Written by Irene Veth
Dear reader,
Welcome to Publyon’s Digital Policy Update (DPU). We are happy to provide you with insights on the latest EU policy trends and developments to keep you informed. This month we bring you a special April Fools edition, though rest assured, the updates are 100% genuine. The EU has presented its long-awaited AI Continent Action Plan, which we will explore more in detail. Unfortunately, we cannot avoid filling our geopolitical corner with developments on the trade wars, and increased focus on European defence and security. And as always, we bring you the latest in AI, cyber, and other digital- and tech-related policy news. Happy reading!
Europe’s bold plan for sustainable growth, the “Clean Industrial Deal”, represents a major shift for EU businesses, especially in energy-intensive sectors. Don’t miss your chance to engage with the Commission to shape this deal and influence the policy direction for the next five years.
The spotlight
EU presents AI Continent Action Plan to boost AI innovation in Europe
On 9 April, the European Commission launched its AI Continent Action Plan, aiming to transform the EU’s strong traditional industries and talent pools to strengthen Europe’s AI innovation capabilities. This plan follows the announcement of Commission President von der Leyen on InvestAI earlier this year, pledging to mobilise a €200 billion investment in AI across Europe.
Why is this interesting for my business?
Not only does the Plan provide enhanced access to AI infrastructure, but businesses could benefit from increased funding opportunities, reduced regulatory and compliance burden, and gain a competitive edge by aligning with the EU’s AI Act and strategies. However, critics have pointed out that the plan focuses more on supply-side initiatives and is short on details, with lack of practical considerations (i.e. diffusing AI into day-to-day work life, trust and privacy issues, business practices, grid issues).
Would you like to explore how the measures in the AI Continent Action Plan might impact your business? We can help you connect with key stakeholders in Brussels, refine your narrative, and craft effective input for public consultations (e.g., AI Strategy, Cloud and AI Development Act, Data Union Strategy). Reach out to our director Cathy Kremer at c.kremer@publyon.com to know how to stay involved.
Four pillars to stimulate the EU’s AI innovation
The Plan seeks to stimulate the EU’s innovation capabilities by actions and policies around five key pillars:
- Creating a large-scale AI data and computing infrastructure by setting up AI factories and five AI Gigafactories;
- Enhancing access to large and high-quality data, including a Data Union Strategy launched later this year;
- Advancing algorithms and promoting AI uptake in key EU sectors with an Apply AI Strategy;
- Strengthening AI skills and talents through initiatives such as a Talent Pool, AI fellowships schemes and an AI Skills Academy;
- Simplifying regulatory burden for businesses, including through an AI Act Service Desk for AI Act compliance support.
Alongside the Action Plan, the Commission also released public consultations on two key upcoming initiatives, the Cloud and AI Development Act and the Apply AI Strategy. The deadline for providing input is 4 June. Do not be a fool and miss your chance to shape the future of AI in Europe.
Setting in place European cloud and AI infrastructure
The Cloud and AI Development Act aims to close the EU’s gap in cloud and AI infrastructure capacity by R&I by boosting R&I for greener data centres, increasing industrial investment to triple data processing capacity within 5–7 years, and strengthening the secure processing capabilities of EU-based cloud providers.
Promoting AI uptake in key industries and public sectors
The Apply AI Strategy seeks to accelerate AI adoption across key industries, from defense to pharmaceutical, enhance its use in public services like healthcare and justice, and tackle challenges in implementing the AI Act. European Digital Innovation Hubs will be refocused to support AI uptake in strategic sectors (Q2–Q3 2025). Additionally, a European Strategy for AI in Science (Q3 2025) will facilitate the responsible and swift adoption of AI by scientists, backed by the launch of the Resource for AI Science in Europe (RAISE) by 2026.
What is next?
Word is on the street that Germany and Poland are interested in hosting and investing in the AI gigafactories. First movers will be rewarded!
The Commission will launch dialogues with industry representatives and the public sector to gather input on the Apply AI Strategy, next to the public consultations. Moreover, a public consultation on the upcoming Data Union Strategy will come out in May.
Impact analysis for your business
Our free policy updates keep you informed, but is that enough? With our tailored EU Digital Policy Updates you’ll receive:
- Custom insights on how upcoming policy changes might impact your business;
- Strategic advice from your dedicated policy consultant on how to turn challenges into opportunities;
- Early warnings about key legislative developments.
Geopolitical corner
In Publyon’s geopolitical corner, we explore how geopolitics intertwines with digital (policy) developments. Read on to learn more about what the hottest topics were this month!
One crisis at the time
Political leaders hold their breath during hybrid threats, ping-pong games over trade tariffs and uncertain financial markets. Meanwhile the European Commission published a series of initiatives to increase its resilience and agility.
EU strengthens its defense capabilities under increased threats (by 2030)
European internal security is increasingly under threat, not only due to conflicts at its borders but also because of a rise in attacks on European targets. Thus, the Guardian launched a report on the subaquatic sabotages in recent years on European energy pipelines, telecommunications cables and power connections. The hostilities are linked to Russia while never confirmed, in meantime pro-Russian hackers launched a DDOS attack on Belgian public websites making them temporarily inaccessible.
This increase of hybrid warfare urges the European Commission to act and propose new strategies to increase resilience, capacities and improve protection and infrastructure. Further in this newsletter we discuss the EU preparedness union strategy, ProtectEU and the White Paper for European Defence Readiness 2030. These include ensuring preparedness for military, hybrid and cyber threats while tackling internal security threats and increasing public and private investments in defence spending and equipment.
A tariff-break of 90 days
It will be crucial for American and European businesses who might see their transatlantic trade affected by an extra 10% duty on top of a VAT payment. The clock is ticking and meanwhile more leaks confirm the idea of the American trade strategy aiming to force the EU to choose between the USA or China.
This would heavily impact European businesses and SMEs, which is why Commission President von der Leyen is taking a wait-and-see approach as she knows that a trade war would only lead to a lose-lose game. While von der Leyen remains hopeful, the Commission will intervene with countermeasures if needed. It is rumored that these may imply tariffs on digital services from Big Tech companies like Amazon, Google, Microsoft, Meta, Netflix and X.
There’s no fooling around in April this year, more to follow in the next edition with hopefully low tariffs and high-volume content!
Policy updates
AI Act risks reopening
Not even a year after celebrating the historic adoption of the Artificial Intelligence Act (AI Act), the EU is hinting it might reopen the Act in its newly launched AI Continent Action Plan (spring cleaning?), after increasing pressure from industry. While this move may be intended as a means to go ahead with the simplification agenda, we at Publyon also see the uncertainties it may bring for businesses who have already started preparing for compliance.
The Commission is exploring the possibility of cutting certain reporting obligations to ease administrative burden for businesses. A broader review of digital regulations, including the AI Act, is expected by the end of 2025, with no part of the Act off the table.
While Big Tech companies, including OpenAI and Stripe, argue the AI Act is overly burdensome, civil society groups and EU lawmakers caution that simplifying compliance should not lead to deregulation or weaken protections. The ongoing development of the voluntary Codes of Practice (CoP) for General Purpose AI (GPAI) models, which apply to complex AI systems like GPT and Google’s Gemini, is also part of the conversation.
What’s more?
On 2 May 2025, the CoP for GPAI models should be ready for launch. This milestone will be followed by a whole slew of rules coming into force from 2 August 2025, covering i.a. notified bodies, GPAI models obligations, governance structures, confidentiality requirements, and penalties and fines. By this same deadline, the Commission is required to review (and potentially revise) articles concerning prohibited AI practices.
Revised Cybersecurity Act to focus on simplification, ENISA and certificates
On 11 April, the European Commission launched its public consultation on the revision of the Cybersecurity Act, with the proposal expected in Q4 2025. The deadline for providing input is 20 June. As simplification of compliance requirements will be a key focus, Publyon can provide strategic advice on how to stand out from the crowd and use this input opportunity to your advantage.
What is it about?
A key focus will be the resilience of ICT supply chains and the simplification of compliance requirements for businesses, in line with the Commission’s broader digital simplification agenda. The revision will also clarify and potentially expand the mandate of the EU Agency for Cybersecurity (ENISA), streamline the European Cybersecurity Certification Framework, and address uptake of voluntary certification schemes.
McGrath says Digital Fairness Act will be ‘pro-business’
Some more news on the upcoming Digital Fairness Act (DFA), set to become the EU’s flagship consumer protection law for the digital age. The Commission has announced that the public consultation for the Digital Fairness Act (DFA) is expected in the coming weeks, with a legislative proposal following in Q3 2026. It is not yet known whether it will be a Directive or Regulation.
Commissioner McGrath has indicated at the European Retail Innovation Summit that the legislation will also tackle legal and administrative burdens, to create an enabling, competitive and pro-business environment. The Act would also address issues such as personalised pricing based on user profiling, addictive design, influencer marketing, and video games currency. Issues related to e-commerce will also be included.
Additionally, on 10 April, the Parliamentary Internal Market Committee (IMCO) and expert stakeholders held a hearing on the protection of minors online. DG JUST confirmed that better protection of minors will be one of the objectives of the DFA, with expected measures on influencer transparency, virtual goods, and a plan to address cyber bullying.
Cybersecurity in focus under the Warsaw Call
As part of its broader agenda to strengthen the EU’s internal security and resilience, telecom ministers at the Informal Telecom Council in Warsaw adopted the Warsaw Call. The message was clear: cybersecurity preparedness must move faster. The EU is stepping up through a package of measures, including the revision of the Cybersecurity Act, full implementation of the NIS2 Directive, and an updated Cybersecurity Blueprint that reflects today’s hybrid threat environment. Ministers also endorsed stronger EU–NATO cooperation, the creation of dedicated cyber reserves, and reinforced protection of critical infrastructure such as submarine cables. The Polish Presidency has made clear it will prioritise legislative follow-up throughout 2025 and 2026, reinforcing the EU’s capacity to withstand and respond to emerging cyber and hybrid threats.
Commission invests €1.3 billion in digital and cyber
On 28 March, the Commission adopted the Digital Europe Work Programme 2025–2027, pledging an €1.3 billion investment to boost the EU’s digital transformation. Key priorities include AI uptake, cybersecurity capacity, and next–generation cloud and data infrastructure. Funding will also expand the EU Cybersecurity Reserve, a rapid reaction network of cybersecurity service providers.
What now? Calls for proposals begin in April 2025. SMEs, public authorities, and research consortia can apply for co-funded projects. This programme will feed into upcoming initiatives under the Cloud and AI Development Act.
EU strategies confront hybrid threats and invest in dual-use technologies
On 1 April, the Commission released its ProtectEU Communication, unveiling a new European Internal Security Strategy designed to confront hybrid threats, sabotage and pervasive digital risk. It includes new threat analysis capabilities, a revamp of Europol’s mandate and a full legislative proposal for a European Critical Communication System in 2026. The European Commission will also present a Technology Roadmap on Encryption, a legislative plan for lawful access to data, and updated rules on data retention. At the same time, it will work to reinforce ENISA and push Member States to fully implement NIS2.
Additionally, on 19 March, the EU issued the White Paper for European Defence Readiness 2030. The EU wants Member States to invest heavily in dual-use technologies that support both civil resilience and military advantage, with a push to develop cyber capabilities under a voluntary support scheme.
Blog
EU’s clean tech: not just a policy shift, it’s a new industrial era
With the new European Commission wasting no time, the Clean Industrial Deal is taking shape fast. It aims to lower energy costs, scale EU-based clean tech manufacturing, streamline permitting and procurement rules, and unlock €100+ billion in support for industrial decarbonisation.
Read more
Events
A foolproof guide to spotting us this month
Where are we #bubbling in April? This month, Irene Veth has registered for Politico’s AI & Tech Summit 2025 from 13-14 May. Additionally, Jan Van Braeken will attend the high-level debate on EU Competitiveness & Defense on 24 April organised by A Seat At The Table. Do not hesitate to say hi to us!
We are always eager to have a chat about the latest Digital Policy Update and other digital and tech news with our fellow digital policy enthusiasts. If you are interested in meeting the fanatics forming our digital and tech team, do not hesitate to reach out to us.
