Berlin (AFP) – Google opened an AI centre in Berlin on Thursday, pledging to step up innovation in the German capital, which boasts a dynamic start-up scene and strong academic and research institutions. German politicians hailed the move despite growing fears that Europe is overly reliant on US tech giants, particularly in artificial intelligence, while its own corporate players struggle to compete.
Google — a major AI player alongside US firms such as Anthropic, OpenAI, and Microsoft — announced a 5.5 billion euro ($6.4 billion) investment drive in Germany last November. “We have a whole range of outstanding researchers who are working on AI here in Berlin,” said Philipp Justus, Google’s country manager for Germany and VP Central Europe. “This centre is intended to enable exchange with the academic community, with policymakers, and ultimately also with companies that are driving forward the application of AI.”
In an expansion of its Berlin site, Google added an “AI demo space” for new innovations, a separate floor for research teams, and an area where AI-focused events will be held. Berlin’s mayor, Kai Wegner, stated that the move “underscores Berlin’s international significance as a science and technology hub — with a dynamic start-up scene, strong universities, and an open society that enables and promotes innovation.”
Karsten Wildberger, minister for digital transformation, emphasized that “digital sovereignty is extremely important for Germany and Europe.” However, he noted, “But that does not mean doing everything alone. We continue to work in equal partnerships.” He added that it was “important that we become much more active in developing things under our own steam,” highlighting key areas such as IT infrastructure and cloud computing.
Chancellor Friedrich Merz’s coalition has signalled its intention to make progress on the AI front as part of efforts to revive the struggling economy. There have been a flurry of recent announcements related to AI, including contributions from Deutsche Telekom and software company SAP. Yet, many investments still originate from the United States, raising concerns at a time of strained ties under the administration of President Donald Trump.
“Digital sovereignty” has emerged as a key goal, aimed at ensuring that Europeans’ data is stored domestically and protected under local laws, thereby reducing heavy reliance on overseas players in the digital domain. At a summit dedicated to this topic in November in Berlin, Merz and French President Emmanuel Macron supported the idea of favouring European firms to cultivate regional champions.
Despite these ambitions, Germany faces “enormous” challenges in building up AI infrastructure and data storage capacities, according to Janis Hecker of the digital business association Bitkom. He pointed out that the government still “underestimates the importance of these technologies for value creation, but also for sovereignty and the defence of our values.”
According to the Bitkom group, the United States builds more computing capacity each year than Germany has in total. Their calculations indicate that only one-thousandth of Germany’s proposed central government budget for 2026 is dedicated to AI, with only a small portion of a significant funding initiative for modernizing the country’s infrastructure allocated to cutting-edge technologies.
© 2024 AFP
