How the EU will wake up is the basic question. Capital allocation won't happen until there's some value in it. At the moment, capital, skilled labour all is available to at least start building chips that if not rival but are sufficiently advanced for day to day usage such as desktops and laptops to begin with.

But they won't be cost effective, might be around the same price as an Intel/AMD/ARM chip. Being new, the adoption would be slow as well.

Only way to change that would be for the EU to ban imported chips so that there's no way for the consumers but to buy local which amounts to trade war.

Therefore, I don't think so there are much (rational) choices as of now.