Stay up to date with the most relevant news and insights from the European startup ecosystem. This monthly selection features key developments, policy updates, and standout initiatives shaping the future of innovation!
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Review of the Public Procurement Act expected soon
The European Commission is expected to publish its Public Procurement Act on 9 September 2026, according to the Commission's Public Buyers Community. The proposal would replace the three 2014 procurement directives with a single directly applicable Regulation covering public contracts, utilities and concessions. Stated aims include simplifying procedures, creating a digital EU procurement marketplace and introducing "Made in Europe" criteria in strategic sectors.
Public procurement accounts for around 14% of EU GDP, and limited SME and cross-border participation is among the shortcomings the reform is meant to address. Analyses of an unofficial draft point to electronic business credentials allowing companies to reuse verified information when bidding in other Member States.
Scaleup Europe Fund cleared to make first investments
The European Commission completed the final legal steps for the Scaleup Europe Fund on 4 August 2026. The fund now forms part of the European Innovation Council Fund, with an initial target of €5 billion. EQT, selected through an open competitive process, acts as independent investment manager and takes decisions on market terms.
The fund targets companies working in technologies considered strategic for European competitiveness, including artificial intelligence, quantum and clean technologies. It is not a grant scheme and there is no application form: investment decisions rest with the manager. For GovTech scaleups preparing large rounds, it signals more late-stage capital available inside Europe.
EU opens tender for up to seven AI Gigafactories
The EU launched a call for tenders on 30 July 2026 to establish up to seven AI Gigafactories across Europe. Run by the European High Performance Computing Joint Undertaking, the initiative combines up to €10 billion in EU and national funding with at least €20 billion in expected private investment. Proposals close on 12 November 2026.
Each facility will bring together advanced AI processors, software and cloud stacks, high-speed connectivity and energy-efficient data centres. The Commission states that startups, scaleups, SMEs, industry, academia and public authorities will gain access to this infrastructure for training, inference and fine-tuning frontier AI models.