‘Once supply is monopolised …’
Mistral AI co-founder Arthur Mensch has warned Europe about its dependency on American technology. The CEO of the French artificial intelligence (AI) startup has predicted that Europe has a two-year window to build its own infrastructure or risk long-term dependence on US technology companies. Speaking during a hearing on digital sovereignty and AI at France’s National Assembly, Mensch warned that Europe could lose control over AI systems, computing infrastructure and energy resources required to power future technologies.According to a report by Business Insider, at the hearing, Mensch said, “It will be decided in the next two years. Once supply is monopolised by American players, suddenly we no longer have supply, and we can no longer transform electrons into tokens.” The comment refers to converting computing power into AI-generated output.Mensch also warned that Europe could become “a vassal state” if it continues relying on imported digital services and fails to develop an independent AI ecosystem.
Mistral CEO says AI race is becoming a battle for infrastructure
The warning comes as AI companies worldwide increase investments in chips, energy supply and data centres to support growing demand for AI models. Mensch argued that access to these resources, rather than software alone, will shape competitiveness in the AI industry.“The Americans are deploying a trillion dollars next year. The one who controls the chips, who controls the electrons, who has massive access to energy — that’s the one who wins,” Mensch said. Founded in 2023 by former Meta and DeepMind researchers, Mistral has become one of Europe’s leading AI startups with a valuation of around $13.6 billion. The company has positioned digital sovereignty and open-source AI as core parts of its strategy, arguing that governments increasingly want AI systems that are not dependent on US firms.Mistral has recently strengthened that message through partnerships aimed at expanding Europe’s AI capabilities. One such collaboration involves Groupe Caisse des Dépôts, a French state-backed public investment institution, focusing on generative AI and GPU infrastructure to support Europe’s “digital sovereignty.”Mensch said Mistral plans to build a gigawatt of AI computing capacity by 2029, though he suggested significantly larger infrastructure investments would be required across Europe.The executive also criticised Europe’s fragmented regulations and capital markets, saying they make it more difficult for startups to scale compared to the US.“If we don’t move fast enough we’ll end up in a situation where we have no choice left. In a world where you import all your digital services from the United States, you have no leverage over the United States,” Mensch added.
