How values-driven regulation and cultural renewal could give the EU an edge
Growing up in Chicago, I witnessed firsthand how the American entrepreneurial spirit could transform entire industries. Drive and creativity have long been central to the U.S. economy, fueling domestic prosperity while shaping global progress. Yet today, the country’s turn toward unilateralism and short-term advantage worries me. What once felt like an engine of collective growth now risks narrowing into self-interest—a troubling shift for both America and the wider world.
From my new home in Berlin, where I lead a sustainable materials startup called NovoFibre, I see innovation from a different angle. Europe’s infrastructure and public services are exceptional, and while the continent is often criticized for its bureaucracy and heavy regulation, I’ve come to appreciate these as signs of a system designed for resilience. Europe favors durability over disruption. If paired with a more dynamic mindset, that approach could position it to outpace competitors in the global technology race.
Regulation as a platform, not a constraint
Europe is beginning to demonstrate that regulation can underpin innovation rather than stifle it. The proposed Continental AI Charter is an ambitious attempt to create clear categories of technological risk and transparent compliance pathways. In fields where uncertainty discourages investment, such clarity is critical.
Other initiatives—the Digital Fairness Act and the Open Markets Directive—are designed to curb monopolistic behavior in tech while encouraging competition. Combined with the European Data Privacy Framework, which has quietly become an international model, these laws illustrate a coherent strategy: build a digital environment where trust, accountability, and innovation can coexist.
This is having an impact. Universities across Spain, Germany, and the Netherlands are enrolling more international students, while venture capital increasingly flows into deep tech ventures in Paris and Munich. Europe is signaling that it wants to be the place where sustainable innovation takes root.
The missing ingredient: culture
Still, regulation alone won’t ignite the ambition and daring needed to scale big ideas. America, despite its flaws, still thrives on a culture that celebrates risk-taking and disruptive innovation. Europe must borrow some of that energy if it wants to convert its frameworks into global leadership.
There are promising signs. Programs like HorizonNext and the European Venture Council are funneling billions into high-impact research and commercialization. Policymakers are beginning to recognize that innovation isn’t just about GDP growth; it’s about safeguarding European values in a rapidly shifting world.
America’s growing headwinds
Across the Atlantic, the climate for research looks increasingly unsettled. Universities face political battles, funding is often weaponized, and even basic scientific facts are questioned in public debate. This instability threatens to drive away the very people who once made the U.S. the epicenter of global innovation. Already, international students and researchers are choosing Canada, Australia, and EU countries instead. If the trend continues, the U.S. could face a brain drain with consequences that last for generations.
Europe’s chance to lead
Europe is offering a different message. Here, science and higher education are treated as public goods, not partisan tools. Curiosity, truth, and inquiry are seen as rights rather than privileges. This is drawing talent—from AI ethicists in Vienna to biotech pioneers in Copenhagen—who are seeking environments where innovation is possible without compromising principles.
Of course, Europe has weaknesses of its own. Excessive bureaucracy can slow progress, and the continent has historically lacked the appetite to scale companies to a global level. But by holding on to its regulatory clarity while embracing more entrepreneurial boldness, Europe could position itself as a true leader in shaping the technologies of the future.
A new hub of innovation
I once believed that only America could define the future. Now, I see room for a more balanced world. The U.S.’s unpredictability and China’s rigid, state-directed model leave space for Europe to chart a third course—one that combines innovation with accountability, ambition with sustainability.
If Europe can stay rooted in its values while cultivating a more energetic entrepreneurial culture, it could become not just a participant but a leader in global innovation. And the world badly needs that balance: a place where progress is bold but principled, and where the future is built to last.