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Vittorio Colao’s warning is that Europe failed to turn much of its scientific, industrial and entrepreneurial strength into globally competitive digital companies—and risks repeating that failure with AI. As he argued at Wave by Vento in Turin on 9 October 2026, avoiding another missed opportunity means making it easier for startups to scale across borders, improving access to growth capital and building strategic computing capacity, without abandoning safety, copyright or accountability.
What Colao means by a missed digital wave
At the Wave by Vento discussion, Colao said: “Abbiamo perso la grande ondata degli ultimi vent’anni. Questa è la realtà” (“We missed the great wave of the last twenty years. This is the reality,” translated from Italian). His warning is about the gap between Europe’s strengths and its ability to create technology companies that grow to global scale—not a claim that Europe lacks research, engineering or industrial capability.
A March 2019 report from the Information Technology and Innovation Foundation (ITIF) provides historical context for that argument. It described Europe as having missed opportunities in personal computers, smartphones, cloud computing, search and social media, while identifying engineering, research universities and industrial know-how as assets for connected, automated and smart technologies. That report reflects its authors’ analysis at the time; it is not a current, comprehensive ranking of Europe’s digital performance.
Colao’s concern is that AI could become another technology wave in which strong underlying capabilities do not translate into companies and infrastructure that compete internationally. In a separate interview published by Corriere on 28 May 2025, he had also argued that AI opportunity extends beyond large language models to industrial applications, and pointed to public-private initiatives involving supercomputers, chips, space, robotics and biotechnology. Those remarks record his earlier view; they do not establish that every initiative he mentioned has since been completed.
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Why starting a company is not the same as scaling it
Colao proposes simpler conditions for a startup’s first three to five years, when a young company has limited resources and must develop a product, find customers and raise money. The problem he describes is cumulative: administrative obligations, tax differences and national rules can require a company to adapt its operations each time it enters another market.
He used a digital-health company operating in France, Germany, the United Kingdom and Italy as an illustration. The point is not that those countries impose identical requirements, but that a business expanding across them may have to adjust its operating model repeatedly. A company can therefore be legally established and still face substantial work before it can serve customers across Europe on a consistent basis.
What the proposed 28th regime could—and could not—do
The proposed EU “28th regime” is described as an optional company framework alongside national systems. A 9 October 2026 la Repubblica report gave proposal targets of digital procedures, formation within 48 hours and registration costs below €100. These are reported targets, not verified services or guaranteed terms currently available to founders.
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Even if a common formation route makes incorporation simpler, it does not by itself harmonise tax and labour rules or remove the other differences a company encounters as it expands. Colao’s criticism is that formation is only one part of the scaling problem: a framework that makes it quicker to create a company is not necessarily a framework that makes it straightforward to operate across the continent.
Why growth capital matters to the argument
Colao’s financing concern is that European businesses seeking large amounts of capital often turn to the United States. He argues that a more integrated European capital market could make cross-border funding easier and help ambitious firms remain able to finance growth.
He identifies two possible sources of longer-term risk capital: successful entrepreneurs reinvesting proceeds in newer companies, and pension funds investing within prudential limits. La Repubblica’s report says he cited Sweden as an example of entrepreneurs financing later startup generations, but it gives no comparative figures. That example illustrates his proposed mechanism; it does not establish how much funding it supplies or prove that the same approach would work unchanged elsewhere.
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What Colao wants governments to do
His position distinguishes between removing barriers, opening public markets to smaller suppliers and investing directly in strategic infrastructure. It is not a general preference for government bodies to select individual startup investments.
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| Policy lever | Colao’s reported position |
|---|---|
| Administrative rules | Simplify obligations that weigh on young companies, particularly in their first three to five years. |
| Public procurement | Make appropriate procurement opportunities accessible to smaller, innovative firms. |
| Startup investment | Prefer public support through professional investment operators to public bodies directly choosing venture investments in individual startups. |
| Strategic infrastructure | Allow a stronger direct public role where infrastructure needs and economic-security stakes justify it, including semiconductors, energy and large-scale computing. |
The distinction matters: in Colao’s account, public policy can improve the conditions in which companies compete without officials deciding which startup deserves venture funding. Direct investment has a clearer rationale in his argument when the need is infrastructure that requires large-scale capacity or has strategic significance.
AI computing capacity is a strategic concern
La Repubblica reported Colao’s estimate that Europe has less than two gigawatts of AI computing capacity. The report does not provide a measurement method, a date range or an independently verified inventory, so the figure should be understood as Colao’s attributed estimate—not as an audited current total.
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His underlying concern is dependence: access to large-scale computing affects the ability to train and use advanced AI systems, and reliance on infrastructure controlled elsewhere can constrain Europe’s choices. That connects the capacity question to his call for targeted investment in compute, chips and energy rather than treating every form of public investment as equivalent.
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Colao’s position combines criticism of implementation complexity with support for protections. Referring to the AI Act, he said: “È una legge concepita molto bene, ma troppo complicata da attuare” (“It is a law conceived very well, but too complicated to implement,” translated from Italian). He argues for international cooperation on AI safety because the technology operates across borders, and for rules that can develop alongside technical capabilities.
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These positions make his argument more specific than a simple call for deregulation: make rules workable and support innovation, while maintaining protections for creators and accountability for harmful content. The report records his views; it does not itself assess how particular legal changes affect investment or innovation.
The social questions he says AI policy must address
Colao also raises concerns about employment, young people’s judgment, concentration of wealth and cybersecurity. He calls for investment in education and training so that AI strengthens rather than weakens young people’s capacity to judge information and make decisions.
The 9 October report does not quantify likely job losses, wealth effects or cybersecurity impacts. These are risks he says policymakers should take seriously, not measured outcomes established by the interview. His proposed response is to build skills and judgment alongside technical capability, rather than treating adoption as a purely economic or infrastructure question.
What the warning adds up to
Colao’s argument is that Europe’s next technology opportunity depends on more than research excellence or a fast route to company formation. Startups need to be able to operate across markets and find capital as they grow; governments need to clear avoidable barriers, open suitable procurement and support strategically important infrastructure. At the same time, AI competitiveness has to coexist with safety cooperation, copyright protections, platform accountability, education and cybersecurity.
The event coverage reports a policy diagnosis and selected estimates, not an audited study of Europe’s economic performance or a verified inventory of AI capacity. Its central test is whether Europe can turn existing strengths into businesses and infrastructure able to scale, while dealing with the social and legal consequences of AI.
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