After DSA and DMA: Will a “European Tech Champion” Emerge by 2026?

16.07.2025 | Analysis

The EU is challenging US and China dominance with new regulations and funding. Can Europe build its own global tech leader by 2026?

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After DSA and DMA: Will a “European Tech Champion” Emerge by 2026?

With the implementation of the Digital Services Act (DSA) and Digital Markets Act (DMA), the European Union has shown its ambition to rewrite the rules of the digital world and limit the influence of global “gatekeepers” like Google, Apple, and Meta. The big question is whether these regulations, combined with investment programs such as the European Tech Champions Initiative (ETCI), will result in the creation of a true European technology leader.

How are DSA and DMA reshaping the landscape?

DSA and DMA target greater transparency, equal market access, and a ban on unfair practices such as self-preferencing and blocking competitors. Since 2024, “gatekeeper” companies have been required to allow third-party access to certain platforms and services.

By 2025, the European Commission had already imposed significant fines on Apple and Meta for DMA violations, demonstrating its determination to enforce compliance.

The European response: innovation funds

In parallel with regulation, the EU launched the European Tech Champions Initiative, directing billions of euros into startups and scale-ups. The goal is to foster globally competitive European players capable of rivaling the giants from the US and China.

What about Bulgaria’s role?

Bulgarian tech companies and startups have an opportunity to benefit from the opening niches:

However, for many local players, the main risk remains a lack of resources and expertise to quickly adapt to new regulations and market opportunities.

Possible scenarios by 2026

Scenario A: Europe builds its champion

A combination of strict regulations and targeted investments creates a robust ecosystem from which global tech giants emerge.

Scenario B: Moderate growth of local players

European companies achieve continental success but remain outside the global top tier.

Scenario C: Innovation slowdown

Overregulation stifles small and medium firms, while American and Asian competitors strengthen their positions.

Conclusion

DSA and DMA represent the EU’s first serious step toward rebalancing the digital market. By 2026, it will become clear whether the mix of regulations and investments will give rise to a “European Tech Champion” or create new barriers to innovation.

Disclaimer:
This article is an analytical review by the BurgasMedia editorial board and reflects the opinion of an expert group based on current political, economic, and social developments.
The conclusions presented are not predictions or factual statements, but a hypothetical interpretation of possible scenarios.
The publication is not responsible for any discrepancies with future developments and encourages readers to form independent judgments based on verified sources.