Tag - Software

4 ways China-US relations could fracture in 2026
The message from Capitol Hill on both sides of the aisle is clear: Get ready for U.S. relations with China to spiral all over again in the new year. The one-year trade truce brokered in October between President Donald Trump and Chinese leader Xi Jinping is already looking shaky. And lawmakers are preparing to reup clashes over trade, Taiwan and cyber-intrusions when they return in January. “It’s like a heavyweight fight, and we’re in that short time period in-between rounds, but both sides need to be preparing for what is next after the truce,” Rep. Greg Stanton (D-Ariz.), a member of the House Select Committee on China, said in an interview. POLITICO talked to more than 25 lawmakers, including those on the House Select Committee on China, the House Foreign Affairs Committee’s East Asia subcommittee and the Congressional Executive Commission on China, for their views on the durability of the trade treaty. Both Republicans and Democrats warned of turbulence ahead. More than 20 of the lawmakers said they doubt Xi will deliver on key pledges the White House said he made in October, including reducing the flow of precursor chemicals to Mexico that cartels process into fentanyl and buying agreed volumes of U.S. agricultural goods. “China can never be trusted. They’re always looking for an angle,” Sen. Thom Tillis (R-N.C.) said. That pessimism comes despite an easing in U.S.-China tensions since the Trump-Xi meeting in South Korea. The bruising cycle of tit-for-tat tariffs that briefly hit triple digits earlier this year is currently on pause. Both countries have relaxed export restrictions on essential items (rare earths for the U.S., chip design software for China), while Beijing has committed to “expanding agricultural product trade” in an apparent reference to the suspension of imports of U.S. agricultural products it imposed earlier this year. This trend may continue, given that Trump is likely to want stability in the U.S.-China relationship ahead of a summit with Xi planned for April in Beijing. “We’re starting to see some movement now on some of their tariff issues and the fentanyl precursor issue,” Sen. Steve Daines (R-Mont.) said. But a series of issues have been brushed aside in negotiations or left in limbo — a status quo the Trump administration can only maintain for so long. The U.S.-China trade deal on rare earths that Bessent said the two countries would finalize by Thanksgiving remains unsettled. And the White House hasn’t confirmed reporting from earlier this month that Beijing-based ByteDance has finalized the sale of the TikTok social media app ahead of the Jan. 23 deadline for that agreement. “The idea that we’re in a period of stability with Beijing is simply not accurate,” said Sen. Jeanne Shaheen (D-N.H.), ranking member of the Senate Foreign Relations Committee. Shaheen has been sounding the alarm on China’s national security threats since she entered the Senate in 2009. But even some lawmakers who have been more open to engagement with Beijing — such as California Democratic Reps. Ro Khanna and Ami Bera — said that they don’t expect the armistice to last. The White House is more upbeat about the prospects for U.S.-China trade ties. “President Trump’s close relationship with President Xi is helping ensure that both countries are able to continue building on progress and continue resolving outstanding issues,” the White House said in a statement, adding that the administration “continues to monitor China’s compliance with our trade agreement.” It declined to comment on the TikTok deal. Still, the lawmakers POLITICO spoke with described four issues that could derail U.S.-China ties in the New Year: A SOYBEAN SPOILER U.S. soybean farmers’ reliance on the Chinese market gives Beijing a powerful non-tariff trade weapon — and China doesn’t appear to be following through on promises to renew purchases. The standoff over soybeans started in May, when China halted those purchases, raising the prospect of financial ruin across farming states including Illinois, Iowa, Minnesota, Nebraska and Indiana — key political constituencies for the GOP in the congressional midterm elections next year. The White House said last month that Xi committed to buying 12 million metric tons of U.S. soybeans in November and December. But so far, Beijing has only purchased a fraction of that agreed total, NBC reported this month. “What agitates Trump and causes him to react quickly are things that are more domestic and closer to home,” Rep. Jill Tokuda (D-Hawaii) said. China’s foot-dragging on soybean purchases “is the most triggering because it’s hurting American farmers and consumers, so that’s where we could see the most volatility in the relationship,” she said. That trigger could come on Feb. 28 — the new deadline for that 12 million metric ton purchase, which Treasury Secretary Scott Bessent announced earlier this month. The Chinese embassy in Washington declined to comment on whether Beijing plans to meet this deadline. The White House said one of the aspects of the trade deal it is monitoring is soybean purchases through this growing season. THE TAIWAN TINDERBOX Beijing’s threats to invade Taiwan are another near-term potential flashpoint, even though the U.S. hasn’t prioritized the issue in its national security strategy or talks between Xi and Trump. China has increased its preparations for a Taiwan invasion this year. In October, the Chinese military debuted a new military barge system that addresses some of the challenges of landing on the island’s beaches by deploying a bridge for cargo ships to unload tanks or trucks directly onto the shore. “China is tightening the noose around the island,” said Rep. Ro Khanna (D-Calif.), who joined a bipartisan congressional delegation to China in September and returned calling for better communications between the U.S. and Chinese militaries. Some of the tension around Taiwan is playing out in the wider region, as Beijing pushes to expand its military reach and its influence. Chinese fighter jets locked radar — a prelude to opening fire — on Japanese aircraft earlier this month in the East China Sea. “There is a real chance that Xi overplays his hand on antagonizing our allies, particularly Australia and Japan,” Rep. Seth Moulton (D-Mass.) said. “There is still a line [China] cannot cross without making this truce impossible to sustain.” The U.S. has a decades-long policy of “strategic ambiguity” under which it refuses to spell out how the U.S. would respond to Chinese aggression against Taiwan. Trump has also adhered to that policy. “You’ll find out if it happens,” Trump said in an interview with 60 Minutes in November. MORE EXPORT RESTRICTIONS ON THE WAY Beijing has eased its export restrictions on rare earths — metallic elements essential to both civilian and military applications — but could reimpose those blocks at any time. Ten of the 25 lawmakers who spoke to POLITICO said they suspect Beijing will reimpose those export curbs as a convenient pressure point in the coming months. “At the center of the crack in the truce is China’s ability to levy export restrictions, especially its chokehold on the global supply of rare earths and other critical minerals,” Rep. André Carson (D-Ind.) said. Others are worried China will choose to expand its export controls to another product category for which it has market dominance — pharmaceuticals. Beijing supplies 80 percent of the U.S. supply of active pharmaceutical ingredients — the foundations of common drugs to treat everything from high blood pressure to type 2 diabetes. “Overnight, China could turn off the spigot and many basic pharmaceuticals, including things like aspirin, go away from the supply chain in the United States,” Rep. Nathaniel Moran (R-Texas) said. China restarted exports of rare earths earlier this month, and its Commerce Ministry pledged “timely approval” of such exports under a new licensing system, state media reported. Beijing has not indicated its intent to restrict the export of pharmaceuticals or their components as a trade weapon. But the U.S.-China Economic and Security Review Commission urged the Food and Drug Administration to reduce U.S. reliance on Chinese sources of pharmaceuticals in its annual report last month. The Chinese embassy in Washington didn’t respond to a request for comment. GROWING CHINESE MILITARY MUSCLE China’s drive to develop a world-class military that can challenge traditional U.S. dominion of the Indo-Pacific could also derail relations between Washington and Beijing in 2026. China’s expanding navy — which, at more than 200 warships, is now the world’s largest — is helping Beijing show off its power across the region. The centerpiece of that effort in 2025 has been the addition of a third aircraft carrier, the Fujian, which entered into service last month. The Fujian is two-thirds the size of the USS Gerald R. Ford carrier. But like the Ford, it boasts state-of-the-art electromagnetic catapults to launch J-35 and J-15T fighter jets. The Trump administration sees that as a threat. The U.S. aims to insulate allies and partners in the Indo-Pacific from possible Chinese “sustained successful military aggression” powered by Beijing’s “historic military buildup,” Defense Secretary Pete Hegseth said earlier this month at the Reagan National Defense Forum. Five lawmakers said they see China’s increasingly aggressive regional military footprint as incompatible with U.S. efforts to maintain a stable relationship with Beijing in the months ahead. “We know the long-term goal of China is really economic and diplomatic and military domination around the world, and they see the United States as an adversary,” Moran said. Daniel Desrochers contributed to this report.
Defense
Media
Military
Security
Services
Lawmakers ask EU Parliament to change travel software amid US meddling concerns
BRUSSELS — Lawmakers in the European Parliament have called on the institution to change its travel booking software amid fears their travel plans could be spied on or disrupted by U.S. government interests, in a letter obtained by POLITICO. In a stark sign of growing unease about American tech reliance, 64 lawmakers are pressing President Roberta Metsola to ditch the chamber’s travel-booking provider, Carlson Wagonlit Travel, after it was acquired by American Express Global Business Travel in September. The lawmakers argue that the new U.S. ownership puts lawmakers at risk of foreign snooping, as CWT has access to the “most sensitive information,” including their “passport details, credit card data, travel arrangements and their exact whereabouts at any given moment,” and could put them at the mercy of American sanctions. CWT last month canceled travel bookings for the United Nations Special Rapporteur on the Occupied Palestinian Territories, Francesca Albanese, who was due to speak at the Parliament in Strasbourg because of U.S. sanctions, according to an internal email seen by POLITICO. “The use of CWT for our travel arrangements exposes MEPs and Parliament staff to the real and present danger of U.S. sanctions, which have already been weaponized against European officials in the past,” the letter warns. “Such measures are not merely theoretical; they are a direct threat to the operational independence and dignity of our institution.” Signatories of the letter include Andreas Schwab from the center-right European People’s Party; Tiemo Wölken, Laura Ballarín Cereza and Aurore Lalucq from the Socialists and Democrats; Helmut Brandstätter, Christophe Grudler, Stéphanie Yon-Courtin and Sandro Gozi from the liberal Renew group; Alexandra Geese and Nela Riehl from the Greens; and Leila Chaibi from The Left. The internal email said the Parliament is working to contract an alternative Belgian travel booking provider it can use for sanctioned individuals. A spokesperson for the Parliament told POLITICO: “A structural solution is in place for such situations, allowing the necessary arrangements to be made without any delay.” “As a matter of policy, and in compliance with applicable law, American Express Global Business Travel does not comment on our clients,” a spokesperson for the company said. Organizations across Europe are growing increasingly wary of the risks of years of reliance on U.S. tech, as the EU also tries to boost its own economic competitiveness. Alarm bells have been ringing about the possibility that the White House could weaponize the EU’s dependence on U.S. technology, in particular through sanctions. In a previous request reported by POLITICO, a cross-party group including several of the same lawmakers urged the European Parliament to phase out U.S. technology — most notably Microsoft — in favor of European alternatives. “In these turbulent times, when even old friends can turn into foes and their companies into a political tool, we cannot afford this level of dependence on foreign tech, let alone continue funneling billions of taxpayers’ money abroad,” that group said last month. The International Criminal Court has moved to replace Microsoft Suite with the German solution OpenDesk amid concerns that a new wave of U.S. sanctions could paralyze the organization’s day-to-day operations. “It is just unacceptable that MEPs could be prevented from fulfilling their parliamentary duties due to a decision by the U.S. administration to sanction them,” centrist lawmaker Anna Stürgkh told Metsola during a session of the Parliament on Monday, pressing Metsola “to make sure that the sovereignty of this house is ensured.” The Parliament’s spokesperson said that the “institution’s services ensure that all IT solutions comply with the EU legal obligations and protect user privacy.” Gerardo Fortuna contributed reporting.
Services
Technology
Competitiveness
Data
Cybersecurity and Data Protection
Scandal-hit Fujitsu dropped from Brexit border system
LONDON — Scandal-hit Japanese tech firm Fujitsu has lost its grip on a lucrative contract to keep running Great Britain’s post-Brexit border with Northern Ireland, following mounting public pressure, two people with knowledge of the bidding process have told POLITICO. The firm at the center of the Post Office scandal — which saw faulty data from Fujitsu’s Horizon software lead to wrongful theft and fraud convictions of hundreds of innocent Post Office workers — had spearheaded a consortium bid for the £370 million contract to continue running the Trader Support Service (TSS), as reported earlier this year. The contract was awarded to another consortium late last month, according to the two people cited above. The 10-day cooling-off period after the contract was awarded ends on Tuesday. The Fujitsu-led consortium, which includes Liz Truss ally Shanker Singham’s firm Competere, has raked in more than £500 million since 2020 developing and operating the platform, which helps firms navigate the complicated post-Brexit customs arrangements between Great Britain and Northern Ireland under the Windsor Framework. While a new supplier will be taking control of TSS, Fujitsu retains the intellectual property rights to a core part of the existing platform, four people with knowledge of the process — including those cited above — confirmed. This means the new system will have to be built from scratch.  All of those cited in this story were granted anonymity to speak freely. There have been calls for Fujitsu to be stripped of its public contracts while sub postmasters affected by the scandal await full compensation. In August, more than 32 MPs and 44 peers wrote to U.K. Prime Minister Keir Starmer, urging him to block the firm from bidding for control of the TSS platform. In October, the government accepted all but one of the recommendations from Wyn Williams’ inquiry into the scandal, published in July, which concluded that at least 13 people may have taken their own lives after being accused of wrongdoing.  There has also been public scrutiny over the running of TSS. Cabinet Office Minister Nick Thomas-Symonds told lawmakers earlier this year he was investigating industry concerns about the service. “We are concerned to hear reports that the Trader Support Service is not providing a good quality of service,” cross-party peers on the Northern Ireland Scrutiny Committee wrote in an October report. Meanwhile, a report by the Federation of Small Businesses found current support relating to the Windsor Framework — including the TSS — was “falling short of expectations,” with 78 percent of Northern Irish businesses surveyed rating it as either “very poor” or “poor.” A spokesperson for HMRC, which awarded the contract, said: “We follow government procurement rules when awarding contracts, ensuring value for money for taxpayers. All bids underwent a robust evaluation and assurance process, and we will confirm the award in due course.” Fujitsu and Competere did not respond to requests for comment.
Borders
Customs
Rights
Services
Industry
The Netherlands shuts off Google tracking on spy job listings
The Dutch government has quietly removed Google tracking tools from job listings for its intelligence services over concerns that the data would expose aspirant spies to U.S. surveillance. The intervention would put an end to Google’s processing of the data of job seekers interested in applying to spy service jobs, after members of parliament in The Hague raised security concerns. The move comes at a moment when trust between the Netherlands and the United States is fraying. It reflects wider European unease — heightened by Donald Trump’s return to the White House — about American tech giants having access to some of their most sensitive government data. The heads of the AIVD and MIVD, the Netherlands’ civilian and military intelligence services, said in October that they were reviewing how to share information with American counterparts over political interference and human rights concerns. In the Netherlands, government vacancies are listed on a central online portal, which subsequently redirects applicants to specific institutions’ or agencies’ websites, including those of the security services. The government has now quietly pulled the plug on Google Analytics for intelligence-service postings, according to security expert Bert Hubert, who first raised the alarm about the trackers earlier this year. Hubert told POLITICO the job postings for intelligence services jobs no longer contained the same Google tracking technologies at least since November. The move was first reported by Follow the Money. The military intelligence service MIVD declined to comment. The interior ministry, which oversees the general intelligence service AIVD, did not respond to a request for comment at the time of publication. In a statement, Communications Manager for Google Mathilde Méchin said: “Businesses, not Google Analytics, own and control the data they collect and Google Analytics only processes it at their direction. This data can be deleted at any time.” “Any data sent to Google Analytics for measurement does not identify individuals, and we have strict policies against advertising based on sensitive information,” Méchin said. ‘FUTURE EMPLOYEES AT RISK’ Derk Boswijk, a center-right Dutch lawmaker, raised the alarm about the tracking of job applicants in parliamentary questions to the government in January. He said that while China and Russia have traditionally been viewed as the biggest security risks, it is unacceptable for any foreign government — allied or not — to have a view into Dutch intelligence recruitment. “I still see the U.S. as our most important ally,” Boswijk told POLITICO. “But to be honest, we’re seeing that the policies of the Trump administration and the European countries no longer necessarily align, and I think we should adapt accordingly.” The government told Boswijk in February it had enabled privacy settings on data gathered by Google. The government has yet to comment on Boswijk’s latest questions submitted in November. Hubert, the cybersecurity expert, said the concerns over tracking were justified. Even highly technical data like IP addresses, device fingerprints and browsing patterns can help foreign governments, including adversaries such as China, narrow down who might be seeking a job inside an intelligence agency, he said. “By leaking job applications so broadly, the Dutch intelligence agencies put their future employees at risk, while also harming their own interests,” said Hubert, adding it could discourage sought-after cybersecurity talent that agencies are desperate to attract. Hubert previously served on a watchdog committee overseeing intelligence agencies’ requests to use hacking tools, surveillance and wiretapping.  One open question raised by Dutch parliamentarians is how to gain control over the data that Google gathered on aspiring spies in past years. “I don’t know what happens with the data Google Analytics already has, that’s still a black box to me,” said Sarah El Boujdaini, a lawmaker for the centrist-liberal Democrats 66 party who oversees digital affairs. The episode is likely to add fuel to efforts to wean off U.S. technologies — which are taking place across Europe, as part of the bloc’s “technological sovereignty” drive. European Parliament members last month urged the institution to move away from U.S. tech services, in a letter to the president obtained by POLITICO. In the Netherlands, parliament members have urged public institutions to move away from digital infrastructure run by U.S. firms like Microsoft, over security concerns. “If we can’t even safeguard applications to our secret services, how do you think the rest is going?” Hubert asked. The country also hosts the International Criminal Court, where Chief Prosecutor Karim Khan previously lost access to his Microsoft-hosted email account after he was targeted with American sanctions over issuing an arrest warrant for Israeli Prime Minister Benjamin Netanyahu. The ICC in October confirmed to POLITICO it was moving away from using Microsoft Office applications to German-based openDesk.
Privacy
Intelligence
Military
Security
Services
Thousands of Airbus planes grounded due to software glitch
A large part of Airbus’s global fleet was grounded after the European airplane maker discovered a technical malfunction linked to solar radiation in its A320 family of aircraft. The European Union Aviation Safety Agency announced on Friday evening that it was temporarily pausing flights on certain Airbus planes after a JetBlue flight from Florida to Mexico had to make an emergency landing after a sudden loss of altitude. Media reports indicate that some 15 people were hospitalized after the incident. Airbus said in a statement late Friday that it had identified an issue with its workhorse A320 planes. “Intense solar radiation may corrupt data critical to the functioning of flight controls,” it said, adding that it had “identified a significant number” of affected aircraft. A number of airlines around Europe announced that they were affected, including Lufthansa, Swiss and Austrian Airlines. Brussels Airlines said that none of its flights was impacted. Sara Ricci, communications chief for Airbus’s commercial aircraft division, said that some 6,000 aircraft were affected, but that for 85 percent of the impacted aircraft, it would be a “quick fix” to the planes’ software. “The vast majority will be back in the sky very soon,” Ricci said.
Media
Mobility
Communications
Data
Airlines
The EU’s global health test: Invest or retreat
Today, as the world reaches a critical juncture in the fight against HIV/AIDS, tuberculosis (TB) and malaria, the EU must choose: match scientific breakthroughs with political will and investment or retreat, putting two decades of hard-won progress at risk. Having saved over 70 million lives, the Global Fund to Fight AIDS, Tuberculosis, and Malaria (the Global Fund) has proven what smart, sustained investment can achieve.  But the impact of its work — the lives protected, the life expectancy prolonged, the systems strengthened, the innovations deployed — is now under threat due to declining international funding.  > The real question is no longer whether the EU can afford to invest in the > Global Fund, but whether it can afford to let these hard-won gains unravel. The real question is no longer whether the EU can afford to invest in the Global Fund, but whether it can afford to let these hard-won gains unravel. Declining international funding, climate change, conflict and drug resistance are reversing decades of progress. HIV prevention is hampered by rising criminalization and attacks on key populations, with 1.3 million new infections in 2024 — far above targets. TB remains the deadliest infectious disease, worsened by spreading multidrug resistance, even in Europe. Malaria faces growing resistance to insecticides and drugs, as well as the impacts of extreme weather. Without urgent action and sustained investment, these threats could result in a dangerous resurgence of all three diseases. The stakes could not be higher  The Global Fund’s latest results reveal extraordinary progress. In 2024 alone: * 25.6 million people received lifesaving antiretroviral therapy, yet 630,000 still died of AIDS-related causes; * 7.4 million people were treated for TB, with innovations like AI-powered diagnostics reaching frontline workers in Ukraine; and * malaria deaths, primarily among African children under five, have been halved over two decades, with 2.2 billion mosquito nets distributed and ten countries eliminating malaria since 2020. Yet one child still dies every minute from this treatable disease.  What makes this moment unprecedented is not just the scale of the challenge, but the scale of the opportunity. Thanks to extraordinary scientific breakthroughs, we now have the tools to turn the tide:  * lenacapavir, a long-acting antiretroviral, offers new hope for the possibility of HIV-free generations; * dual active ingredient mosquito nets combine physical protection with intelligent vector control, transforming malaria prevention; and  * AI-driven TB screening and diagnostics are revolutionizing early detection and treatment, even in the most fragile settings. Some of these breakthroughs reflect Europe’s continued research and development and the private sector’s leadership in global health. BASF’s dual-active-ingredient mosquito nets, recently distributed by the millions in Nigeria, are redefining malaria prevention by combining physical protection with intelligent vector control. Delft Imaging’s ultra-portable digital X-ray devices are enabling TB screening in remote and fragile settings, while Siemens Healthineers is helping deploy cutting-edge AI software to support TB triage and diagnosis.  But they must be deployed widely and equitably to reach those who need them most. That is precisely what the Global Fund enables: equitable access to cutting-edge solutions, delivered through community-led systems that reach those most often left behind. A defining moment for EU Leadership The EU has a unique chance to turn this crisis into an opportunity. The upcoming G20 summit and the Global Fund’s replenishment are pivotal moments.  President Ursula von der Leyen and Commissioner Síkela can send a clear, unequivocal signal: Europe will not stop at “almost”. It will lead until the world is free of AIDS, tuberculosis and malaria.  The Global Fund is a unique partnership that combines financial resources with technical expertise, community engagement and inclusive governance. It reaches those often left behind — those criminalized, marginalized or excluded from health systems.  > Even in Ukraine, amid the devastation of war, the Global Fund partnership has > ensured continuity of HIV and TB services — proof that smart investments > deliver impact, even in crisis. Its model of country ownership and transparency aligns with Africa’s agenda for health sovereignty and with the EU’s commitment to equity and human rights. Even in Ukraine, amid the devastation of war, the Global Fund partnership has ensured continuity of HIV and TB services — proof that smart investments deliver impact, even in crisis. The cost of inaction Some may point to constraints in the Multiannual Financial Framework. But history shows that the EU has consistently stepped up, even in difficult fiscal times. The instruments exist. What’s needed now is leadership to use them. Failure to act would unravel decades of progress. Resurgent epidemics would claim lives, destabilize economies and undermine global health security. The cost of inaction far exceeds the price of investment. For the EU, the risks are strategic as well as moral. Stepping back now would erode the EU’s credibility as champion of human rights and global responsibility. It would send the wrong message, at precisely the wrong time.  Ukraine demonstrates what is at stake: with Global Fund support, millions continue to receive HIV and TB services despite war. Cutting funding now would risk lives not only in Africa and Asia, but also in Europe’s own neighborhood. A call to action Ultimately, this isn’t a question of affordability, but one of foresight. Can the EU afford for the Global Fund not to be fully financed? The answer, for us, is a resounding no. We therefore urge the European Commission to announce a bold, multi-year financial commitment to the Global Fund at the G20.  This pledge would reaffirm the EU’s values and inspire other Team Europe partners to follow suit. It would also support ongoing reforms to further enhance the Global Fund’s efficiency, transparency and inclusivity. > Ultimately, this isn’t a question of affordability, but one of foresight. Can > the EU afford for the Global Fund not to be fully financed? The answer, for > us, is a resounding no. This is more than a funding decision. It is a moment to define the kind of world we choose to build: one where preventable diseases no longer claim lives, where health equity is a reality and where solidarity triumphs over short-termism. Now is the time to reaffirm Europe’s leadership. To prove that when it comes to global health, we will never stop until the fight is won.
Conflict
Rights
Security
Services
War
EU leaders paper over splits on US tech reliance
BRUSSELS — Call it a digital love triangle. When EU leaders back a “sovereign digital transition” at a summit in Brussels this Thursday, their words will mask a rift between France and Germany over how to deal with America’s overwhelming dominance in technology. The bloc’s founding members have long taken differing approaches to how far the continent should seek to go in detoxing from U.S. giants. In Paris, sovereignty is about backing local champions and breaking reliance on U.S. Big Tech. In Berlin the focus is on staying open and protecting Europe without severing ties with a major German trading partner. The EU leaders’ statement is a typical fudge — it cites the need for Europe to “reinforce its sovereignty” while maintaining “close collaboration with trusted partner countries,” according to a near-final draft obtained by POLITICO ahead of the gathering.    That plays into the hands of incumbent U.S. interests, even as the bloc’s reliance on American tech was again brought into sharp focus Monday when an outage at Amazon cloud servers in Northern Virginia disrupted the morning routines of millions of Europeans.   As France and Germany prepare to host a high-profile summit on digital sovereignty in Berlin next month, the two countries are still seeking common ground — attendees say preparations for the summit have been disorganized and that there is little alignment so far on concrete outcomes. When asked about his expectations for the Nov. 18 gathering, German Digital Minister Karsten Wildberger told POLITICO he wanted “to have an open debate around what is digital sovereignty” and “hopefully … have some great announcements.”  In her first public appearance following her appointment this month, France’s new Digital Minister Anne Le Hénanff, by comparison, promised to keep pushing for solutions that are immune to U.S. interference in cloud computing — a key area of American dominance.   CONTRASTING PLAYBOOKS   “There are indeed different strategic perspectives,” said Martin Merz, the president of SAP Sovereign Cloud. He contrasted France’s “more state-driven approach focusing on national independence and self-sufficiency in key technologies” with Germany’s emphasis on “European cooperation and market-oriented solutions.”  A recent FGS Global survey laid bare the split in public opinion as well. Most French respondents said France “should compete globally on its own to become a tech leader,” while most Germans preferred to “prioritize deeper regional alliances” to “compete together.” The fact that technological sovereignty has even made it onto the agenda of EU leaders follows a recent softening in Berlin, with Chancellor Friedrich Merz becoming increasingly outspoken about the limits of the American partnership while warning against “false nostalgia.” The coalition agreement in Berlin also endorsed the need to build “an interoperable and European-connectable sovereign German stack,” referring to a domestically controlled digital infrastructure ecosystem.  The fact that technological sovereignty has even made it onto the agenda of EU leaders follows a recent softening in Berlin, with Chancellor Friedrich Merz becoming increasingly outspoken about the limits of the American partnership while warning against “false nostalgia.” | Ralf Hirschberger/AFP via Getty Images Yet Germany — which has a huge trade deficit with the U.S — is fundamentally cautious about alienating Washington.   “France has been willing to accept some damage to the transatlantic relationship in order to support French business interests,” said Zach Meyers, director of research at the CERRE think tank in Brussels.   For Germany, by contrast, the two are “very closely tied together, largely because of the importance of the U.S. as an export market,” he said.   Berlin has dragged its feet on phasing out Huawei from mobile networks over fears of Chinese retaliation, against its car industry in particular.   The European Commission itself is walking a similar tightrope — dealing with U.S. threats against EU flagship laws that allegedly target American firms, while fielding growing calls to unapologetically back homegrown tech. STUCK ON DEFINITION  “Sovereignty is not a clearly defined term as it relates to technology,” said Dave Michels, a cloud computing law researcher at Queen Mary University of London.   He categorized it into two broad interpretations: technical sovereignty, or keeping data safe from foreign snooping and control, and political sovereignty, which focuses on strategic autonomy and economic security, i.e safeguarding domestic industries and supply chains.  “Those things can align, and I do think they are converging around this idea that we need to support European alternatives, but they don’t necessarily overlap completely. That’s where you can see some tensions,” Michels said.  Leaders will say in their joint statement that “it is crucial to advance Europe’s digital transformation, reinforce its sovereignty and strengthen its own open digital ecosystem.” “We don’t really have a shared vocabulary to define what digital sovereignty is. But we do have a shared understanding of what it means not to have digital sovereignty,” said Yann Lechelle, CEO of French AI company Probabl. Berlin isn’t the only capital trying to convince Europe to ensure its digital sovereignty remains open to U.S. interests.   Austria, too, wants to take “a leading role” in nailing down that tone, State Secretary Alexandre Pröll previously told POLITICO. The country has been on a mission to agree a “common charter” emphasizing that sovereignty should “not be misinterpreted as protectionist independence,” according to a draft reported by POLITICO. That “will create a clear political roadmap for a digital Europe that acts independently while remaining open to trustworthy partners,” Pröll said.   Next month’s Berlin gathering will be crucial in setting a direction. French President Emmanuel Macron and Merz are both expected to attend. “The summit is intended to send a strong signal that Europe is aware of the challenges and is actively advancing digital sovereignty,” a spokesperson for the German digital ministry said in a statement, adding that “this is not about autarky but about strengthening its own capabilities and potential.” “One summit will not be enough,” said Johannes Schätzl, a Social Democrat member of the German Bundestag. “But if there will be an agreement saying that we want to take the path toward greater digital sovereignty together, that alone would already be a very important signal.” Mathieu Pollet reported from Brussels, Emile Marzolf reported from Paris and Laura Hülsemann and Frida Preuß reported from Berlin.
Security
Technology
Industry
Innovation
Investment
Ein Spaziergang ums Auto mit Oliver Zipse
Listen on * Spotify * Apple Music * Amazon Music Gordon Repinski im Gespräch mit BMW-Chef Oliver Zipse. Im Zentrum: Der neue SUV iX3 und die „Neue Klasse“. BMWs frontaler Angriff auf Tesla und chinesische Hersteller wird am heutigen Freitag, 11 Uhr deutscher Zeit der Öffentlichkeit offiziell vorgestellt. Zipse erklärt die neue Designsprache „Licht statt Chrom“, das „Panoramic Display“ im Innenraum und warum auch der Sound einer sich öffnenden oder zuschlagenden Autotür mit entscheidet. Der CEO spricht über den harten Wettbewerb in China, seinen persönlichen Austausch mit Donald Trump über die US-Zölle und warum BMW trotz schwieriger Zeiten nicht in der Krise steckt. Es geht außerdem über die zurückliegenden Monate seiner Amtszeit, die Zukunft der deutschen Autoindustrie und was er vom angekündigten „Herbst der Reformen“ der Bundesregierung erwartet. Das Berlin Playbook als Podcast gibt es jeden Morgen ab 5 Uhr. Gordon Repinski und das POLITICO-Team liefern Politik zum Hören – kompakt, international, hintergründig. Für alle Hauptstadt-Profis: Der Berlin Playbook-Newsletter bietet jeden Morgen die wichtigsten Themen und Einordnungen. Jetzt kostenlos abonnieren. Mehr von Host und POLITICO Executive Editor Gordon Repinski: Instagram: @gordon.repinski | X: @GordonRepinski.
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Keir Starmer under pressure to block Fujitsu from £370m Brexit border contract
LONDON — More than 70 MPs and peers have urged U.K. Prime Minister Keir Starmer to block scandal-hit tech firm Fujitsu from bidding for control of a major post-Brexit software platform. The Japanese IT giant continues to face intense public scrutiny after faulty data from its Horizon software led to 1,000 innocent workers at the U.K.’s Post Office being wrongly convicted. In a letter to the prime minister seen by POLITICO, 32 MPs and 44 peers expressed concern that Fujitsu continues to bid for public contracts, including a contract with HM Revenue and Customs to run the Trader Support Service (TSS).  Fujitsu is bidding for a £370 million contract to retain control of the platform, which helps businesses navigate complex post-Brexit customs arrangements for moving goods between Great Britain and Northern Ireland. Fujitsu’s bid was first reported by POLITICO in July. Continuing to award public contracts to the firm “raises serious questions about the standards of fairness, accountability, and due diligence guiding public procurement in this country,” the letter said. “What message does it send when a company responsible for such harm is allowed to continue profiting from public money, unpenalised and unaccountable?” The U.K. lawmakers urge the government to institute a review of Fujitsu’s eligibility to bid for critical public services, including its current re-tender for the TSS. They also ask that “any government supplier involved in systemic failures, like Fujitsu, demonstrate meaningful remediation and cooperation with compensation processes as a condition of continued commercial engagement.” “This is not only about money,” the letter added. “It is about justice, accountability, and whether it is morally acceptable for Fujitsu to continue to profit from the public purse. The Post Office Horizon scandal destroyed lives. That injustice must not be compounded by the continuing awarding of lucrative government contracts to Fujitsu.” Their letter, first reported by The Times, comes at an awkward time for the government, as Trade Minister Douglas Alexander embarks on a four-day trip to Japan to boost trade ties. A government spokesperson said: “We have been clear that those responsible for the Horizon scandal must be held to account. Fujitsu has committed to withdraw from bidding for contracts with new government customers until the Post Office Inquiry concludes. We will not hesitate to take action, where appropriate, based on the final findings.” A Fujitsu spokesperson said: “We have apologised for, and deeply regret, our role in sub-postmasters’ suffering. We hope for a swift resolution that ensures a just outcome for the victims. We are considering the recommendations set out by Sir Wyn in Volume One of the Inquiry’s report, and are engaged with Government regarding Fujitsu’s contribution to compensation.”
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Europe must assert hard power or become a ‘hunted animal,’ France’s top general warns
PARIS — Europe’s disunited governments are in denial about the extent to which violence is shaping global politics and must step up to assert their combined force as a hard power, the chief of defense staff of the French military has warned in a sweeping interview. “A weakened Europe may find itself tomorrow as a hunted animal, after two centuries of the West setting the tone,” General Thierry Burkhard said in unusually outspoken remarks to POLITICO and French newspaper Libération.  “It’s not only about armed forces, but about the fact that hard power dynamics now prevail.” Burkhard warned that Europe’s fragmented countries would have to bind together more tightly as a strategic force to counteract the “spheres of influence” being built by China, Russia and the U.S. “On the one hand, European countries have never been so strong. On the other, there is a form of denial from governments and populations in the face of the level of violence in the world today,” he added. The French general’s reality check echoes a growing number of warnings about Europe’s weakness. Former European Central Bank chief Mario Draghi also stressed last week the EU had to stop pretending it could exercise global influence just as an economic force and consumer market. He insisted the bloc had received a “very brutal wake-up call” from Donald Trump that it needed to think in far more strategic terms about security and defense spending. Italian Prime Minister Giorgia Meloni on Wednesday accused the European Union of sliding into irrelevance on the world stage. “We must be willing to pay the price of our freedom and our independence,” she said. Burkhard, who leaves his job at the end of the month to be replaced by Air Force General Fabien Mandon, has been at the helm of France’s military since 2021. Under his watch, France’s armed forces boosted their presence on Europe’s eastern flank and became more active in NATO while preparing for high-intensity warfare. In the past months, the French general also co-chaired the coalition of the willing, a group of countries working on security guarantees for Ukraine in case of a ceasefire with Russia. Burkhard described a world defined by four political factors: The use of force to resolve conflicts; a push by countries including China, Russia, North Korea and Iran to challenge the West; the power of information warfare; and the impact of climate change.  “More than Russian tanks, the establishment of a de-Westernized alternative order threatens Europeans. If Russia can break Europe without an armed attack, that is the path it will choose,” France’s highest-ranking military officer said, speaking in his office at the armed forces ministry’s Paris headquarters, known as Balard. “In tomorrow’s world, the strategic solidarity uniting European countries must be very, very strong. No country in Europe can be a major player alone,” Burkhard added. “It’s not about building something against the United States or even against Russia, but rather about achieving the critical mass needed to have influence and avoid being sold off by the slice.” The challenge for Europeans has always been to speak with one voice, especially when it comes to defense policy. Madrid’s push to be exempt from NATO’s new 5 percent of GDP defense spending target, following comments by Prime Minister Pedro Sánchez that Russia doesn’t pose an immediate threat to Spain, highlights how differently European nations perceive threats. “The difficulty with European defense is to encompass the strategic interests of European countries as a whole,” Burkhard said. “Estonians do not have the same strategic vision as the Portuguese; no one can deny that. A middle ground must be found.”  ‘MOMENTUM’ FOR UKRAINE SECURITY GUARANTEES  Those strategic interests include preserving Ukrainian independence, and there is growing pressure on European countries to step up. Despite many unanswered questions, discussions around security guarantees for Kyiv picked up steam in the past weeks, following Trump’s Aug. 15 Alaska meeting with Russian President Vladimir Putin.  “The U.S. president’s very strong desire to reach a peace agreement is bringing new momentum,” Burkhard said, speaking one day after flying back from Washington for military talks. After a White House gathering with Ukraine’s Volodymyr Zelenskyy, France’s Emmanuel Macron, Germany’s Friedrich Merz and Meloni, among others, the Trump administration even signaled openness to contribute to security guarantees. That could reportedly include intelligence, surveillance and reconnaissance assets, as well as command and control and air support.  For most European capitals, U.S. military backing is a precondition to engage in any effort to monitor a potential peace agreement in Ukraine.  “The Americans mainly believe that the Europeans must demonstrate their commitment to taking responsibility,” Burkhard stressed. “It’s a chicken or egg dilemma: Some countries are only prepared to commit if there are American guarantees. But it’s not really a military debate, it’s a political one.”  While the “best security guarantees would be to demonstrate American determination in the event of a peace agreement violation,” military operations could include troops in Ukraine, air patrols over the country, ensuring that shipping traffic resumes in the Black Sea, and helping to build the Ukrainian army, the French general explained.  “To restore the Ukrainians’ confidence, we need to send the signal that European countries, possibly supported in some way by the United States, are ready to provide guarantees,” the French general said. “Providing guarantees often means taking risks.”  The danger is that any military contingent becomes involved in the war — especially as the Kremlin repeatedly said it doesn’t want European troops in Ukraine. That’s why the rules of engagement — meaning what militaries in Ukraine would do in case of a Russian attack — remain a key question. “If you are going to uphold a peace agreement, the rules of engagement are self-defense. That’s quite logical,” Burkhard said.  ‘CHOSEN’ VS ‘IMPOSED’ WARS  The high intensity conflict in Ukraine is triggering a deep rethink of how Western armed forces operate, according to Burkhard.  “We have moved from chosen wars — in Iraq, Afghanistan, or Mali — to imposed wars,” the French general said. In what he calls “chosen wars,” political and military leaders retain control over how much ammunition is fired, how long troops remain and how many personnel are deployed. Imposed wars are existential conflicts with no such choices. “If the Ukrainians don’t fight 100 percent [against Russia], they will disappear. That’s what imposed wars mean,” he added.  To face the new reality, Burkhard argued, Western armed forces have to diversify their arsenals. “The question of ‘what kills what and at what cost’ is central. If we only develop high-tech weapons that kill but are actually very, very expensive, we will probably not succeed,” he said, adding that armed forces also need low-cost weapons of attrition. The French general pushed back against the argument that the French armed forces could only last a few days in a high intensity conflict because munitions stocks are too low. France would not fight Russia on its own but alongside NATO allies, he emphasized.  “Our ammunition stocks are not as high as they should be because we have focused more on chosen wars,” Burkhard added. “Does it mean the French armed forces are not able to engage in operations? No. They can do so tonight if necessary.” 
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