centers only employed 3,300 people in total.

"Particularly in Ireland, I would say that we need a moratorium. So we need to press pause on data center development," he said, to give policymakers space "to think about what a more progressive green industrial strategy would look like."

Neil Bennett, a former tech worker attending the protest event, urged Irish leaders and senior officials "to recognize the human impact of AI on workers in Ireland."

The former translator has been deeply impacted by AI. After he lost his job because of the technology, he describes crossing "to the dark side" to work as a data operator.

But he soon became disillusioned when his new job was replaced—by AI.

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