Mistral CEO says Europe has two years to achieve AI independence

Arthur Mensch, CEO of French AI startup Mistral, has issued a stark warning: Europe has roughly two years to build its own artificial intelligence infrastructure before becoming permanently dependent on American technology companies. Business Insider reports on remarks Mensch made at a hearing on digital sovereignty and AI at France’s National Assembly.

“It will be decided in the next two years,” Mensch said. He argued that the continent risks losing control over AI models, energy supply, and computing infrastructure. “Once supply is monopolized by American players, suddenly we no longer have supply and we can no longer transform electrons into tokens,” he said.

Mensch went further, warning that Europe could become “a vassal state” if it fails to develop its own AI industry. He pointed to the scale of American investment as a key threat. “The Americans are deploying a trillion dollars next year,” he said. “The one who controls the chips, who controls the electrons, who has massive access to energy — that’s the one who wins.”

Mistral, founded in 2023 and currently valued at around 13.6 billion dollars, aims to build a gigawatt of AI computing capacity by 2029. Mensch also criticized Europe’s fragmented regulations and capital markets, saying they hinder startups from scaling competitively.

“In a world where you import all your digital services from the United States, you have no leverage over the United States,” he added.