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Europe's Digital Predicament: Merz Sounds Alarm on US Software Dominance

  • Nishadil
  • September 27, 2025
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  • 2 minutes read
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Europe's Digital Predicament: Merz Sounds Alarm on US Software Dominance

In a stark warning echoing across European capitals, Germany's opposition leader Friedrich Merz has reignited the critical debate surrounding Europe's digital sovereignty. Speaking at an event hosted by the German-American business association, Merz, who leads the conservative Christian Democratic Union (CDU), underscored Europe's "far too great" dependence on software originating from the United States, calling for a radical shift towards indigenous innovation and development.

Merz’s comments cut to the core of a long-standing challenge: while Europe prides itself on industrial might and technological prowess in many sectors, its reliance on American digital infrastructure, cloud services, and software platforms remains an Achilles' heel.

This isn't merely an economic issue; it's a profound strategic vulnerability that touches upon data security, competitive advantage, and geopolitical influence.

The seasoned politician pointed out the stark disparity in the tech landscape. "Most of the software on which we depend, on which our economy depends, still comes from the United States of America.

We are far too dependent," Merz stated emphatically. This dependence extends to critical sectors, from automotive and manufacturing to finance and public administration, creating a web of interconnected systems that often default to non-European solutions.

His critique extended beyond mere observation, delving into the consequences of this digital imbalance.

Merz highlighted the absence of European "super-apps" or tech giants capable of competing on the global stage with behemoths like Google, Apple, Amazon, or Microsoft. While Europe boasts robust startup ecosystems, scaling these ventures into global powerhouses capable of challenging US dominance remains a significant hurdle.

He advocated for a shift in mindset, urging Europe to cultivate an environment where such digital champions can emerge and thrive.

The leader of Germany’s main opposition party didn't shy away from drawing parallels to broader geopolitical shifts, specifically mentioning China's rapid rise as a technological power.

The global race for digital supremacy is not just between the US and China; Europe risks being left behind if it doesn't assert its own digital identity and capabilities. This competitive landscape necessitates a proactive approach to developing secure, sovereign digital solutions that serve European interests and values.

Merz’s call to action is clear: Europe must invest more aggressively in its own software development capabilities, foster a more dynamic innovation ecosystem, and create an environment conducive to the growth of its own tech unicorns.

This isn't about isolationism, but about building resilience and ensuring that Europe has the tools to shape its own digital future, rather than passively accepting solutions from across the Atlantic or the Pacific. The conversation around digital sovereignty is no longer abstract; it’s a pressing imperative for Europe’s economic stability and strategic independence in the 21st century.

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