Europe Scrambles to Build Its Own Tech and Payments as US Dominance Becomes a Threat

Europe Scrambles to Build Its Own Tech and Payments as US Dominance Becomes a Threat European leaders are urgently pushing to reduce the continent's critical dependence on American technology and financial systems, driven by fears that a potential second Trump administration could weaponize this reliance for political leverage [58480][58167][58171]. The stark warning follows a viral video from French MEP Aurore Lalucq, who chairs the European Parliament's economic committee. She highlighted that the United States proved it could cut a nation off from global payment networks when it disconnected Russia from Visa and Mastercard. She now advocates for creating a European alternative, an "Airbus of payments," to safeguard the bloc's financial independence [58480]. This vulnerability extends far beyond banking cards. The European Union's economy and society are deeply reliant on U.S. firms for cloud computing, professional software, social media, and artificial intelligence infrastructure. This dependence makes the EU's own threats to regulate or tax these tech giants difficult to enforce [58167][58171]. In response, a drive for "digital sovereignty" has become a top political priority. The goal is to build competitive, homegrown alternatives to major U.S. platforms and reduce foreign control over the digital tools that power European industry [58171]. However, experts question the feasibility of creating rivals to established giants like Microsoft and Google, noting it would require massive investment and years of development [58171]. Parallel discussions are focusing on defense and geopolitics. With the possibility of Donald Trump's return to the White House, experts warn that Europe can no longer afford to rely on American military protection and must urgently spend more on its own defense and build stronger independent partnerships [58069]. This strategic unease is mirrored in financial circles, where some European investors are already discussing a quiet "divorce" by selling U.S. government bonds to limit economic exposure [58095]. The underlying tension is fueled by a recognition that the U.S. and European economies are too interconnected for a clean break, yet every link—from energy supplies to the dominance of the dollar—is a potential pressure point [57344]. A recent report from the Centre for European Reform even alleged that U.S. tech companies are working with the White House, using Europe's need for American military protection as leverage to influence EU policy [44570]. Faced with this multifaceted challenge, European strategy appears to be coalescing around two tracks: a push for technological and financial autonomy, and a move toward stronger, more independent defense cooperation among member states [58069][57346]. Trump Could Cut Off Europe's Cards, Warns EU Lawmaker Europe's Digital Dilemma: Reliant on US Tech It Seeks to Curb Europe's Digital Dilemma: Can It Break Free from US Tech Giants? Europe Considers Financial "Divorce" from Trump-Led US Europe's Trump Test: Time to Use Its Own Power US Tech Giants and White House Ally to Pressure EU, Report Warns US-EU Trade: Tied Together, Stuck Together Italy and Germany Forge New Defense and Economic Pact