Our latest feature in the Financial Times: the price of overregulation – why EU ideas fail to scale

In our latest Financial Times commentary, we examine how overregulation, fragmented markets, and risk-averse culture are pushing Europe to the sidelines in the global AI race. Despite having the talent and ambition, the EU’s maze of national rules, slow-moving capital, and “first-to-regulate” mindset is driving startups abroad – often to the US or China.

Nearly three years after ChatGPT stunned the world, the race for AI leadership has accelerated at breakneck speed. Yet, “once again, the EU risks watching a technological revolution from the sidelines – one poised to reshape economies, institutions and societies as profoundly as the industrial age once did.”

The article highlights three key bottlenecks:

• Fragmented markets: National authorities distort EU law to protect local interests, creating “a maze of enforcement authorities, making cross-border provision of services costly and complex.”
• Capital gaps: Europe still lacks a single market for venture funding, with public funds too often managed by bureaucrats rather than market-driven leaders.
• Overregulation: From data protection to the AI Act, the EU’s impulse to regulate “before innovation takes shape” is pushing startups, SMEs, and talent abroad.

The piece argues that Europe must embrace scale, speed, and calculated risk if it’s to reclaim its role as a global innovation leader. As AI Chamber CEO Tomasz Snażyk warns: “We must act before it is too late – a continent where our best and brightest choose to emigrate is a continent with no future.”

Read the full article here: https://www.ft.com/partnercontent/ai-chamber-cee/the-price-of-overregulation-why-eu-ideas-fail-to-scale.html