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EU’s Data Union Strategy Seeks to Boost AI and Cross-Border Data Use, but GDPR Stays Untouched

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As the European Commission’s consultation on the European Data Union Strategy (EDUS) nears its July 18 deadline, the initiative has drawn a mix of support and criticism. Aimed at stimulating data-driven innovation—particularly for generative AI—the strategy promises to simplify the EU’s complex data governance landscape. But its deliberate omission of any review of the General Data Protection Regulation (GDPR) has raised eyebrows.

The EDUS is positioned as a framework to streamline and harmonize existing EU data laws, including the Open Data Directive, the Data Act, and the Data Governance Act. Its goals include promoting broader access to data, incentivizing voluntary data sharing, reducing administrative burdens, and strengthening international data flows.

However, experts argue that the strategy avoids addressing some of the key barriers currently hampering the European data economy—chief among them, the GDPR. The strategy makes only vague references to maintaining “privacy and security standards,” without directly naming the GDPR. Despite its role as a cornerstone of EU data policy, GDPR remains politically sensitive and, according to Commission officials, too controversial to revisit.

This approach has sparked concerns, especially as many EU member states interpret GDPR’s definition of “personal data” narrowly, creating legal and practical barriers to initiatives that rely on open or shared data. The lack of meaningful exemptions under Article 6(f), which allows for processing of personal data in the public interest, continues to constrain innovation, particularly in sectors like AI and public services.

Beyond the GDPR issue, stakeholders have also highlighted several unresolved structural problems:

  1. Unfair B2B Data Sharing
    While the Data Act is designed to ensure fair access to data for smaller companies, in practice, large corporations continue to dominate through restrictive and often exploitative contracts. Legal dispute mechanisms exist but are rarely used by startups wary of prolonged battles with industry giants.

  2. Lack of Compensation for Public Institutions
    State-owned entities that manage valuable datasets face financial disincentives when required to open data for free. Without clear government compensation—such as Latvia’s model of reimbursing public registries—many institutions have little motivation to provide high-value data.

  3. Gap in Business Feedback on Data Infrastructure
    While the EU measures progress through tools like the Open Data Maturity Index, there is limited insight into how businesses experience the system. Missing are evaluations on usability, dataset relevance, and responsiveness of public authorities—factors critical to real-world data utility.

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As the EU pushes forward with its Data Union Strategy, experts warn that meaningful transformation will require more than legislation—it demands addressing the entrenched structural issues and political sensitivities that continue to limit the full potential of Europe’s digital economy.

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Northvolt Collapse Raises Questions Over Europe’s Green Tech Ambitions

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Europe’s push for energy independence through green technology has suffered a major setback following the bankruptcy of Swedish battery maker Northvolt, once hailed as a homegrown champion of the electric vehicle revolution.

Founded by former Tesla executives Peter Carlsson and Paolo Cerruti, Northvolt raised more than $13 billion in just over seven years, attracting backing from major investors including Volkswagen and Goldman Sachs. The company built two factories in Skellefteå and Västerås between 2019 and 2024, aiming to capture 25 percent of the European battery market with 150 gigawatt hours of annual capacity.

That ambition unraveled when Northvolt filed for bankruptcy in March 2025, prompting the departure of Carlsson and casting doubt over Europe’s ability to build large-scale green manufacturing from scratch. In August 2025, US-based lithium-sulfur battery firm Lyten acquired Northvolt’s remaining assets in Sweden, Poland and Germany, including its production site in Skellefteå and research hub in Västerås.

Tom Johnstone, interim chairman of Northvolt’s board, said building a domestic battery industry remains critical for Europe but described it as a long-term effort requiring patience and sustained commitment. A company statement cited geopolitical instability and shifting market demand as contributing factors behind the collapse.

Despite the setback, global investment in green technology continues to grow. Bloomberg data shows spending on the energy transition reached $2.3 trillion in 2025, led by China, India and Japan. Analysts argue Northvolt’s failure reflects execution challenges rather than a broader retreat from clean energy.

Jan Larsson, head of Business Sweden, said the bankruptcy was a blow to the local community but insisted Sweden retains a strong battery ecosystem, particularly through collaboration with Finland and Norway.

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Other companies say they have learned lessons from Northvolt’s rapid expansion. Swedish sodium-ion battery startup Altris has shifted toward incremental growth and partnerships. In January 2026, it teamed up with Czech chemical group Draslovka to manufacture key battery materials rather than attempting full vertical integration.

Beyond batteries, wave energy developer CorPower Ocean is pursuing a phased approach. Founded in 2012, the company is developing a 10-megawatt project off northern Portugal with support from a €40 million EU Innovation Fund grant.

Industry leaders say regulatory complexity remains a hurdle. Licensing rules vary widely across European countries, slowing project development. Even so, advocates argue the energy transition remains central to Europe’s economic security and sovereignty.

Whether Lyten focuses on battery production or research in Skellefteå will shape Sweden’s next chapter in green tech. For many in Europe’s business community, Northvolt’s rise and fall has become a case study in the risks and rewards of building a new industrial sector from the ground up.

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ESA and GSMA Launch €100 Million Initiative to Advance Europe’s 6G and AI Ambitions

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Europe has stepped up its push to lead in next-generation connectivity with a new partnership between the European Space Agency and the GSMA aimed at strengthening 6G and artificial intelligence capabilities through satellite-based communications.

The two organisations announced at the Mobile World Congress a joint funding programme worth up to €100 million to accelerate the integration of satellite and terrestrial mobile networks, known as non-terrestrial networks (NTN). The initiative marks one of Europe’s most significant public investments to date in hybrid satellite-mobile infrastructure.

Antonio Franchi, head of the 5G/6G NTN Programme Office at ESA, described connectivity as the backbone for unlocking advanced technologies. He said the funding would support the development of networks, services and digital tools that could benefit industries and society at large as digital transformation expands.

The programme is open to companies and organisations based in EU member states, which can apply by submitting formal proposals to ESA. Projects will be selected following an evaluation process.

Funding will focus on four core areas: artificial intelligence-driven management of multi-orbit satellite and ground networks; direct-to-device connectivity for smartphones and Internet of Things devices; collaborative 5G and 6G testing platforms; and early research into edge intelligence and advanced IoT systems.

The types of applications envisioned include telemedicine and telesurgery, autonomous driving systems and precision agriculture, all of which depend on reliable, high-capacity connectivity. By merging satellite coverage with mobile infrastructure, the initiative aims to extend high-speed communication even to remote regions.

Alex Sinclair, chief technology officer at GSMA, said combining the mobile industry’s global reach with ESA’s expertise in space technology would help usher in a new era of connectivity and deliver transformative benefits.

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The move comes as global competition intensifies in satellite internet and advanced communications, with US companies currently holding a strong position. European officials say the continent’s strength in high-tech manufacturing and specialised software can offer an independent and competitive alternative.

Several European firms are showcasing their work under the programme at MWC, including Nokia, Filtronic, OQ Technology and MinWave Technologies. Demonstrations include live displays of hybrid network architectures and orchestration of satellite-terrestrial systems.

A centrepiece of the exhibition highlights Europe’s space ambitions through a mixed-reality model of ESA’s Argonaut lunar lander, designed to deliver cargo to the Moon. Visitors can remotely operate a training rover via a live satellite link, underscoring how Europe’s connectivity infrastructure is intended to support not only terrestrial innovation but also future lunar missions.

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Mobile World Congress Opens in Barcelona With Focus on AI and 5G Concerns

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The Mobile World Congress opens its doors on Monday, marking its 20th year in Barcelona and showcasing the latest developments in global connectivity. Once known primarily as a launchpad for new smartphones, the annual technology gathering has evolved into a broader platform for artificial intelligence, next-generation networks and emerging digital infrastructure.

This year’s event is set to spotlight AI innovations and what organisers describe as the “IQ Era,” referring to the deeper integration of artificial intelligence into daily life and industry. Exhibitions will also explore the future of airport travel, advances in robotics and discussions around 5G and early 6G development.

Vivek Badrinath, director general of the GSMA, which hosts the conference, issued a warning about Europe’s lagging 5G deployment in remarks to Euronews. He said that while the United States and China have advanced in standalone 5G networks, enabling industrial automation in ports and factories, Europe has reached only about 3 percent deployment of 5G standalone technology.

Badrinath described the situation as a “chicken and egg” problem. Without broad network coverage, European companies are reluctant to invest in robotics or AI systems that depend on 5G. At the same time, limited demand slows infrastructure rollout. “If we don’t roll out 5G properly, you’re out of the game,” he said, arguing that digital competitiveness depends on strong network foundations.

Regulatory reform is expected to be a central topic at the conference, particularly around the European Union’s proposed Digital Network Act, which aims to modernise and harmonise connectivity rules. Telecom operators have called for changes that would allow greater consolidation and investment capacity. Industry leaders point to Europe’s fragmented market of roughly 200 operators, many serving around five million customers each, compared with the far larger scale of major providers in the US and China.

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Government participation at the event remains strong. Last year’s ministerial programme drew dozens of ministers and regulatory agency heads, and similar high-level attendance is expected this year, offering a forum for dialogue between policymakers and industry executives.

Beyond policy debates, organisers say MWC will continue to highlight consumer and enterprise technologies. Among the anticipated product showcases is a foldable robotic phone from Chinese brand Honor. The exhibition will also introduce “Airport of the Future,” demonstrating how connectivity is reshaping aviation systems, and “New Frontiers,” a space dedicated to quantum computing, robotics and satellite-based non-terrestrial networks.

As the conference enters its third decade in Barcelona, organisers aim to balance technological ambition with urgent discussions about Europe’s digital future.

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