EU cloud is certainly much discussed, and more than that. Holland for instance voted and accepted a resolution last week for more digital sovereignty. This doesn't mean we'll have an AWS competitor overnight, but we're also only 3 months in.
Where do these 800 bn really come from, how fast they will transform into R&D and products, how much the industrial status quo is going to change? These are hard questions that remain unanswered.
I don’t think it really is unclear. The war in Ukraine served as an initial trigger that did spark some notesble changes. But the trump administration even more so. Ask the former UdSSR and Warsaw pact states. They were sounding the alarm bells for a long time and don’t appear to be willing to take any chances going forward.
> Where do these 800 bn really come from,
Government deficit.
> how fast they will transform into R&D and products
R&D is not really the issue. While there are some notable exceptions, the European defense industry has lots of very capable system that match or exceed the capabilities of US counterparts. The problem is primarily production capacity.
And production capacity is a problem that is relatively easily solved by throwing money at it and committing to long term purchases.
The main risk is that states want to ensure that if they want to spend more, they also get proportionally more. With production capacity being a bottleneck, increased spending could lead to inflationary pricing.
With the inexplicable exception of Hungary.
And where does that come from? Obviously, it should come from the people of the country or its natural resources.
But we don't like to say that, do we?
If the 800bn creates more than 800bn in (time-adjusted) future productivity, it pays for itself. If not, it was a bad investment.
Sure, but that is 800bn that could have been spent on more meaningful things. People would be more happy to redeem that by their work..
Because it not true. The only body emitting currency is a government
When you treat your closest allies like that, you instantly become untrustworthy. And you will remain untrustworthy far longer than Trump can stay in office, be it with the current terms or some Putin-like term extensions.
Also, the 800bn are a huge bunch of money that politicians would have never gotten otherwise. Now they have it an can spend it on their military-industrial-cronies. They won't let that opportunity go to waste, even if the reason were gone.
Allocating the money and printing feel good stories on regulations is the EASY part.
Now, delivering on the cut-throat tech competition on a reasonable time frame seems not part of the european ethos.
Okay, but if that's true then what does that say about the relationship between Europe and the United States when they could have done this the whole time and chose not to? Especially when the last 4 or so presidents have all complained about European nations neglecting to meet their NATO defense spending targets only to be politely ignored or in some cases laughed at in public by European counterparts?
I assume Europeans are willing to forgo some, maybe even most of their social benefits in exchange for increased military spending? I understand many currently enjoy fairly generous government support.
If not, then will there be an even bigger increase in taxes? How does EU plan to roll this out?