Multinational companies are increasingly using countries' "AI openness" to decide investment locations, potentially putting continental Europe at a disadvantage versus the US. Executives across financial services, industrial and tech sectors evaluate AI talent, infrastructure and regulatory environments when expanding operations. Maria Cristina Bifulco, chief strategy officer of Italian cable giant Prysmian, warns that without the right conditions, investments risk moving to markets with AI-friendly policies and regulatory certainty.

A major US bank uses a traffic-light system to rank countries; executives note certain countries in mainland Europe fall into the red category, while the UK is considered greenish. The EU's AI Act, the first major legal framework for AI, adds complexity for businesses deciding between Europe, the US or Asia. In contrast, the UK adopts a lighter regulatory touch.

Novo, the Danish weight-loss drug maker, selected London for its new AI co-innovation hub partnering with Amazon Web Services for drug discovery, citing talent and responsible operation capabilities. European Commission spokesperson emphasizes Europe's world-class industries and high-quality data, noting the AI gigafactories project will expand computing capacity. Caspar Herzberg, CEO of Schneider Electric's industrial software unit Aveva, states the company is evaluating AI maturity criteria including readiness and capabilities for future investment planning.

Zach Meyers of the Centre on Regulation in Europe think-tank highlights ongoing EU struggles with data centre deployment, high energy prices and smaller AI funding compared to the US.