COM(2025) 414 Proposal for a COUNCIL REGULATION on amending Council Regulation (EU) 2021/1173 of 13 July 2021 on establishing the European High Performance Computing Joint Undertaking and repealing Regulation (EU) 2018/1488

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EUROPEAN COMMISSION

Brussels, 15.7.2025

COM(2025) 414 final

2025/0229 (NLE)

Proposal for a

COUNCIL REGULATION

on amending Council Regulation (EU) 2021/1173 of 13 July 2021 on establishing the

European High Performance Computing Joint Undertaking and repealing Regulation

(EU) 2018/1488

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EXPLANATORY MEMORANDUM

1. CONTEXT OF THE PROPOSAL

• Reasons for and objectives of the proposal

Council Regulation (EU) 2021/11731 repealing Council Regulation (EU) 2018/14882 establishes the European High Performance Computing Joint Undertaking and sets out its mission and objectives. The Joint Undertaking’s mission is to develop, deploy, extend and maintain in the Union a world-leading federated, secure and hyper-connected supercomputing, quantum computing, service and data infrastructure ecosystem; to support the development and uptake of demand-oriented and user-driven innovative and competitive supercomputing systems based on a supply chain that will ensure the availability components, technologies and knowledge and limit the risk of disruption, and the development of a wide range of applications optimised for these systems; and, to widen the use of this supercomputing and quantum computing infrastructure to a large number of public and private users, and support the twin transition and the development of key skills for European science and industry.

Since 2021, when the Council Regulation (EU) 2021/1173 was adopted, the field of artificial intelligence (AI) has seen enormous technical progress and became a key strategic and highly competitive domain globally. In particular, large AI general purpose models have emerged as vital drivers of economic competitiveness and innovation. They have become pivotal in enhancing productivity across diverse sectors and transform entire value chains, thus dictating future economic value capture. The next generation of frontier AI models are expected to unlock a leap in capabilities, towards Artificial General Intelligence (AGI) capable of tackling highly complex and diverse tasks, matching human capabilities. Regions capable of developing and implementing these AI models at scale will lead in global innovation and attract premier talent. At the same time, sectors at the forefront of science and industry, such as biotechnology, climate, automotive AI, and aerospace, demand substantial computing resources to undertake major AI-driven scientific discoveries and industrial innovations.

Following the adoption of the AI Innovation Package in February 20243, Regulation (EU) 2021/1173 was amended in June 2024 creating a new pillar of activities for the EuroHPC Joint Undertaking, enabling it to acquire, upgrade and operate AI factories.

The most advanced of these AI Factories in Europe will be equipped with supercomputers featuring up to 25,000 advanced AI processors, allowing only to develop middle-range AI models. Significant investments are therefore needed to scale up Europe’s computing capacities to the next level.

On 9 April 2025, the Commission launched the AI Continent Action Plan45 to position

1 Council Regulation (EU)2021/1173 of 13 July 2021 on establishing the European High Performance

Computing Joint Undertaking and repealing Regulation (EU) 2018/1488 (OJ L 256 19.7.21 p. 3). 2 Council Regulation (EU) 2018/1488 of 28 September 2018 establishing the European High

Performance Computing Joint Undertaking (OJ L 252, 8.10.2018, p. 1). 3 https://digital-strategy.ec.europa.eu/en/news/commission-launches-ai-innovation-package-support-

artificial-intelligence-startups-and-smes 4 Communication from the Commission to the European Parliament, the Council, the European economic

and social Committee and the Committee of the regions, AI Continent Action Plan, COM/2025/165

final

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Europe as a global leader in AI. A core pillar of this strategy is boosting the Europe-wide infrastructure for training advanced AI models taking the 2024 AI Factories concept up to the next level.

The development of the next generation of frontier AI models is expected to require large-

scale facilities, exceeding at least by three to four times the number of the most advanced AI

processors available in the most powerful AI Factories, while taking into account power

capacity, as well as energy, water efficiency and circularity. They will be capable of

developing, training, and deploying very large AI models and applications at an

unprecedented scale (e.g., AI models in the order of hundreds of trillions of parameters).

AI Gigafactories will provide a world-class AI compute infrastructure for European

researchers, entrepreneurs, the public sector and industries. They shall strengthen the

European industry, enable the development of entirely new AI solutions and ensure the EU's

competitiveness and sovereignty as an AI continent in line with the Competitiveness

Compass6. The public interest in co-investing with industry players in AI Gigafactories lies in

expanding and strengthening the European AI compute infrastructure so that the next

generation of AI models and applications for scientific, public and industrial use can be

developed, implemented and put into application in Europe. Just as the AI Factories, the AI

Gigafactories will be open to researchers, stakeholders from the public sector, startups and

industry across Member States, under specific access conditions.

The existing mechanisms within Regulation 2021/1173 are not fully equipped today to support the establishment of the AI Gigafactories. A targeted amendment is therefore necessary to provide the EuroHPC Joint Undertaking with the necessary legal basis to be able to meet the commitments regarding setting up of AI GigaFactories in Europe. The amendment will further specifically mandate the Joint Undertaking to perform activities for the implementation of AI GigaFactories while also accommodating for their specificities.

The amendment also provides an opportunity to introduce strategic provisions related to quantum technologies, in line with the European Quantum Strategy. Quantum technologies, comprising quantum computing, communication, sensing, and metrology are emerging as a strategic field for the Union, with the potential to reshape key industries and societal applications, and to have a large impact on the Union’s industrial competitiveness and technological sovereignty. The Union has made substantial investments in this domain. There is a need now to further coordinate and implement a pan-European quantum research, innovation and industrialisation agenda that capitalises on existing strengths and aligns all efforts around shared priorities. It is becoming increasingly important for Europe to translate its scientific excellence and innovation potential into real market opportunities and thereby contribute to the objectives of the Competitiveness Compass.

This amendment reinforces the current mandate of the EuroHPC Joint Undertaking on quantum technologies to:

• Support the development of a full European quantum ecosystem, covering research,

innovation, infrastructure deployment, skills, and industrial capabilities;

• Ensure synergies between quantum and classical HPC infrastructures, notably for

hybrid systems, simulations, and co-development platforms;

5 Council Regulation (EU) 2024/1732 6 https://commission.europa.eu/topics/eu-competitiveness/competitiveness-compass_en

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• Promote Europe's technological sovereignty, by reinforcing capabilities in quantum-

enabling components and reducing dependencies in critical areas;

• Consistency with existing policy provisions in the policy area

The objective of this proposal is to widen the scope of Council Regulation 2024/1732 in order

to enable the Union to respond to new technological developments and strategic imperatives,

namely the significant scale-up of AI-optimised compute capacity in Europe, as well as to

align Member States around shared priorities in quantum technologies by redressing the

existing fragmentation of quantum programmes across countries in the Union.

• Consistency with other Union policies

This proposal is fully in line with other Union policies, especially those policies enacted under

the Commission priority ‘A prosperous and competitive Europe’.

2. LEGAL BASIS, SUBSIDIARITY AND PROPORTIONALITY

• Legal basis

The legal basis of the Joint Undertaking is Article 187 and the first paragraph of Article 188

of the Treaty on the Functioning of the European Union.

• Subsidiarity (for non-exclusive competence)

The subsidiarity principle applies insofar as the proposal does not fall under the exclusive

competence of the Union.

The Council Regulation (EU) 2021/1173 covers the subsidiarity principle as its objectives,

namely the strengthening of research and innovation capabilities, the acquisition of

supercomputers and quantum computers, and access to high performance computing,

quantum computing and data infrastructure across the Union by means of a Joint Undertaking,

cannot be sufficiently achieved by the Member States, but can rather, by reason of avoiding

unnecessary duplication, retaining critical mass and ensuring that public financing is used in

an optimal way, be better achieved at Union level.

To serve the ambitions of industrial leadership and of the AI Continent Action Plan, the

Regulation establishing the Joint Undertaking requires a targeted amendment enabling the

EuroHPC Joint Undertaking to accommodate the specificities of the AI Gigafactories and to

implement the EU’s quantum strategy.

Due to the nature of quantum and AI and the magnitude of investments required for the AI

Gigafactories and quantum technologies, to keep Europe’s edge in these critical technologies

can only be achieved by common action at Union level.

• Proportionality

The proposed amendment complies with the principles of proportionality as set out in Article

5, paragraph 4 of the Treaty on the European Union.

• Choice of the instrument

The creation and operation of a Joint Undertaking in which the Union participates requires a

Council Regulation, to which an amendment is now being proposed.

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3. RESULTS OF EX-POST EVALUATIONS, STAKEHOLDER

CONSULTATIONS AND IMPACT ASSESSMENTS

• Ex-post evaluations/fitness checks of existing legislation

This is an amendment to an existing Regulation. The proposed targeted amendment to the

Council Regulation (EU) 2021/1173 is the only way to fulfil the political commitment

announced by President von der Leyen at the AI Summit in February 2025 of setting up the

AI GigaFactories, as well as the implementation of the EU’s Quantum Strategy. No ex-post

evaluation or impact assessment has been performed.

• Stakeholder consultations

Stakeholders have been extensively consulted for the purpose of the amendments regarding

the AI Gigafactories:

– a debate with the EuroHPC Participating States in the EuroHPC Governing Board,

– structured discussions with key public and private players of relevance for the

initiative, including government representatives, Union and international companies,

and private as well as public funding institutions, such as the European Investment

Bank Group,

– a Call for Expression of Interest (CfEI) running from 9 April until 20 June 2025.

This call invited ideas from across Europe, helping to identify potential consortia and

gather the insights needed to refine the framework for AI Gigafactory development.

Due to very targeted nature of the amendments to the Regulation, which already mandates the

EuroHPC JU to act in the field of AI and quantum, there is no need to conduct an Impact

Assessment.

For quantum technologies, the amendment reflects inputs gathered through the public call for

evidence conducted as part of the preparation of the European Quantum Technologies

Strategy.

This consultation, launched by the European Commission, gathered contributions from a

broad spectrum of stakeholders, including research organisations, industry representatives,

national authorities, and civil society, and highlighted the importance of coordinated Union

action to support the development of a comprehensive quantum ecosystem. Key priorities

identified include: long-term research investment, infrastructure development, skills and

education, industrial deployment, and international collaboration.

Additional inputs were also received through the following two channels:

– A debate with representatives of the Quantum Technology Coordination (Expert)

Group7 where all the Member States are participating;

– Intense interactions with expert working groups from all the Member States that

were set up under the coordination of the Quantum Technology Coordination Group.

The expert working groups issued a report8 presenting a set of shared strategic

priorities and recommendations guiding the development of quantum technologies in

Europe.

7 https://ec.europa.eu/transparency/expert-groups-register/screen/expert-groups/consult?lang=en&groupID=3629 8 https://digital-strategy.ec.europa.eu/en/library/shaping-european-strategy-quantum-technology-main-orientations-and-

recommendations

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These inputs have helped inform the inclusion of quantum technologies in this amendment,

ensuring coherence with stakeholder expectations and with the broader strategic direction of

the Union in digital technologies.

4. BUDGETARY IMPLICATIONS

Additional funds from Horizon Europe, Connecting Europe Facility, Digital Europe will be

channelled to the EuroHPC JU to implement the AI Gigafactories and the Union quantum

strategy.

5. OTHER ELEMENTS

• Detailed explanation of the specific provisions of the proposal

The amendment to the Regulation enlarges its scope in order to expand the objective of the

Joint Undertaking related to development and operation of AI Gigafactories in Europe that

will be federated with the AI Factories.

The objective addresses the unique considerations and requirements associated with the

establishment of such ultra-scale AI data and compute infrastructure facilities necessary

for training and deploying very large AI models and applications in the Union. It should

be clarified that the amendments introduce the inclusion of AI Gigafactories within the

scope of the Regulation.

This amendment responds to the major technological developments in the field of AI that

have taken place since the original Regulation came into force in 2021 and since the previous

amendment in 2024.

These developments are reflected in the amended Articles of the Regulation. Article 2(3d)

presents the definition of an AI Gigafactory.

Article 3(2)(h) presents its new objective to support the establishment of Artificial

Intelligence Gigafactories, in support of the further development of a highly competitive and

innovative Artificial Intelligence ecosystem in the Union.

Article 4(1)(i) defines the Joint Undertaking’s new AI Gigafactory pillar of activity.

Articles 5 is amended to reflect the increase and use of the Union financial contribution.

Article 12b is introduced to govern the location of an AI Gigafactory, conditions for eligibility

of the public-private consortia seeking to host AI Gigafactories, rules pertaining to the share

and conditions of the Union and EuroHPC Participating States’ funds contributing to the

establishment of AI Gigafactories, evaluation criteria for the selection of AI Gigafactories,

criteria for the public access time etc.

Article 16(1) is amended to allow the use of EuroHPC supercomputers for civilian and

security applications.

The amendment will also take into account the implementation of the European

quantum strategy by the EuroHPC Joint Undertaking.

A new definition is added (Article 2, point 19a) introducing the concept of a “national

quantum Competence Centre”, understood as a legal entity or consortium established in a

participating country, offering access to quantum technologies, tools, services, and

infrastructures. These centres aim to support users from industry, academia, and public

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administrations, and to promote skills development, training, networking, and outreach

activities related to QT.

Article 3(1) is amended to present the Joint Undertaking’s updated mission to support the

development and uptake of demand-oriented and user-driven innovative and competitive

supercomputing systems and quantum. Article 3(2)(fa) presents the Joint Undertaking’s new

objective to support state-of-the-art scientific and applied research and innovation in quantum

technologies.

The amendment also adds a new point (j) to Article 4(1), establishing a Quantum

Technologies Pillar that addresses the entire European quantum ecosystem, including

quantum computing, simulation, communication, sensing, and metrology.

The scope of actions covers:

• Scientific research and technological innovation in quantum domains;

• Industrialisation and scale-up of quantum technologies, including support to startups

and disruptive innovation;

• Development of a network of national quantum competence centres, uptake of

quantum applications in strategic sectors, and standardisation;

• Skills development and mobility, fostering a strong and inclusive quantum

workforce;

• International cooperation aligned with Union external policy.

To help the EuroHPC JU to implement the quantum strategy, article 4 of the annex introduces

the notion of Quantum Strategy Advisory Group and article 14b of this same annex details the

tasks expected by the Quantum Strategy Advisory Group.

2025/0229 (NLE)

Proposal for a

COUNCIL REGULATION

on amending Council Regulation (EU) 2021/1173 of 13 July 2021 on establishing the

European High Performance Computing Joint Undertaking and repealing Regulation

(EU) 2018/1488

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular

Article 187 and 188, first paragraph, thereof,

Having regard to the proposal from the European Commission,

Having regard to the opinion of the European Parliament9,

Having regard to the opinion of the European Economic and Social Committee10,

9 OJ C , , p. . 10 OJ C […], […], p. […]

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Whereas:

(1) Regulation (EU) 2024/1689 of the European Parliament and of the Council laying

down harmonised rules on artificial intelligence (Artificial Intelligence Act) aims to

improve the functioning of the internal market by laying down a uniform legal

framework in particular for the development, marketing and use of artificial

intelligence in conformity with Union values.

(2) Since 2021, when the Council Regulation (EU) 2021/1173 was adopted, the field of

artificial intelligence (AI) has seen enormous technical progress and become a highly

strategic and contested domain globally. The European Union is at the forefront of

efforts to support responsible innovation in AI, by guiding innovation,

setting guardrails, and developing global governance.

(3) Large AI general purpose models have emerged as vital drivers of economic

competitiveness and innovation. They become pivotal in enhancing productivity

across diverse sectors and transform entire value chains, thus dictating future

economic value capture. The next generation of frontier AI models are expected to

unlock a leap in capabilities, towards Artificial General Intelligence (AGI) capable of

tackling highly complex and diverse tasks, matching human capabilities. Regions

capable of developing and implementing these AI models at scale will lead in global

innovation and attract premier talent. At the same time, sectors at the forefront of

science and industry, such as biotechnology, climate, automotive, defence, space and

aerospace, demand substantial computing resources to undertake major AI-driven

scientific discoveries and industrial innovations. Synergies between these activities

and those undertaken by other Union programmes, such as the EU Space Programme,

will be exploited, with appropriate safeguards in place to protect the strategic interests

of the Union and its Member States.

(4) The most advanced AI Factories in Europe will be equipped with supercomputers

featuring up to 25,000 advanced AI processors, allowing only to develop middle-range

AI models. Significant investments are therefore needed to scale up Europe’s

computing capacities to the next level.

(5) On 9 April 2025, the Commission launched the AI Continent Action Plan11 to position

the Union as a global leader in AI. A core pillar of this strategy is boosting the Europe-

wide infrastructure for training advanced AI models taking the 2024 AI Factories

concept up to the next level.

(6) The development of the next generation of frontier AI models is expected to require

large-scale facilities, exceeding at least by three to four times the number of the most

advanced AI processors available in the most powerful AI Factories, while taking into

account power capacity, as well as energy, water efficiency and circularity. The

existing mechanisms within Regulation 2021/1173 are not equipped today to support

the establishment and operation of the AI Gigafactories. A targeted amendment is

therefore necessary to provide the European High Performance Computing Joint

Undertaking (the ‘Joint Undertaking’) with the necessary legal basis to be able to meet

the commitments regarding setting up and operation of AI Gigafactories in Europe.

(7) Strengthening the scientific and technological bases of the Union is increasingly vital

for its long-term competitiveness and strategic autonomy. Indeed, artificial intelligence

11 https://digital-strategy.ec.europa.eu/en/news/commission-sets-course-europes-ai-leadership-ambitious-

ai-continent-action-plan

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has the potential of accelerating scientific discovery and enhancing research

capabilities across all domains. It is therefore essential that AI private and public

users, in particular SMEs and scale-ups, within the Union benefit from world-class

supercomputing infrastructures in order to sustain and advance Europe’s leadership in

research and innovation.

(8) The European Commission’s Competitiveness Compass, adopted on 29 January 2025,

identifies strategic technologies including quantum technologies and high-

performance computing as essential pillars to ensure Europe’s technological

sovereignty, economic resilience, and global leadership. The Compass stresses the

need for coordinated investments and ecosystem development across research,

infrastructure, industry, and skills to strengthen the Union’s competitiveness in these

fields.

(9) Complementing this, the European Quantum Strategy, which will be adopted in July

2025, sets out a comprehensive framework to accelerate quantum research, innovation,

industrialisation, and deployment of quantum technologies and infrastructures. It aims

to build a sustainable and competitive quantum ecosystem, covering computing,

communication, sensing, and metrology, with a strong focus on skills development as

well as on international cooperation.

(10) In view of the policy importance of this initiative, the amounts initially allocated from

Horizon Europe, Digital Europe Programme and the Connecting Europe Facility

should be increased to allow the Union to reach its objective, subject to budgetary

availability.

(11) Given the rapid technological developments in the field and the adapting Union AI

policy, possible significant additional Union financing for AI gigafactories could be

required in the coming years. Considering this specific policy context, it should be

possible to entrust to the Joint Undertaking additional Union funding going beyond the

amounts set out in Article 5(1). Such additional contribution should be at least

matched by the members of the Joint Undertaking other than the Union.

(12) In order to accelerate the development of AI Gigafactories across the Union, Member

States may decide to use their remaining allocations under the Recovery and

Resilience Facility (RRF) to finance their national contributions to an AI Gigafactory.

To this end, Member States should be permitted to provide contributions to the Joint

Undertaking for the purpose of supporting AI Gigafactory projects.

(13) Additional Union contributions to AI gigafactories from other programmes, not listed

in Article 5(1), should also be possible, through the signature of specific ad hoc

contribution agreements, subject to commensurate contribution by one or more

members of the Joint Undertaking other than the Union. A clear description of the

intended use of entrusted funds, as well as a timeline for implementation shall be

included in the corresponding contribution agreements in accordance with the relevant

Commission work programme.

HAS ADOPTED THIS REGULATION:

Article 1

Regulation (EU) No 2021/1173 is amended as follows:

(1) Article 2 is amended as follows:

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(2) the following point (3c) is added:

(3c) ‘Artificial Intelligence Giga Factory’ or ‘AI Gigafactory’ means a state-of-the-

art large-scale facility with sufficient capacity to handle the complete lifecycle –

development, training, fine-tuning, and large-scale inference – of very large, AI

models and applications, providing a supercomputing service infrastructure, which is

composed of AI-optimised computing capacity, a supporting data centre

infrastructure (including high-capacity storage and networking), dedicated secure

cloud user access environments, and specialised secure AI-oriented support services

for its advanced operations and is supported by an environmentally sustainable

energy supply system.

(3) the following point (3d) is added:

(3d) ‘Artificial Intelligence Giga Factory Consortium’ or ‘AI Gigafactory

Consortium’ means an association of legal entities duly incorporated in the Union

coming together in a consortium for the purpose of establishing and operating an AI

Gigafactory and specifying the respective roles and responsibilities of these entities

for the lifetime of the AI Gigafactory, or a new legal entity established for the

purpose of establishing and operating an AI Gigafactory, that has a legal form

recognised in any Member State. The AI Gigafactory Consortium shall be

established for a minimum duration of five years. One or more of the private partners

of such consortium may be participating in the Private Members of the Joint

Undertaking.

(4) the following point (3e) is added:

(3e) ‘AI Gigafactory Coordinator’ means a legal entity, duly incorporated in the

Union and validly existing under the laws of a Member State of establishment, which

is legally authorized to represent the AI Gigafactory Consortium and has the legal

capacity and authority to enter into, execute, and perform the AI Gigafactory Hosting

Agreement; the AI Gigafactory coordinator shall be headquartered in the Union and

shall be under control, directly or indirectly, through ownership interest or via other

means, as defined in the Chapter IV of Regulation (EU) No 2024/1624 and relevant

Union competition law principles, of legal entities or natural persons established

within the Union. The coordinator may also be an existing hosting entity representing

a Participating State that is a Member State or a hosting consortium of Participating

States.

(5) the following point (3f) is added:

(3f) ‘AI Gigafactory Hosting Agreement’ means an administrative agreement

between the Joint Undertaking and the AI Gigafactory Coordinator to host and

operate an AI Gigafactory.

(6) the following point (3g) is added:

(3g) ‘AI Gigafactory hosting entity’ means a legal entity which has been designated

by the AI Gigafactory consortium to host and operate an AI Gigafactory and its

services, and which is established in a Participating State that is a Member State.

(7) the following point (3h) is added:

(3h) ‘Artificial Intelligence Gigafactory Cooperation Agreement’ is an agreement

between the Joint Undertaking and a third country specifying access conditions to AI

Gigafactories for the legal entities under control, directly or indirectly, through

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ownership interest or via other means, of legal entities or natural persons established

in that third country.

(8) the following point (19a) is added:

(19a) ‘national quantum Competence Centre' means a legal entity, or a consortium of

legal entities, established in a Participating State, providing users from industry,

including SMEs, academia, and public administrations with access on demand to

quantum technologies, tools, applications and services, as well as to national or

European quantum infrastructures, and offering expertise, skills, training, networking

and outreach.

(9) Article 3 is amended as follows:

(10) paragraph 1 is replaced by the following:

The mission of the Joint Undertaking shall be to develop, deploy, extend and

maintain in the Union a world-leading federated, secure and hyper-connected

supercomputing, quantum computing, service and data infrastructure ecosystem. It

shall also support the development and uptake of demand-oriented and user-driven

innovative and competitive supercomputing systems and quantum technologies and

systems based on a supply chain that will ensure components, technologies and

knowledge limiting the risk of disruptions and the development of a wide range of

applications optimised for these systems; and, to widen the use of that

supercomputing infrastructure to a large number of public and private users and

support the twin transition and the development of key skills for European science

and industry.

(11) The following point (fa) is added to paragraph 2:

(fa) to support state-of-the-art scientific and applied research and innovation in

quantum technologies, their transition from the lab-to-the fab, and their deployment,

uptake and integration in world-class quantum infrastructures, for building a

dynamic, innovative and resilient quantum ecosystem across the EU, and for

ensuring scientific and industrial leadership, competitiveness, strategic autonomy and

technological sovereignty of the Union in quantum computing, communication and

sensing.

(12) Point (h) in paragraph 2 is replaced by the following:

(h) to develop and operate the Artificial Intelligence Factories, and to support the

establishment of and access to Artificial Intelligence Gigafactories and their services,

in support of the further development of a highly competitive and innovative

Artificial Intelligence ecosystem in the Union.

(13) Paragraph 3 is replaced by the following:

The Joint Undertaking shall contribute to safeguarding the interests of the Union

when procuring supercomputers and supporting the development and uptake of

High-Performance Computing and quantum technologies, systems and applications.

It shall enable a co-design approach for the acquisition of world-class

supercomputers, while safeguarding the security of the supply chain of procured

technologies and systems. It shall contribute to the Union's strategic autonomy,

support the development of technologies and applications reinforcing the European

High-Performance Computing and Quantum Technologies supply chains and

promote their integration in systems that address a large number of scientific,

societal, environmental, industrial as well as security use needs.

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(14) Article 4 is amended as follows:

(15) the following point (i) is added to paragraph 1:

(i) AI Gigafactory pillar, covering activities of AI Gigafactories, which in their

operation may be connected with the EuroHPC network of Artificial Intelligence

Factories for ensuring seamless integration and knowledge sharing across the

European Artificial Intelligence ecosystem; this pillar shall include the following

activities:

(i) providing a world-class Artificial Intelligence compute infrastructure for

European researchers, entrepreneurs, and industries,

(ii) enabling the development of new Artificial Intelligence solutions across all

public and private sectors and

(iii) ensuring the Union’s competitiveness and sovereignty as an Artificial

Intelligence continent.

(16) the following point (j) is added to paragraph 1:

(j) Quantum technologies pillar, addressing the full quantum ecosystem and the

application domains of quantum computing and simulation, quantum

communication, and quantum sensing and metrology, ensuring the security and

resilience of the quantum supply chain and its enabling technologies. Activities shall

inter alia address:

(a) Scientific and Technological Research and Innovation: Advancing

research excellence in quantum science and technology domains.

(b) Transition from the lab to the fab and ecosystem development:

Supporting the development and deployment of state-of-the-art quantum

infrastructures; fostering the industrialisation of quantum technologies by

supporting the uptake of quantum applications in key public and industrial

sectors, ensuring the translation of advances across all quantum domains

into real-world applications, including the development of lead markets;

promoting European and international standards; and, supporting the

development and networking of national quantum competence centres

across Europe.

(c) Skills and Talent: Developing a competitive and inclusive quantum

research and engineering workforce through coordinated education, training

and mobility initiatives, across key quantum-related disciplines and

technical fields.

(d) International cooperation: Developing international collaboration in

quantum technologies to solve global scientific and societal challenges, in

line with the external policy objectives and international commitments of

the Union.

(17) Article 5 is amended as follows:

(18) Paragraph 1 is replaced by the following:

The Union financial contribution to the Joint Undertaking including EEA

appropriations shall be up to EUR 3 972 300 000 including EUR 92 000 000 for

administrative costs, on the condition that that amount is at least matched by the

contribution of Participating States, distributed indicatively as follows:

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(a) up to EUR 1 660 000 000 from Horizon Europe

(b) up to EUR 2 012 300 000 from the Digital Europe Programme

(c) up to EUR 300 000 000 from the Connecting Europe Facility.

(19) A new subparagraph is added in Paragraph 1:

Additional funds from Horizon Europe, the Digital Europe Programme and the

Connecting Europe Facility may complement the Union contribution referred to in

the first sub-paragraph, on the condition that the additional amounts are at least

matched by the contribution of one or more members of the Joint Undertaking other

than the Union. Such additional Union contribution shall be dedicated exclusively to

the pillar referred to in Article 4(1)(i). These additional funds shall not be accounted

for in the calculation of the Union maximum financial contribution.

(20) Paragraph 3 is replaced by the following:

Additional funds from any Union programme other than and complementing the ones

referred to in paragraph 1 of this Article may be allocated to the Joint Undertaking to

support its pillars of activities referred to in Article 4, except those referred to in

Article 4(1)(a). These additional funds shall not be accounted for in the calculation of

the Union maximum financial contribution.

(21) A new paragraph 4a is added:

For the contributions entrusted to the Joint Undertaking in accordance with

paragraph 3 and 4 of this Article, the requirements of Article 158 of Regulation (EU,

Euratom) 2024/2509 are applicable. When these additional Union contributions are

related to the pillar referred to in Article 4(1)(i), one or more of the members other

than the Union shall make additional contributions commensurate to the amount of

the Union contributions.

(22) Paragraph 6 is deleted.

(23) Paragraph 7 is deleted.

(24) Paragraph 8 is deleted.

(25) The following Article 12b is added:

‘Article 12b’

Artificial Intelligence Giga Factory

1. An AI Gigafactory shall be located in a Member State. It shall be financially

supported by a partnership between the Union and one or more Participating States,

represented through the Joint Undertaking, and an AI Gigafactory Consortium,

which may include one or more technology infrastructure suppliers, legally

represented by an AI Gigafactory Coordinator.

2. Participation in an AI Gigafactory Consortium of legal entities from non-

Participating States may be subject to restrictions or exclusion where such

participation is considered contrary to the Union's strategic assets, interests,

autonomy or security. In accordance with Regulation (EU) 2021/695, Regulation

(EU) 2021/694 and Regulation (EU) 2021/1153, the call for expression of interest for

selecting an AI Gigafactory Consortium may limit participation in the said

Consortium to legal entities established only in Participating States or to legal

entities established in specified associated countries of the Horizon Europe

Framework Programme, the Digital Europe Programme and any subsequent relevant

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Union funding programme, or other third countries in addition to Participating States.

The restrictions and exclusions referred to in this paragraph shall in principle not

apply to legal entities established in third countries, which have signed an AI

Gigafactory Cooperation Agreement or a similar agreement with the Union. The call

for expression of interest for selecting an AI Gigafactory may specify that legal

entities in other third countries may be eligible provided they comply with the

requirements to be fulfilled by those legal entities to guarantee the protection of the

security interests of the Union and the Member States and to ensure the protection of

classified documents information. Those requirements shall be set out in the work

programme.

3. The AI Gigafactory Consortium shall benefit from explicit provision of an

appropriate supporting document proving the commitment of the Member State

where the AI Gigafactory hosting entity is established, or of the competent

authorities of the Participating States of the AI Gigafactory Consortium.

4. The Union financial contribution referred to in Article 5 shall cover up to 17% to the

capital expenditure (CAPEX) investments of the overall compute infrastructure of

the AI Gigafactory, or to a pre-agreed guaranteed purchase of access time to the AI

Gigafactory equivalent to a leased capacity of the CAPEX. One or more Participating

States should at least match the Union contribution. The remaining investment as

well as the operational expenditure (OPEX) of the AI Gigafactory shall be covered

by the AI Gigafactory Consortium.

5. A selected AI Factory may substantially scale up to become an AI Gigafactory. In

such case, the Union’s financial support already provided for this AI Factory shall be

counted as part of the Union’s contribution towards the CAPEX of the AI

Gigafactory computing infrastructure. The Artificial Intelligence Factory hosting

agreement referred to in Article 10 shall be modified accordingly, where appropriate.

The additional investment into the Artificial Intelligence Factory concerned to

become an AI Gigafactory as well as the operational expenditure (OPEX) of the AI

Gigafactory shall be covered by the AI Gigafactory Consortium.

6. Participating States that are Member States may, by mutual agreement with the Joint

Undertaking, channel their respective voluntary contributions, including those

referred to in paragraph 4 of this Article and any other in addition to them, in total or

in part, for a specific AI Gigafactory through the Joint Undertaking, which shall then

manage and disburse these funds to the designated AI Gigafactory on their behalf.

7. The Joint Undertaking shall own the part of the AI Gigafactory compute

infrastructure corresponding to the Union contribution specified in paragraphs 4 and

5. The duration of this ownership or of the leased capacity referred to in paragraph 4

shall be at least five years from the start of operations of the AI Gigafactory and

further specified in the AI Gigafactory Hosting Agreement. This duration shall be

extended in case of a substantial upgrade of the AI Gigafactory compute

infrastructure. Without prejudice to the winding up of the Joint Undertaking, as

referred to in Article 23(4) of the Statutes, this ownership shall be transferred in

accordance with the AI Gigafactory Hosting Agreement or be extended for an agreed

period under conditions specified in the AI Gigafactory Hosting Agreement. In the

case of transfer of ownership to the AI Gigafactory consortium, the residual value of

the AI Gigafactory compute infrastructure shall be converted into equivalent access

rights for the Union. If there is no transfer of ownership to the AI Gigafactory

consortium according to the Hosting Agreement, but a decision for

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decommissioning, the relevant costs shall be borne by the AI Gigafactory

Consortium.

8. The access rights of the Union and the Participating States in AI Gigafactory shall be

directly proportional to their respective financial contributions to the CAPEX of the

computing infrastructure of the AI Gigafactory, or to the pre-agreed guaranteed

purchase of access time to the AI Gigafactory.

9. The Governing Board of the Joint Undertaking shall determine:

(a) the conditions of the Union's access time to the AI Gigafactories,

(b) specific rules for access conditions to AI Gigafactories that concern the

allocation of access time for projects and activities considered as strategic for

the Union.

10. When determining the conditions of the Union’s access time pursuant to paragraph 9,

the Governing Board shall ensure that access shall:

(a) be granted to users residing, established or located in a Member State or in a

third country associated to the Digital Europe Programme, to Horizon Europe

or to the Connecting Europe Facility;

(b) be free of charge for the users from entities governed by public law. It shall

also be free of charge for industrial users for applications related to research

and innovation activities funded by Horizon Europe, the Digital Europe

Programme, or the Connecting Europe Facility as well as those awarded a Seal

of Excellence under Horizon Europe or the Digital Europe Programme and for

private innovation activities of SMEs and scale-ups;

(c) include reserved compute resources specifically for EU-funded research

projects, ensuring guaranteed availability and scheduling priority.

11. The Governing Board shall monitor the share of the Union’s access time for the

different types of users, defined in point (a) of paragraph 10. In case where there is a

significant imbalance in shares of access time between the different types of users

versus demand, it shall take appropriate corrective action to address this imbalance.

12. Contributions from the Union or the Participating States shall be subject to

conditions ensuring the protection of the Union's strategic interests. The specific

conditions referred to in this paragraph shall be laid down in a dedicated AI

Gigafactory Hosting Agreement between the Joint Undertaking and the AI

Gigafactory consortium. The AI Gigafactory Hosting Agreement shall be governed

by Union law, supplemented, for any matter not covered by this Regulation or by

other Union legal acts, by the law of the Member State where the hosting entity is

established. The AI Gigafactory Hosting Agreement shall:

(a) set out in detail the ownership and governance structure of the AI Gigafactory;

(b) include provisions ensuring an effective scrutiny and control of the AI

Gigafactory by the Union for safeguarding the Union’s strategic assets,

interests, autonomy or security;

(c) specify the financial contributions of the Union, of the Participating States and

the public and/or private partners of the AI Gigafactory Consortium including

the guaranteed access time to the AI Gigafactory referred to in paragraph 8, as

appropriate, and its duration;

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(d) specify, if appropriate, any other Union’s interests resulting from any Union

investments regulated by specific investment agreements between the AI

Gigafactory consortium and InvestEU;

(e) set out the eligibility conditions for the non-Union users of an AI Gigafactory;

these shall comply with the same conditions as the eligibility conditions

specified in paragraph 2;

(f) set out the detailed conditions for access for the Union users and the

accounting modalities of the access times to the AI Gigafactory services;

(g) the quality of service offered to the Joint Undertaking users when operating the

AI Gigafactory, as set out in the service level agreement included in the AI

Gigafactory Hosting Agreement;

(h) set out the modalities of acquisition, operation and use of the AI Gigafactory

data and compute infrastructure, including the user requirements from the

public sector, where appropriate; where the AI Gigafactory Consortium

includes one or more technology infrastructure suppliers, the AI Gigafactory

Hosting Agreement shall include the provision of enhanced conflict-of-interest

safeguards concerning these suppliers;

(i) the conditions for the transfer of ownership referred to in paragraph 7, where

appropriate;

(j) detail the extension of ownership or of the pre-agreed guaranteed purchased

access time, as appropriate, and the phasing out conditions for the AI

Gigafactory, where appropriate;

(k) the liability conditions for operating the AI Gigafactory, where appropriate;

(l) the obligation of the AI Gigafactory hosting entity to submit by 31 January of

each year to the Governing Board an audit report and data on the use of the

Union access time in the previous financial year;

(m) contain an arbitration clause, within the meaning of Article 272 TFEU,

granting jurisdiction over all matters covered by the hosting agreement to the

Court of Justice of the European Union.

13. The AI Gigafactory shall include a public governance body composed of

representatives from the Commission and the Participating States providing public

funding to the specific AI Gigafactory. Without prejudice to the AI Gigafactory

consortium’s management and operational autonomy, and to ensure alignment with

the public interest objectives underpinning the public funding, the following

elements shall require explicit prior approval from the designated public governance

body:

(a) Any proposed access agreements with entities from third countries that may

raise concerns regarding the Union’s strategic assets, interests, autonomy or

security;

(b) Substantial changes to the legal and financial structure or control impacting the

Union’s interests or those of the Participating States, such as a change in the

ultimate ownership or control of the AI Gigafactory, any relocation of critical

assets outside the Union or major financial restructuring decisions;

(c) Significant change in the strategic purpose of the AI Gigafactories.

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14. Following a call for expression of interest, the AI Gigafactory Consortium shall be

selected by the Governing Board of the Joint Undertaking through a fair and

transparent process, with the support of a panel of independent experts and of an

accredited financial institution appointed by the Governing Board for the evaluation,

based, inter alia, on the following criteria:

(a) Technical evaluation:

(1) Objectives and technical quality of the proposal

(2) Quality of the workplan

(3) Quality of the physical, IT and networking infrastructure

(4) Sustainability and energy efficiency

(5) Consortium experience and know-how in setting up similar large-scale

facilities.

(b) Potential Impact:

(1) Quality of service, including security and trustworthiness

(2) Impact on the European AI ecosystem

(3) EU added value.

(c) Financial Feasibility:

(1) Investment commitments of the Participating States and of the AI

Gigafactory Consortium

(2) Quality and financial viability of the proposed business model (including

a due diligence to be carried out by the appointed accredited financial

institution).

15. Where the Consortium does not include one or more technology infrastructure

suppliers, the suppliers of the AI Gigafactory shall be selected by the AI Gigafactory

Consortium based on fair and transparent tender specifications that shall take into

account general system specifications, and in particular the user requirements from

the public sector, provided by the Union in the call for expression of interest and

further specified in the AI Gigafactory Hosting Agreement. The selection shall be

based on fair, open and transparent criteria, and shall also ensure EU added value and

address the security and resilience of the supply chain. The selected tenderers shall

comply with the eligibility conditions specified in paragraph 2.

16. The Joint Undertaking may establish framework contracts for the provision of

essential and high-demand components, such as advanced AI processors. The AI

Gigafactory Consortia may use the framework contracts referred to in this paragraph

for their procurement.

(26) Article 16 is amended as follows:

(27) Paragraph 1 is replaced by the following:

Without prejudice to Article 17(9), the use of EuroHPC supercomputers shall be

open to users from the public and private sectors applications. Except for the

industrial-grade EuroHPC supercomputers, their use shall be primarily for research

and innovation purposes falling under public funding programmes, for public sector

applications and for private innovation activities of SMEs, where appropriate.

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Annex

The Annex is amended as follows:

(28) Article 3 of the Annex is amended as follows:

(29) Paragraph 2 is amended:

Any application of a Member State or a third country associated to Horizon Europe

or the Digital Europe Programme for membership of the Joint Undertaking shall be

addressed to the Governing Board. The candidate countries shall provide a written

acceptance of these Statutes, and of any other provisions governing the functioning

of the Joint Undertaking. The candidates shall also provide their motivation for

requesting membership to the Joint Undertaking and indicate how their national

supercomputing or quantum technology strategy is aligned with the Joint

Undertaking's objectives. The Governing Board shall assess the application, taking

into account the relevance and the potential added value of the candidate as regards

the achievement of the mission and objectives of the Joint Undertaking and may

decide to ask for clarifications regarding the candidature before endorsing the

application.

(30) Article 4 of the Annex is amended as follows:

(31) the following point (d) is added in paragraph 1:

(d) the Quantum Strategy Advisory Group.

(32) Article 5 of the Annex is amended as follows:

(33) the following paragraph 3 is added:

(3) For the quantum pillar of activities, the Participating States shall appoint a

representative from their competent authorities in the field of quantum technologies.

(34) Article 6 of the Annex is amended as follows:

(35) the following paragraph 5a is added:

(5a) For the tasks referred to in Article 7(4a) of these Statutes, and for each AI

Gigafactory, the voting rights of the Participating States shall be distributed in

proportion to their committed financial contributions and to their in-kind

contributions to that AI Gigafactory until the end of the AI Gigafactory hosting

agreement; the in-kind contributions shall only be taken into account if they have

been certified ex-ante by an independent expert or auditor.

For the purpose of this paragraph, decisions of the Governing Board shall be taken

by a majority of at least 75 % of all votes, including the votes of the members who

are absent.

(36) the following paragraph 6 is amended:

(6) For the tasks referred to in Article 7(5), 7(5a), 7(6) and 7(7) of these Statutes,

decisions of the Governing Board shall be taken in two stages.

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(37) Article 7 of the Annex is amended as follows:

(38) the following paragraph 4a is added:

(4a) The Governing Board shall carry out the following tasks related to the AI

Gigafactories referred to in Article 12b of this Regulation:

(a) discuss and adopt the part of the multiannual strategic programme that is

related to the establishment of AI Gigafactories referred to in Article

18(1) of these Statutes;

(b) discuss and adopt the part of the annual work programme that is related

to the establishment of AI Gigafactories and the selection of AI

Gigafactory Consortia and the corresponding expenditure estimates;

(c) approve the launch of calls for expression of interest, in accordance with

the annual work programme;

(d) approve the selection of the AI Gigafactory Consortia which will

establish and operate the AI Gigafactories;

(e) determine the conditions of the Union's access time to the AI

Gigafactories

(f) approve any tenders related to the establishment of an AI Gigafactory

selected for funding;

(g) approve framework contracts established by the EuroHPC Joint

Undertaking for the provision of essential and high-demand components

of AI Gigafactories.

(39) the following paragraph 5a is added:

(5a) For the Quantum Pillar of activities, the provisions of Article 7(5) of these

Statutes apply, with the exception of activities related to the acquisition and

operation of quantum computers where the provisions of Article 7(4) of these

Statutes apply.

(40) Article 10 of the Annex is amended as follows:

(41) paragraph 1 is amended as follows:

The Industrial and Scientific Advisory Board shall be composed of a Research and

Innovation Advisory Group, an Infrastructure Advisory Group and a Quantum

Strategy Advisory Group.

(42) the following paragraph 7 is added:

(7) The Quantum Strategy Advisory Group shall consist of no more than twelve

members, of which up to six shall be appointed by the Private Members taking into

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account their commitments to the Joint Undertaking and up to six shall be appointed

by the Governing Board, in accordance with Article 7(3)(k) of these Statutes.

(43) The following Article 12a is added:

Article 12a

Functioning of the Quantum Strategy Advisory Group

1. The Quantum Strategy Advisory Group shall meet at least twice a year.

2. The Quantum Strategy Advisory Group may appoint working groups where

necessary under the overall coordination of one or more members.

3. The Quantum Strategy Advisory Group shall elect its chair.

4. The Quantum Strategy Advisory Group shall adopt its rules of procedure, including

the nomination of the constituent entities that shall represent the Advisory Group and

the duration of their nomination.

(44) The following Article 14a is added:

Article 14a

Tasks of the Quantum Strategy Advisory Group

1. The Quantum Strategy Advisory Group shall:

(a) draw up its contribution to the draft multiannual strategic programme in

relation to quantum technologies activities referred to in Article 20 of these

Statutes and review it regularly in accordance with the evolution of scientific,

industrial, and policy demand;

(b) organise public consultations open to all public and private stakeholders having

an interest in the field of quantum technologies to inform them about, and

collect feedback on, the draft multiannual strategic programme and the related

draft activities of the quantum technologies work programme for a given year.

(c) The contribution to the draft multiannual strategic programme referred to in

paragraph 1 shall address:

(d) the strategic research, innovation, deployment, and infrastructure priorities for

the development and uptake of quantum technologies and their integration into

the European digital ecosystem, to support the Union's resilience, technological

sovereignty, and strategic autonomy while taking into account the dual-use

potential of such technologies;

(e) potential international cooperation activities in quantum technologies that add

value and are of mutual interest while ensuring alignment with Union values

and security interests

(f) training, education, and workforce development priorities for addressing key

competences and the skills gap in quantum technologies, including awareness

of security-sensitive applications

(g) the acquisition, deployment, and operation of quantum infrastructures,

including the interconnection and federation with High Performance

Computing infrastructures and other digital infrastructures such as quantum

communications and quantum sensing;

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(h) measures for capability building, interoperability, standardisation, security in

the field of quantum technologies with specific consideration of dual-use risks

and protection of the strategic assets, interests, autonomy or security of the

Union.

(45) Article 16 of the Annex is amended as follows:

Budgetary commitments of the Joint undertaking may be divided into annual

instalments. From January 2025, at least 20 % of the cumulative budget of the

residual years shall not be covered by annual instalments.

Article 40

This Regulation shall enter into force on the twentieth day following that of its publication in

the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels,

For the European Parliament

The President

For the Council

The President

EN 21 EN

EN 1 EN

LEGISLATIVE FINANCIAL AND DIGITAL STATEMENT

1. FRAMEWORK OF THE PROPOSAL/INITIATIVE ................................................. 3

1.1. Title of the proposal/initiative ...................................................................................... 3

1.2. Policy area(s) concerned .............................................................................................. 3

1.3. Objective(s) .................................................................................................................. 3

1.3.1. General objective(s) ..................................................................................................... 3

1.3.2. Specific objective(s) ..................................................................................................... 3

1.3.3. Expected result(s) and impact ...................................................................................... 3

1.3.4. Indicators of performance ............................................................................................ 3

1.4. The proposal/initiative relates to: ................................................................................. 4

1.5. Grounds for the proposal/initiative .............................................................................. 4

1.5.1. Requirement(s) to be met in the short or long term including a detailed timeline for

roll-out of the implementation of the initiative ............................................................ 4

1.5.2. Added value of EU involvement (it may result from different factors, e.g.

coordination gains, legal certainty, greater effectiveness or complementarities). For

the purposes of this section 'added value of EU involvement' is the value resulting

from EU action, that is additional to the value that would have been otherwise

created by Member States alone. ................................................................................. 4

1.5.3. Lessons learned from similar experiences in the past .................................................. 4

1.5.4. Compatibility with the multiannual financial framework and possible synergies with

other appropriate instruments ....................................................................................... 5

1.5.5. Assessment of the different available financing options, including scope for

redeployment ................................................................................................................ 5

1.6. Duration of the proposal/initiative and of its financial impact .................................... 6

1.7. Method(s) of budget implementation planned ............................................................. 6

2. MANAGEMENT MEASURES................................................................................... 8

2.1. Monitoring and reporting rules .................................................................................... 8

2.2. Management and control system(s) ............................................................................. 8

2.2.1. Justification of the budget implementation method(s), the funding implementation

mechanism(s), the payment modalities and the control strategy proposed .................. 8

2.2.2. Information concerning the risks identified and the internal control system(s) set up

to mitigate them............................................................................................................ 8

2.2.3. Estimation and justification of the cost-effectiveness of the controls (ratio between

the control costs and the value of the related funds managed), and assessment of the

expected levels of risk of error (at payment & at closure) ........................................... 8

2.3. Measures to prevent fraud and irregularities ................................................................ 9

3. ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE ............ 10

3.1. Heading(s) of the multiannual financial framework and expenditure budget line(s)

affected ....................................................................................................................... 10

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3.2. Estimated financial impact of the proposal on appropriations ................................... 12

3.2.1. Summary of estimated impact on operational appropriations.................................... 12

3.2.1.1. Appropriations from voted budget ............................................................................. 12

3.2.1.2. Appropriations from external assigned revenues ....................................................... 17

3.2.2. Estimated output funded from operational appropriations......................................... 22

3.2.3. Summary of estimated impact on administrative appropriations ............................... 24

3.2.3.1. Appropriations from voted budget .............................................................................. 24

3.2.3.2. Appropriations from external assigned revenues ....................................................... 24

3.2.3.3. Total appropriations ................................................................................................... 24

3.2.4. Estimated requirements of human resources.............................................................. 25

3.2.4.1. Financed from voted budget....................................................................................... 25

3.2.4.2. Financed from external assigned revenues ................................................................ 26

3.2.4.3. Total requirements of human resources ..................................................................... 26

3.2.5. Overview of estimated impact on digital technology-related investments ................ 28

3.2.6. Compatibility with the current multiannual financial framework.............................. 28

3.2.7. Third-party contributions ........................................................................................... 28

3.3. Estimated impact on revenue ..................................................................................... 29

4. DIGITAL DIMENSIONS .......................................................................................... 29

4.1. Requirements of digital relevance .............................................................................. 30

4.2. Data ............................................................................................................................ 30

4.3. Digital solutions ......................................................................................................... 31

4.4. Interoperability assessment ........................................................................................ 31

4.5. Measures to support digital implementation .............................................................. 32

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1. FRAMEWORK OF THE PROPOSAL/INITIATIVE

1.1. Title of the proposal/initiative

Amendment of the Council Regulation on establishing the European High

Performance Computing Joint Undertaking

1.2. Policy area(s) concerned

Research and Innovation & European Strategic Investments

A Europe fit for the Digital Age

(Advanced Computing - Horizon Europe Cluster 4, Digital, Industry and Space

High Performance Computing – DEP Strategic Objective 1 – Connecting Europe

Facility - Digital)

1.3. Objective(s)

1.3.1. General objective(s)

To boost the available supercomputing capacity in support of the objectives of the AI

Continent Action Plan by enabling the establishment and deployment of AI

Gigafactories across the EU.

To allow implementing the EU quantum strategy vision to transform Europe into a

quantum industrial powerhouse and a global market leader in quantum technologies,

while maintaining its scientific leadership.

1.3.2. Specific objective(s)

Specific objective No 1

To enable the establishment of ultra-scale AI compute infrastructure facilities (AI

Gigafactories), including the required data storage infrastructure facilities, capable of

supporting the development, training, and deployment of very large AI models and

applications at an unprecedented scale (e.g., AI models in the order of hundreds of

trillions of parameters).

To deliver massive computing power for AI workloads, far surpassing that of the

largest existing EuroHPC AI Factory supercomputers, through the integration of

energy-efficient data centres, high-speed network connectivity, and resilient energy

infrastructure essential for operating AI Gigafactories.

Specific objective No 2

To strengthen capabilities across the entire quantum value chain (components,

devices, and systems) and quantum infrastructure capacities and address

fragmentation between current European and national initiatives to reinforce

Europe’s quantum technological sovereignty and economic security.

1.3.3. Expected result(s) and impact

Specify the effects which the proposal/initiative should have on the beneficiaries/groups targeted.

AI Gigafactories will provide the missing native world-class AI data and compute

infrastructure for European innovators (startups, scaleups, industry), researchers and

stakeholders from the public sector. They will strengthen the competitiveness and

innovation capacity of the European industry, by enabling the development of

advanced large-scale AI models and solutions for many different industrial use cases

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and application sectors. These AI Gigafactories will lay the foundation for truly

sovereign European AI, empowering the development of advanced models trained on

European data, governed by EU laws, and built within a trusted, secure, and ethical

framework that embodies European values.

A more integrated European approach covering all quantum technologies will

strengthen Europe’s global competitiveness and technological sovereignty, secure its

leadership in quantum technologies, help strengthen and further develop a thriving

European quantum startup ecosystem to scaleup and enhance its capacity to compete

internationally and set international standards.

1.3.4. Indicators of performance

Specify the indicators for monitoring progress and achievements.

– The number of AI Gigafactories deployed [by 2027].

– Deployment of quantum computers demonstrating quantum advantage

deployed by 2030, marking a key milestone in Europe’s technological

sovereignty.

– The number of jobs that will be created in the quantum technologies sector by

2030, supporting the development of a strong and competitive European

ecosystem.

– The number of quantum solutions that will be deployed in different

applications and use cases by 2030, with a clear impact orientation across basic

and applied science, industry, and the public sector.

1.4. The proposal/initiative relates to:

 a new action

 a new action following a pilot project / preparatory action12

 the extension of an existing action

 a merger or redirection of one or more actions towards another/a new action

1.5. Grounds for the proposal/initiative

1.5.1. Requirement(s) to be met in the short or long term including a detailed timeline for

roll-out of the implementation of the initiative

The Commission launched a non-binding call for expressions of interest for AI

Gigafactories on 9 April 2025, with a submission deadline of 20 June (see

https://eurohpc-ju.europa.eu/document/download/47492db7-592e-4ad8-b672-

9c822f94afa0_en?filename=AI%20GIGAFACTORIES%20CONSULTATION.pdf).

The call aims to gather ideas from across Europe, identify potential consortia, and

inform the development of a robust AI Gigafactory framework. After the deadline,

the Commission will initiate structured discussions with selected proponents and

their supporting Member States to help mature their proposals. The target is to

launch the official call on AI Gigafactories under the EuroHPC Joint Undertaking

before end 2025. Therefore the amended Regulation should be in force by then to

enable the launch of the call.

12 As referred to in Article 58(2), point (a) or (b) of the Financial Regulation.

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To initiate the implementation of the quantum Europe strategy, the Commission

will launch the first targeted actions in the quantum domain in the short term. These

initial steps will set the foundation and create momentum for the broader deployment

of the strategy. The scope and scale of activities will then be progressively expanded

and intensified in alignment with the anticipated adoption, in 2026, of the Quantum

Act, ensuring full compliance and maximising opportunities once the Act is in force.

1.5.2. Added value of EU involvement (it may result from different factors, e.g.

coordination gains, legal certainty, greater effectiveness or complementarities). For

the purposes of this section 'added value of EU involvement' is the value resulting

from EU action, that is additional to the value that would have been otherwise

created by Member States alone.

Reasons for action at EU level (ex-ante)

The AI Gigafactory initiative is a natural candidate for coordinated European action,

aligning with the EuroHPC JU strategy and leveraging the most suitable EU legal

instruments for implementation. Due to the magnitude of the initiative, on the scale

of three to five billion euros per individual AI Gigafactory, only by acting at the EU

level can Europe pool resources, expertise, and funding to generate the critical mass

required for acquiring next-generation AI data and compute infrastructure. This level

of ambition cannot be achieved through fragmented national efforts alone. The AI

Gigafactory framework provides a unique opportunity to consolidate Europe’s

strategic capabilities in AI, energy-efficient infrastructure, and sovereign AI

development, ensuring that Europe remains competitive and at the forefront of global

AI innovation.

Concerning quantum technologies, Europe is currently at a critical juncture in the

global quantum technology race: The EU and the Member States have demonstrated

strong political commitment, most recently through the 2023 European Declaration

on Quantum Technologies and benefit from world-class scientific excellence.

However, the research landscape in Europe is fragmented, with the Union and

several Member States having their own, uncoordinated research programmes. In

addition, the European quantum ecosystem remains fragile and highly fragmented. It

is dominated by small startups and scale-ups that face significant barriers to growth,

as they lack stable revenue streams, struggle to access capital, and must navigate a

limited industrial demand. Many risk vanishing or relocating to more supportive

ecosystems outside Europe. A cooperation framework between the EU and the

Member States is needed to ensure a coherent and effective coordination across

quantum research and innovation national and European activities, industrial

ecosystem and infrastructure development or skills.

Expected generated EU added value (ex-post)

AI Gigafactories:

– Enhanced coordination and pooling of large scale European, national and

industrial investments in deploying AI Gigafactories for European researchers,

entrepreneurs, industries, and the public sector that is unattainable by

individual Member States and European companies to propel the EU to the AI

forefront globally.

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– Improved access for European industrial innovators (startups, scaleups and

large industry), public sector stakeholders and researchers to world-class AI

data and compute infrastructure resources for stimulating the development in

Europe of state of the art, ultra large-scale AI models and AI solutions tailored

to the needs of different industrial sectors, public authorities and scientific

disciplines.

– Support the EU’s AI industrial and research ecosystem by bringing together

key AI data and compute infrastructure resources they need to develop ultra

large scale generative trustworthy AI models and applications.

– Strengthening the innovation potential and productivity of the European

industry, by enabling the development of entirely new AI solutions for a wide

range of use cases and industrial application sectors, thus ensuring the EU's

competitiveness and sovereignty as an AI continent.

Quantum Technologies:

– Coordinated efforts in quantum technologies at EU level, in partnership with

Member States, to accelerate the further development and deployment of

quantum technologies, avoiding duplication and fragmentation.

– Alignment and pooling of EU, national, and industrial investments in quantum

technologies.

– Provision of state-of-the-art quantum computing, sensing and communication

infrastructures that would be unattainable by individual Member States and

companies, reinforcing Europe’s strategic autonomy.

– Creation of a coherent and resilient European quantum ecosystem, integrating

supply chains, standardisation activities, and quantum-ready skills

development.

– Increased access for European researchers, start-ups, and industries to

advanced quantum infrastructures and testbeds, supporting innovation and

competitiveness.

– Strengthened global positioning of the EU in key areas such as quantum

computing, quantum communication, and quantum sensing, aligned with long-

term EU strategic goals.

1.5.3. Lessons learned from similar experiences in the past

– The AI Factories initiative launched in 2024, which required targeted

amendments to the EuroHPC Joint Undertaking Regulation Nr 2021/1173,

amended by the Regulation (EU) 2024/1732, has been a huge success,

demonstrating the strong commitment and support of Member States. Several

key lessons learned can be leveraged to ensure continued progress and impact:

– Reinforce the strategic significance of AI Gigafactories by highlighting their

potential to drive EU-wide innovation, as demonstrated by the AI Factories

initiative.

– Build on the strong commitment and support from Member States, as seen in

the AI Factories initiative, to ensure success in the AI Gigafactories initiative.

– Utilise the momentum from the AI Factories to attract and secure significant

funding, engaging public and private sectors.

EN 7 EN

– Capitalise on the interest from technology firms, data centre integrators, energy

providers, and major investment funds to integrate public-private partnerships,

boosting resources and innovation.

Drawing on lessons from past EuroHPC JU and Quantum integration, several key

takeaways can guide the successful implementation of the AI Gigafactories and

Quantum Technologies framework:

– Avoid fragmentation by establishing a coherent governance and investment

structure that enables coordinated action between the EU and Member States,

ensuring a unified approach to quantum-HPC development.

– Facilitate joint procurement mechanisms to pool resources and accelerate the

deployment of world-class quantum infrastructure, while maximising

efficiency and return on investment across Europe.

– Incentivise the uptake of EU-developed quantum technologies by aligning

industrial policy tools, legal frameworks, and funding instruments to create a

favourable environment for domestic innovation, scaling, and market adoption.

– Support the development of a secure and competitive European quantum-HPC

ecosystem through strategic coordination across research, infrastructure, and

industrial actors, ensuring long-term resilience and technological sovereignty.

1.5.4. Compatibility with the multiannual financial framework and possible synergies with

other appropriate instruments

There are clear complementarities and synergies with Horizon Europe clusters and

missions, including synergies with big data, robotics, and AI, as well as the Chips

Joint Undertaking, which together support Europe’s technological sovereignty.

EuroHPC JU also supports cross-cutting initiatives such as e-Health and the Digital

Twin of the Human Body, where advanced computing power is essential.

In parallel, links with the Destination Earth (DestinE), and synergies in the Digital

Europe Programme (DEP) – particularly in areas such as AI, cybersecurity, and

advanced digital skills – further reinforce the added value of EuroHPC’s integrated

role.

The use of AI Gigafactories for developing AI for space and dual-use applications

and the dual use character of quantum technologies means that respective

breakthroughs can also benefit strategic European space, security and defence

applications that are under development by the different European and national

space, security and defence programmes.

Through coordinated implementation and alignment with these initiatives and

programmes, the enhanced EuroHPC Joint Undertaking can play a central role in

amplifying Europe's digital capabilities, ensuring coherence, impact, and

sustainability across the EU’s research and innovation landscape.

1.5.5. Assessment of the different available financing options, including scope for

redeployment

The management of the action areas proposed for EuroHPC Joint Undertaking aligns

well with its existing mandate and operational scope. While these areas may require

specific expertise or new assignments, the Joint Undertaking has the capacity to

absorb them through efficient reallocation of resources and strategic alignment of

ongoing activities. The EuroHPC Joint Undertaking is already effectively

EN 8 EN

implementing the European HPC strategy, including the deployment of high-

performance and quantum computing and AI infrastructures (such as AI Factories),

R&D initiatives, and connectivity-related actions. Its strong performance in these

areas has delivered valuable insights, which have directly informed the preparation

of this Regulation. This track record demonstrates that the EuroHPC Joint

Undertaking is well positioned to take on an expanded role in support of Europe's AI

Gigafactories and quantum technology ambitions.

1.6. Duration of the proposal/initiative and of its financial impact

limited duration

–  in effect from 01/01/2021 to 31/12/2033

–  financial impact from 2021 to 2027 for commitment appropriations and from

2021 to 2033 for payment appropriations.

 unlimited duration

– Implementation with a start-up period from YYYY to YYYY,

– followed by full-scale operation.

1.7. Method(s) of budget implementation planned13

 Direct management by the Commission

–  by its departments, including by its staff in the Union delegations;

–  by the executive agencies

 Shared management with the Member States

 Indirect management by entrusting budget implementation tasks to:

–  third countries or the bodies they have designated

–  international organisations and their agencies (to be specified)

–  the European Investment Bank and the European Investment Fund

–  bodies referred to in Articles 70 and 71 of the Financial Regulation

–  public law bodies

–  bodies governed by private law with a public service mission to the extent that

they are provided with adequate financial guarantees

–  bodies governed by the private law of a Member State that are entrusted with

the implementation of a public-private partnership and that are provided with

adequate financial guarantees

–  bodies or persons entrusted with the implementation of specific actions in the

common foreign and security policy pursuant to Title V of the Treaty on

European Union, and identified in the relevant basic act

– bodies established in a Member State, governed by the private law of a

Member State or Union law and eligible to be entrusted, in accordance with

13 Details of budget implementation methods and references to the Financial Regulation may be found on

the BUDGpedia site: https://myintracomm.ec.europa.eu/corp/budget/financial-rules/budget-

implementation/Pages/implementation-methods.aspx.

EN 9 EN

sector-specific rules, with the implementation of Union funds or budgetary

guarantees, to the extent that such bodies are controlled by public law bodies or

by bodies governed by private law with a public service mission, and are provided

with adequate financial guarantees in the form of joint and several liability by the

controlling bodies or equivalent financial guarantees and which may be, for each

action, limited to the maximum amount of the Union support.

Comments

N/A

EN 10 EN

2. MANAGEMENT MEASURES

2.1. Monitoring and reporting rules

The activities of the EuroHPC Joint Undertaking are subject to continuous

monitoring and periodic reviews in accordance with its financial rules, to ensure both

the highest impact and excellence, as well as the most efficient use of resources. The

outcomes of monitoring and periodic reviews shall feed into the evaluations of the

Joint Undertaking as part of Horizon Europe evaluations as specified in Article 47 of

Regulation establishing Horizon Europe.

In addition, the Commission will undertake a final evaluation with the assistance of

independent experts to examine how the Joint Undertaking fulfils its mission

according to its economic, technological, scientific, societal and policy objectives,

and evaluate the effectiveness, efficiency, relevance, coherence, and Union added

value of its activities as part of Horizon Europe. The evaluation will assess its

synergies and complementarities with relevant European, national and, where

relevant, regional initiatives, including synergies with other parts of Horizon Europe

(such as missions, clusters or thematic/specific programmes). Impacts achieved at

Union and national level, taking into account the component of synergies and policy

retrofitting will be given particular attention.

2.2. Management and control system(s)

2.2.1. Justification of the budget implementation method(s), the funding implementation

mechanism(s), the payment modalities and the control strategy proposed

The Commission's internal auditor shall exercise the same powers over the Joint

Undertaking as those exercised in respect of the Commission. Moreover, the

Governing Board may arrange, as appropriate, for the establishment of an internal

audit capability of the Joint Undertaking.

In compliance with Article 157 of Regulation (EU, Euratom) No 2024/2509, the

Joint Undertaking will respect the principles of sound financial management,

transparency and non-discrimination and will guarantee a level of protection of the

financial interests of its members equivalent to that required under that Regulation.

Ex-post audits of expenditure on indirect actions will be carried out in compliance

with the Horizon Europe, Digital Europe and Connecting Europe Framework

Programme.

In order to protect the financial interests of the Union, the Commission will in

compliance with the Financial Regulation supervise the activities of the EuroHPC

Joint Undertaking, in particular by carrying out audits and evaluations on the

programme implementation, apply procedures for the examination and acceptance of

the accounts and exclude from Union financing expenditure disbursements which

have been made in breach of the applicable rules. It may also suspend and interrupt

payments if it detects financial or administrative irregularities.

2.2.2. Information concerning the risks identified and the internal control system(s) set up

to mitigate them

The main risks identified so far are i) the low contribution of Participating States to

the budget, ii) in-kind contribution by private members (IKOP) to meet their

minimum contribution target.

EN 11 EN

i) In 2024, EuroHPC Joint Undertaking significantly improved the execution of its

administrative budget, reaching 95% in commitments and 80% in payments—an

improvement expected to address past audit findings. While operational payments

also increased substantially (from 19% to 59%), commitment execution declined

(from 83% to 72%), meaning audit concerns may persist for the operational budget.

This was mainly due to the impact of the amended Regulation (EU) 2024/1732,

which required a reprioritisation of the 2024 Work Programme to accommodate the

new AI initiative. As a result, funding sources were reassessed, unused credits

reallocated, and some planned activities postponed to 2025–2027.

ii) The European Court of Auditors (ECA) continues to reference the European

Parliament's concerns about consistently lower-than-targeted IKOP contributions.

Due to the 50/50 co-funding requirement between EU and national public funds – not

private members – the current IKOP model cannot realistically meet the EUR 900

million target set in the 2021 Regulation. As a result, both the Parliament and ECA

have called on the Commission to reassess the feasibility of these targets. While this

structural funding issue is beyond the Joint Undertaking’s mandate, the Joint

Undertaking remains committed to supporting the Commission and has engaged an

external consultant to improve IKOP monitoring and reporting within existing

constraints.

It is to be noted that the large private investments expected to take place for the

deployment of AI Gigafactories (of the order of several billions of Euros) will

drastically improve the current IKOP model and are expected to overcome by far the

set target of EUR 900 million. To a large extent, the same private investment logic

will apply to the further development of quantum technologes under the Joint

Undertaking’s responsibility.

2.2.3. Estimation and justification of the cost-effectiveness of the controls (ratio between

the control costs and the value of the related funds managed), and assessment of the

expected levels of risk of error (at payment & at closure)

As part of the Joint Undertakings created under Horizon Europe, the EuroHPC Joint

Undertaking will be part of the audit strategy of the Commission. In particular, the

indirect actions implemented by the Joint Undertaking will be monitored by the CIC

to ensure an error rate at the same level as the other actions funded under Horizon

Europe.

2.3. Measures to prevent fraud and irregularities

The Commission or its representatives and the Court of Auditors have the power of

audit, on the basis of documents and on-the-spot, over all grant beneficiaries,

contractors and subcontractors who receive EU funds. The EuroHPC has been

subject of regular ECA audits

The European Anti-fraud Office (OLAF) and the European Public Prosecutor's

Office (EPPO) may also carry out investigations, including on-the-spot checks and

inspections in accordance with the provisions and procedures laid down in Council

Regulation (Euratom, EC) No 2185/9614 and Regulation (EC, Euratom) No 883/2013

14 Council Regulation (Euratom, EC) No 2185/96 of 11 November 1996 concerning on-the-spot checks

and inspections carried out by the Commission in order to protect the European Communities’ financial

interests against fraud and other irregularities (OJ L 292, 15.11.1996, p. 2).

EN 12 EN

of the European Parliament and of the Council15, with a view to establishing whether

there has been fraud, corruption or any other illegal activity affecting the financial

interests of the European Union in connection with a grant agreement or a contract

concerning EU funding.

Without prejudice to the above, grant agreements and contracts resulting from the

implementation of this Regulation shall expressly empower the Commission, the

Court of Auditors and OLAF to conduct such audits, on-the-spot checks and

inspections.

15 Regulation (EU, Euratom) No 883/2013 of the European Parliament and of the Council of 11

September 2013 concerning investigations conducted by the European Anti-Fraud Office (OLAF) and

repealing Regulation (EC) No 1073/1999 of the European Parliament and of the Council and Council

Regulation (Euratom) No 1074/1999 (OJ L 248, 18.9.2013, p. 1).

EN 13 EN

3. ESTIMATED FINANCIAL IMPACT OF THE PROPOSAL/INITIATIVE

3.1. Heading(s) of the multiannual financial framework and expenditure budget

line(s) affected

• Existing budget lines

In order of multiannual financial framework headings and budget lines.

Heading of

multiannual

financial

framework

Budget line Type of

expenditure Contribution

Heading 1

Single Market, Innovation and Digital

Diff./Non-

diff.16

from

EFTA

countries 17

from

candidate

countries

and

potential

candidates 18

From

other

third

countries

other assigned

revenue

01 02 02 42 01 – HE - Cluster Digital,

Industry and Space — High-Performance

Computing Joint Undertaking (EuroHPC)

Support expenditure

Diff. YES YES YES YES

01 02 02 42 02 – HE - Cluster Digital,

Industry and Space — High-Performance

Computing Joint Undertaking (EuroHPC)

Operational expenditure

Diff. YES YES YES YES

02 04 02 11 01 – DEP - High-

Performance Computing Joint

Undertaking (EuroHPC) Support

expenditure

Diff. YES YES YES YES

02 04 02 11 02 – DEP - High-Performance

Computing Joint Undertaking (EuroHPC)

Support expenditure

Diff. YES YES YES YES

02 03 03 – CEF Digital Diff. NO YES YES YES

16 Diff. = Differentiated appropriations / Non-diff. = Non-differentiated appropriations. 17 EFTA: European Free Trade Association. 18 Candidate countries and, where applicable, potential candidates from the Western Balkans.

EN 14 EN

3.2. Estimated financial impact of the proposal on appropriations

3.2.1. Summary of estimated impact on operational appropriations

–  The proposal/initiative does not require the use of operational appropriations

– The proposal/initiative requires the use of operational appropriations, as explained below

3.2.1.1. Appropriations from voted budget and including EFTA appropriations

EUR million (to three decimal places)

Heading of multiannual financial framework 1 1 - Single Market, Innovation and Digital

The proposal will not increase the total level of expenditure programmed under Heading 1 of the Multiannual Financial Framework 2021-2027.

Indeed, the additional Union contribution, including EFTA to the EuroHPC JU will be pooled from the Horizon Europe Programme, the Digital

Europe Programme and the Connecting Europe Facility - Digital Programme (CEF – Digital).

This additional contribution will be financed by:

i. an internal redeployment of the current envelope of the Digital Europe Programme,

ii. an internal redeployment of the current envelope of the Horizon Europe Programme,

iii. an internal redeployment of the current envelope of the Connecting Europe Facility – Digital Programme,

The summary tables below provides a full overview of all sources of funding.

EUR million (to three decimal places)

Operational appropriations reallocated

within Digital Europe

2025 2026 2027 TOTAL

02 04 01 11 - Digital Europe programme –

Cybersecurity Competenc Centre Commitments (1a) 15,000 16,000 31,000

TOTAL appropriations reallocated

within Digital Europe Commitments =1a 15,000 16,000 31,000

EN 15 EN

Operational appropriations reallocated

within CEF – Digital

2025 2026 2027 TOTAL

02 03 03 01 – CEF Digital Commitments (1a) 100,000 100,000

TOTAL appropriations reallocated

within CEF- Digital Commitments =1a 100,000 100,000

Operational appropriations reallocated

within Horizon Europe

2025 2026 2027 TOTAL

01 02 01 03 – Research Infrastructures Commitments (1a)

100,000 100,000

01 02 02 10 – Cluster Health Commitments (1a)

19,685 24,029 43,714

01 02 02 11.02 - Innovative Health Initiative

Joint Undertaking - operational budget

Commitments (1a)

6,145 4,194 10,339

01 02 02 12.02-Global Health EDCTP3 Joint

Undertaking - operational budget

Commitments (1a)

4,538 2,275 6,813

01 02 02 20- Cluster Culture, Creativity and

Inclusive Society

Commitments (1a)

10,276 9,823 20,099

01 02 02 30-Cluster Civil Security for Society Commitments (1a)

23,758 3,452 27,210

01 02 02 40 - Cluster Digital, Industry and

Space

Commitments (1a)

282,614 22,457 305,071

01 02 02 42.02 - CHIPS Joint Undertaking Commitments (1a)

10,494 9,997 20,490

01 02 02 43.02 -Smart Networks and Services

Joint Undertaking - operational budget

Commitments (1a)

3,950 3,868 7,818

EN 16 EN

01 02 02 50-Cluster Climate, Energy and

Mobility

Commitments (1a)

53,784 46,433 100,217

01 02 02 51.02- Single European Sky ATM

Research 3 Joint Undertaking – operational

budget

Commitments (1a)

2,842 3,136 5,978

01 02 02 52.02-Clean Aviation Joint

Undertaking - operational budget

Commitments (1a)

3,853 11,773 15,626

01 02 02 53.02-Europe’s Rail Joint

Undertaking - operational budget

Commitments (1a)

2,404 1,728 4,131

01 02 02 54.02-Clean Hydrogen Joint

Undertaking - operational budget

Commitments (1a)

4,016 4,561 8,578

01 02 02 60- Cluster Food, Bioeconomy,

Natural Resources, Agriculture and

Environment

Commitments (1a)

37,152 37,478 74,629

01.020261.02-Circular Bio-based Europe Joint

Undertaking - operational budget Commitments

(1a)

4,488 4,797 9,286

TOTAL appropriations reallocated

within Horizon Europe Commitments =1a 570,000 190,000 760,000

EN 17 EN

====================================================================================================

EU contribution to the EuroHPC Joint Undertaking

EUR million (to three decimal places)

Joint Undertaking 2025 2026 2027 Post 2027 TOTAL

Title 3 Commitments (3a) 115,000 586,000 190,000 891,000

Payments (3b) 210,000 681,000 891,000

TOTAL additional appropriations for

Joint Undertaking Commitments

=1+1

a +3a 115,000 586,000 190,000 891,000

Payments =2+2

a+3b 210,000 681,000 891,000

EUR million (to three decimal places)

Joint Undertaking 2021 2022 2023 2024 2025 2026 2027 Post 2027 TOTAL

Human Resources[1] - 1,486 4,721 6,695 6,829 6,966 42,425 69,122

Other administrative expenditure - 2,031 1,713 1,747 1,782 1,818 13,786 22,878

TOTAL DG Appropriations 3,517 6,434 8,443 8,612 8,784 56,211 92,000

[1] Covering the administration of HE and DEP actions. The FTE costs are determined on the basis of the average yearly cost of TA (EUR 152 000) and CA (EUR 82

000) staff.

EN 18 EN

Heading of multiannual financial framework 7 ‘Administrative expenditure’19

§EUR million (to three decimal places)

DG CNECT 10 FTE STATUTORY AD, 2 FTE AC) 2021 2022 2023 2024 2025 2026 2027 Post 2027 TOTAL

Human resources [1] 0,772 0,787 0,803 0,819 0,836 2,082 2,082 6,246 14,427

Other administrative expenditure p.m p.m p.m p.m p.m p.m p.m p.m p.m

TOTAL appropriations under

HEADING 7 of the multiannual financial

framework

(Total

commitments =

Total payments) 0,772 0,787 0,803 0,819 0,836 2,082 2,082 6,246 14,427

3.2.2. Estimated output funded from operational appropriations (not to be completed for decentralised agencies)

Commitment appropriations in EUR million (to three decimal places)

Indicate

objectives and

outputs



Year 2024

Year 2025

Year 2026

Year 2027

Enter as many years as necessary to show the

duration of the impact (see Section1.6) TOTAL

OUTPUTS

Type20

Avera

ge

cost

N o

Cost N o

Cost N o

Cost N o

Cost N o

Cost N o

Cost N o

Cost Total

No

Total

cost

SPECIFIC OBJECTIVE No 121…

19 The necessary appropriations should be determined using the annual average cost figures available on the appropriate BUDGpedia webpage. 20 Outputs are products and services to be supplied (e.g. number of student exchanges financed, number of km of roads built, etc.). 21 As described in Section 1.3.2. ‘Specific objective(s)’

EN 19 EN

- Output

- Output

- Output

Subtotal for specific objective No 1

SPECIFIC OBJECTIVE No 2 ...

- Output

Subtotal for specific objective No 2

TOTALS

EN 20 EN

3.2.3. Summary of estimated impact on administrative appropriations

–  The proposal/initiative does not require the use of additional appropriations of

an administrative nature

–  The proposal/initiative requires the use of appropriations of an administrative

nature, as explained below

3.2.3.1. Appropriations from voted budget

VOTED APPROPRIATIONS Year Year Year Year TOTAL

2021 - 2027 2024 2025 2026 2027

HEADING 7

Human resources 0.819 0.836 2.082 2.082 5.819

Other administrative expenditure 0.000 0.000 0.000 0.000 0.000

Subtotal HEADING 7 0.000 0.000 0.000 0.000 0.000

Outside HEADING 7

Human resources 0.000 0.000 0.000 0.000 0.000

Other expenditure of an administrative nature 0.000 0.000 0.000 0.000 0.000

Subtotal outside HEADING 7 0.000 0.000 0.000 0.000 0.000

TOTAL 0.819 0.836 2.082 2.082 5.819

The appropriations required for human resources and other expenditure of an administrative nature

will be met by appropriations from the DG that are already assigned to management of the action

and/or have been redeployed within the DG, together, if necessary, with any additional allocation

which may be granted to the managing DG under the annual allocation procedure and in the light of

budgetary constraints.

3.2.4. Estimated requirements of human resources

–  The proposal/initiative does not require the use of human resources

–  The proposal/initiative requires the use of human resources, as explained

below

EN 21 EN

3.2.4.1. Estimated impact on Commission human resources - Financed from voted budget

Estimate expressed in full-time equivalent units (FTEs)22

VOTED APPROPRIATIONS Year Year Year Year

2024 2025 2026 2027

 Establishment plan posts (officials and temporary staff)

20 01 02 01 (Headquarters and Commission’s Representation Offices) 4 4 10 10

20 01 02 03 (EU Delegations) 0 0 0 0

01 01 01 01 (Indirect research) 0 0 0 0

01 01 01 11 (Direct research) 0 0 0 0

Other budget lines (specify) 0 0 0 0

• External staff (inFTEs)

20 02 01 (AC, END from the ‘global envelope’) 2 2 2 2

20 02 03 (AC, AL, END and JPD in the EU Delegations) 0 0 0 0

Admin. Support

line

[XX.01.YY.YY]

- at Headquarters 0 0 0 0

- in EU Delegations 0 0 0 0

01 01 01 02 (AC, END - Indirect research) 0 0 0 0

01 01 01 12 (AC, END - Direct research) 0 0 0 0

Other budget lines (specify) - Heading 7 0 0 0 0

Other budget lines (specify) - Outside Heading 7 0 0 0 0

TOTAL 6 6 12 12

Considering the overall strained situation in Heading 7, in terms of both staffing and the level

of appropriations, the human resources required will be met by staff from the DG who are

already assigned to the management of the action and/or have been redeployed within the DG

or other Commission services.

22 Please specify below the table how many FTEs within the number indicated are already assigned to the

management of the action and/or can be redeployed within your DG and what are your net needs.

EN 22 EN

The staff required to implement the proposal (in FTEs):

To be covered by

current staff

available in the

Commission

services

Exceptional additional staff*

To be financed under

Heading 7 or

Research

To be financed

from BA line

To be financed

from fees

Establishment

plan posts

10 N/A

External staff

(CA, SNEs, INT)

2

Description of tasks to be carried out by:

Officials and temporary staff

External staff

3.2.4.2. Estimated impact on JU’s human resources - Financed from voted budget

There is no additional requirements in terms of human resources in the JU. Below it is

included only for reference the requirements in human resources mentioned in the previous

LFS.

Year

2025

Year

2026

Year

2027 Post 2027 TOTAL

Officials (AD

Grades)

Officials

(AST

grades)

Contract

staff 27 27 27 27 27

Temporary

staff 27 27 27 27 27

Seconded

National

Experts

TOTAL 54 54 54 54 54

Year

2025

Year

2026

Year

2027 Post 2027 TOTAL

Officials (AD

Grades)

Officials

(AST

EN 23 EN

grades)

Contract

staff 2,303 2,350 2,397 24,914 36,129

Temporary

staff 4,744 4,839 4,936 10,678 34,358

Seconded

National

Experts

TOTAL 7,048 7,189 7,332 35,592 70,487

3.2.5. Overview of estimated impact on digital technology-related investments

Compulsory: the best estimate of the digital technology-related investments entailed

by the proposal/initiative should be included in the table below.

Exceptionally, when required for the implementation of the proposal/initiative, the

appropriations under Heading 7 should be presented in the designated line.

The appropriations under Headings 1-6 should be reflected as “Policy IT expenditure

on operational programmes”. This expenditure refers to the operational budget to be

used to re-use/ buy/ develop IT platforms/ tools directly linked to the implementation

of the initiative and their associated investments (e.g. licences, studies, data storage

etc). The information provided in this table should be consistent with details

presented under Section 4 “Digital dimensions”.

TOTAL Digital and IT appropriations

Year Year Year Year TOTAL

MFF

2021 -

2027 2024 2025 2026 2027

HEADING 7

IT expenditure (corporate) 0.000 0.000 0.000 0.000 0.000

Subtotal HEADING 7 0.000 0.000 0.000 0.000 0.000

Outside HEADING 7

Policy IT expenditure on operational programmes

0.000 0.000 0.000 0.000 0.000

Subtotal outside HEADING 7 0.000 0.000 0.000 0.000 0.000

TOTAL 0.000 0.000 0.000 0.000 0.000

EN 24 EN

3.2.6. Compatibility with the current multiannual financial framework

The proposal/initiative:

–  can be fully financed through redeployment within the relevant heading of the

Multiannual Financial Framework (MFF).

EUR million (to three decimal places)

From line

Amount

(EUR

million)

To Line

01 02 01 03 Research infrastructures 100,000 01 02 02 41

01 02 02 10 Cluster Health 43,714 01 02 02 41

01 02 02 11.02 Innovative Health Initiative Joint Undertaking - operational budget 10,339 01 02 02 41

01 02 02 12.02 Global Health EDCTP3 Joint Undertaking - operational budget 6,813 01 02 02 41

01 02 02 20 Cluster Culture, Creativity and Inclusive Society 20,099 01 02 02 41

01 02 02 30 Cluster Civil Security for Society 27,210 01 02 02 41

01 02 02 40 Cluster Digital, Industry and Space 305,071 01 02 02 41

01 02 02 42.02 CHIPS Joint Undertaking 20,491 01 02 02 41

01 02 02 43.02 Smart Networks and Services Joint Undertaking - operational budget 7,818 01 02 02 41

01 02 02 50 Cluster Climate, Energy and Mobility 100,217 01 02 02 41

01 02 02 51.02 Single European Sky ATM Research 3 Joint Undertaking - operational budget 5,978 01 02 02 41

01 02 02 52.02 Clean Aviation Joint Undertaking - operational budget 15,626 01 02 02 41

01 02 02 53.02 Europe’s Rail Joint Undertaking - operational budget 4,131 01 02 02 41

01 02 02 54.02 Clean Hydrogen Joint Undertaking - operational budget 8,578 01 02 02 41

01 02 02 60 Cluster Food, Bioeconomy, Natural Resources, Agriculture and Environment 74,629 01 02 02 41

01.020261.02 Circular Bio-based Europe Joint Undertaking - operational budget 9,286 01 02 02 41

Subtotal HE Horizon Europe Programme 760,000

02 03 03 01 Connecting Europe Facility (CEF) — Digital 100,000 02 03 03 02

Subtotal CEF Connecting Europe Facility (CEF) 100,000

02 04 01 11 Digital Europe programme - European Cybersecurity

Competence Centre 31,000 02 04 02 11

Subtotal DEP Digital Europe programme 31,000

Total 891,000

3.2.7. Third-party contributions

The proposal/initiative:

–  does not provide for co-financing by third parties

–  provides for the co-financing by third parties estimated below:

Participating States are expected to contribute an amount that is at least matching the Union

contribution referred to in Article 5(1), first sub-paragraph.

EN 25 EN

3.3. Estimated impact on revenue

– The proposal/initiative has no financial impact on revenue.

–  The proposal/initiative has the following financial impact:

–  on own resources

–  on other revenue

–  please indicate, if the revenue is assigned to expenditure lines

EUR million (to three decimal places)

Budget revenue line:

Appropriations

available for the

current financial

year

Impact of the proposal/initiative23

Year 2024 Year 2025 Year 2026 Year 2027

Article ………….

For assigned revenue, specify the budget expenditure line(s) affected.

Other remarks (e.g. method/formula used for calculating the impact on revenue or

any other information).

4. DIGITAL DIMENSIONS

N/A

4.1. Requirements of digital relevance

N/A

4.2. Data

N/A

4.3. Digital solutions

4.4. Interoperability assessment

23 As regards traditional own resources (customs duties, sugar levies), the amounts indicated must be net

amounts, i.e. gross amounts after deduction of 20% for collection costs.

N/A

N/A

EN 26 EN

4.5. Measures to support digital implementation

N/A

    Resolutsiooni liik: Riigikantselei resolutsioon Viide: Haridus- ja Teadusministeerium /  / ; Riigikantselei /  / 2-5/25-01441

Resolutsiooni teema: Määrus EuroHPC laiendamise kohta AI gigatehastele ja kvanttehnoloogiale

Adressaat: Haridus- ja Teadusministeerium Ülesanne: Tulenevalt Riigikogu kodu- ja töökorra seaduse § 152` lg 1 p 2 ning Vabariigi Valitsuse reglemendi § 3 lg 4 palun valmistada ette Vabariigi Valitsuse seisukoha ja otsuse eelnõu järgneva algatuse kohta, kaasates seejuures olulisi huvigruppe ja osapooli: - Proposal for a COUNCIL REGULATION on amending Council Regulation (EU) 2021/1173 of 13 July 2021 on establishing the European High Performance Computing Joint Undertaking and repealing Regulation (EU) 2018/1488, COM(2025) 414.

EISi toimiku nr: 25-0432

Tähtaeg: 05.09.2025

Adressaat: Justiits- ja Digiministeerium, Majandus- ja Kommunikatsiooniministeerium Ülesanne: Palun esitada oma sisend Haridus- ja Teadusministeeriumile seisukohtade kujundamiseks antud eelnõu kohta (eelnõude infosüsteemi (EIS) kaudu).

Tähtaeg: 22.08.2025

Lisainfo: Eelnõu on kavas arutada valitsuse 18.09.2025 istungil ja Vabariigi Valitsuse reglemendi § 6 lg 6 kohaselt sellele eelneval nädalal (10.09.2025) EL koordinatsioonikogus. Esialgsed materjalid EL koordinatsioonikoguks palume esitada hiljemalt 05.09.2025.

Kinnitaja: Nele Grünberg, Euroopa Liidu asjade direktori asetäitja Kinnitamise kuupäev: 30.07.2025 Resolutsiooni koostaja: Elen Nurme [email protected], 693 5201  

.

25.07.2025

Ettepanek: EuroHPC laiendamine AI gigatehastele ja kvanttehnoloogiale (COM (2025) 414)

Otsuse ettepanek koordinatsioonikogule

Kujundada seisukoht

Kaasvastutaja sisendi tähtpäev: 22.08.2025

KOKi esitamise tähtpäev: 10.09.2025

VV esitamise tähtpäev: 18.09.2025

Subsidiaarsuse tähtpäev: -

Seisukoha valitsusse toomise alus ja põhjendus

 Algatuse vastuvõtmisega kaasneks oluline majanduslik või sotsiaalne mõju (RKKTS § 152¹ lg 1 p 2).

Vastutav ministeerium: Haridus- ja Teadusministeerium

Kaasvastutajad: Majandus- ja Kommunikatsiooniministeerium, Justiits- ja Digiministeerium

Sisukokkuvõte

Euroopa Komisjon avaldas 16.07.2025 määruse eelnõu, millega muudetakse nõukogu määrust (EL) 2021/1173, mis kehtestab Euroopa kõrgetasemelise andmetöötluse ühisettevõtte (EuroHPC) ning sätestab selle ülesanded ja eesmärgid.

Eesmärgid

Eesmärk I: Muudatusega laiendatakse EuroHPC ühisettevõtte määruse reguleerimisala, et anda õiguslik alus toetada tehisintellekti gigatehaste rajamist Euroopas (sh lisatakse AI gigatehase mõiste, tehase asukohale seatavad tingimused). AI gigatehas tähendab tipptasemel suuremastaabilist rajatist, millel on piisav võimekus katta väga suurte tehisintellekti mudelite ja rakenduste kogu elutsükkel – arendus, treenimine, täiendhäälestus ja suuremahuline järeldamine (inference).

Eesmärk II: Teiseks tuuakse sisse uusi sätteid kvanttehnoloogiate kohta kooskõlas Euroopa kvantstrateegiaga (sh lisatakse riikliku kvantum pädevuskeskuse mõiste ja eraldi sammas kvantumitehnoloogiale ühisettevõtte struktuuri osana). Kvanttehnoloogiatel on suur potentsiaal võtmetööstusharude arendamisel, mõjutades

2

seega oluliselt liidu tööstuslikku konkurentsivõimet ja tehnoloogilist suveräänsust. Lisaks avatakse superarvutite kasutamine ka väljaspool tsiviilkasutust.

Liidu rahaline panus ühisettevõttele tõuseb ettepaneku kohaselt praeguselt 3,08 miljardilt kuni 3,97 miljardi euroni (tingimusel et liikmesriikide panus on vähemalt sama), mis on jaotatud Euroopa Horisondi, Euroopa Ühendamise Rahastu ja Digitaalse Euroopa programmidest saadavate vahendite vahel.

Muudatusega ei kaasne riigieelarvele täiendavaid kulusid.

Kas EL algatus reguleerib karistusi või haldustrahve? Ei

Kas nähakse ette uue asutuse loomine (järelevalvelised või muud asutused)? Ei

Kas lahenduse rakendamine vajab IT-arendusi? Ei

Mõju ja sihtrühm

Tehisintellekti gigatehaste loomine Euroopas mõjutab nii teadlasi, teadusasutusi, idu- ja kasvuettevõtteid kui ka suuremahulist tööstust, samuti avalikku sektorit ja valitsusasutusi.

Kvanttehnoloogia arendamine ning selleks ühise superarvutusvõimsuse avamine puudutab väga paljusid eluvaldkondi, eelkõige side ja kommunikatsioon, IT, tööstus ja tootmine, kaitsetööstus, energeetika, finants- ja kindlustusvaldkond, logistika, teadusarendus- ja innovatsioon, tervis ja bioteadused, keskkond- ja kliima, haridus, tööhõive.

Kaasamine

Kaasata kõik asjassepuutuvad partnerid ja huvirühmad, sealhulgas ülikoolid, Eesti Infotehnoloogia ja Telekommunikatsiooni Liit, ETAIS, Eesti Kaubandus-Tööstuskoda.