Czechia Enters the EU AI Race

Czechia has submitted its bid to host one of the European Union’s massive new AI Gigafactories. This move marks a major shift as the country transforms from an industrial manufacturing center into Central Europe’s main digital and computing hub. Backed by nearly €10 billion in public funding and expected to attract over €20 billion from private investors, the EU is supporting up to seven of these mega data centers across Europe. Each facility will house over 100,000 advanced AI chips designed to build and run massive AI models, forming the backbone of Europe’s future digital technology.

The centerpiece of Czechia’s national proposal relies on expanding the CRA Prague Gateway megaproject in Prague's Zbraslav district, managed by telecommunications infrastructure leader České Radiokomunikace. What makes Czechia’s location stand out is its rare mix of ready-to-use industrial resources that are becoming hard to find in Western Europe: reliable high-power electrical grids, large pre-approved construction sites, and direct connections to Europe’s fastest internet backbones. At the same time, the project is backed by top Czech technical universities, including Charles University and CTU in Prague. This close link between cutting-edge computing hardware and world-class local researchers will help turn new AI discoveries into real, commercial products much faster.

For international enterprise groups, investors, and tech developers, Czechia’s active push creates high-value entry points across multiple high-tech sub-sectors. Beyond raw computing power, a facility of this scale requires massive support infrastructure—including advanced liquid cooling systems, efficient power equipment, energy storage, and long-term green power supply agreements. Situated between Western tech markets and fast-growing Central European economies, Czechia offers foreign partners a stable, business-friendly base. Setting up early joint ventures, supply chain links, or technology partnerships in Czechia provides an ideal strategic foothold in Europe's rapidly growing AI market.

Prepared by: CzechTrade (part of CzechBusiness) Shanghai Office       

Sources: Radio Prague International, CRA, European Commission