1. We have a large homgoneous market where you can build a product and it’s expected it can succeed for hundreds of millions of Americans
2. EU is the easiest second market, and another step change of hundreds of millions of customers in a somewhat unified market
3. there’s not an easy 3rd economy that replaces EUs wealth, population, and comfort with English + technology
When we piss everyone off in the EU tech company growth gets kneecapped and limited to US / Canada. Theres not an easy market to expand to without much deeper focus on that specific market and its needs, for much fewer returns.
The announcement is about a tool developed internally by the French government to use internally, too. This is a very wasteful approach that does not create real competitors to US giants, and it is liable to be cancelled at the next round of cost reduction...
Realistically there is zero alternative to US tech/online dominance in sight in Europe and the credible competitors are more likely to be Chinese (tiktok, temu, shein, etc.) What is happening is EU politics.