The European Union is intensifying its focus on digital sovereignty and AI regulation, as discussions around the AI Act and enforcement mechanisms draw increased attention across the continent. In June 2025, public consultations and draft rules are expected to introduce new obligations for high-risk AI systems. This policy shift reflects the EU’s broader ambition to balance innovation with ethical safeguards, especially in contrast to US and Chinese tech models. The developments are likely to impact startups, tech giants, and international data flows across the EU.