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EU Budget Misses Crucial Tech Pillar: Open Source

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EU Budget Misses Crucial Tech Pillar: Open Source

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September 23, 2025
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EU Budget Misses Crucial Tech Pillar: Open Source
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On July 16, the European Commission proposed its largest-ever seven-year budget to boost autonomy, competitiveness, and resilience. The spending plan addresses cybersecurity, innovation, and other digital pillars but lacks funding for open source.

Open source software, built and maintained by communities rather than private companies alone, is essential to today’s digital infrastructure. Since the 1990s, it has been integral to Europe’s industry and public sector, creating significant dependencies on open source applications and libraries.

From commercial devices and services to government systems and research projects, open source powers the internet and countless platforms we rely on daily. It offers transparency, security, and flexibility that proprietary software cannot match. By investing in open source, Europe can support small businesses, universities, and public institutions, giving them tools to compete with global tech giants.

Despite its importance, the budget proposal does not allocate specific funding for open source. This is concerning given recent legislation, such as the Cyber Resilience Act, AI Act, and proposed Cloud and AI Development Act, which all highlight open source’s role. The omission is alarming as Europe pushes to increase digital sovereignty, strengthen cybersecurity, and boost competitiveness.

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In a unique start to his ruling against President Donald Trump’s administration on September 30, U.S. District Court Judge William Young included a scanned handwritten note sent to his office. The note read: “Trump has pardons and tanks – what do you have?” At the top of Young’s opinion in AAUP v. Rubio, which ruled that Trump’s effort to deport foreign-born student protesters was unconstitutional.

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To remain competitive and self-sufficient in the digital world, Europe must strategically and efficiently support open source. Public-led investment can provide resources that private sector funding alone cannot.

Innovation funding at the grassroots level has been modest but crucial for European open source investments. Now, focus should shift to scaling these technologies into core digital infrastructure.

Maintenance funding offers additional benefits, as seen in a recent report by OpenForum Europe, which called for a dedicated “EU Sovereign Tech Fund” to support essential technology projects for digital sovereignty—open source at its heart. This builds on the German Sovereign Tech Fund’s success in global open source collaboration.

Without investment in open source, Europe risks dependence on foreign technologies and vulnerability to external threats. Open source enables Europe to develop its own tech infrastructure, providing greater control, transparency, and security.

This approach is not isolationist but an investment in global digital infrastructure autonomy and resilience. It offers long-term benefits for Europe while supporting other challengers to dominant US and Chinese technology visions.

By contrast, Europe’s open source approach emphasizes transparency, interoperability, and public value, aligning with these principles as it invests in the global open source ecosystem.

The proposed European Competitiveness Fund—a key financial tool under the new budget—does not prioritize open source. This is a serious omission since the fund aims to support innovation and digitalization across Europe. Any absence of open source funding will be seen as short-sighted, undermining Europe’s digital transformation in an increasingly multipolar geopolitical landscape.

EU leaders should explicitly include open source in their new seven-year budget by making it part of the European Competitiveness Fund’s digitalization focus. Creating an EU Sovereign Tech Fund, alongside other investments in open source, will be critical for achieving these goals.

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