Italy plans 5 billion euro AI Gigafactory via state-controlled Newco

The Italian government is planning to establish a national AI Gigafactory through a new entity (Newco) controlled by the Ministry of Economy and Finance (MEF). The initiative involves major industrial players, including Eni, Enel, Leonardo, Saipem, Snam, Terna, Fibercop, and Cdp, which represent a combined market capitalization exceeding 300 billion euros.

The project involves a total planned investment of 5 billion euros. The funding structure includes 800 million euros requested from private entities for the initial phase, alongside 400 million euros in public resources (200 million from Rome and 200 million from Brussels). Additionally, Greece is slated to hold a 25% stake in the venture. This initiative aligns with a broader European Union plan to develop seven Gigafactories across the continent, with Italy, Germany, Spain, and Portugal among the leading nations.

Critics have raised concerns regarding the concentration of sensitive data. The participating companies hold vast amounts of personal information, ranging from energy consumption patterns via Enel and mobility data via Eni to defense and security data via Leonardo.