European governments are facing urgent questions regarding how to stimulate economic growth and enhance regional competitiveness, with a focus on leveraging AI for this purpose. A report from Implement Consulting Group, commissioned by Google, predicts that generative AI could contribute €1. 2-1. 4 trillion to the EU's GDP over the next decade, indicating an annual growth rate of 8%. Additionally, it highlights AI's capacity to greatly improve productivity across numerous sectors. The significance of generative AI in driving growth is underscored by Mario Draghi's analysis, which notes a decline in Europe’s competitiveness over the years; the EU's global GDP share dropped from over 25% in 1980 to about 17% today. By 2022, US productivity exceeded that of the EU by 20%. Beyond economic figures, the report emphasizes AI’s role in enhancing individual productivity, creating sustainable jobs, and addressing societal challenges. Notably, 74% of European workers recognize generative AI's potential to increase productivity, with 43% expecting a positive impact on their jobs. It is estimated that 61% of jobs will be augmented by AI, while about 7% may face automation. Europe’s productivity gap stems largely from slower technological innovation and adoption.

As Draghi notes, Europe must progress beyond outdated technologies to keep pace in the impending AI revolution. To capitalize on AI’s potential, we introduce an AI Opportunity Agenda, outlining strategies for EU governments to maximize economic and societal benefits. Key recommendations include: 1. **Research and Development Investment**: The EU should prioritize accessible funding for AI research to nurture home-grown tech innovation and reduce talent drain. 2. **Infrastructure for Innovation**: Allocating funds for high-performance computing, data centers, and renewable energy is essential to enable large-scale AI breakthroughs. 3. **Skills and Training Improvement**: The EU must accelerate digital skills training and embed AI education into curricula to ensure all sectors benefit from technological growth. 4. **Promoting Adoption**: Effective outreach to traditional industries and businesses is vital for widespread AI deployment, while public procurement and adoption strategies must be strengthened. Implementing these policies requires collaboration among governments, private sectors, academia, and civil society. There's also a need for regulatory reform; since 2019, over 100 regulations have been introduced affecting the digital economy, often adding complexity rather than clarity. Europe has a prime opportunity to harness AI for creating a fairer, healthier, and more competitive society, ultimately driving inclusive growth.