TL;DR
The Netherlands will screen foreign investment in AI, biotech, and four other technology sectors from January 2027, affecting hundreds of companies. The move follows the Nexperia controversy and last month’s block of a US cloud acquisition.
The Dutch government will expand its investment-screening regime to cover six additional technologies, including artificial intelligence, from 1 January 2027. The rules will affect hundreds of companies, according to the Ministry of Economic Affairs.
“The Netherlands is the target for cyber operations, espionage and sabotage,” Economic Affairs Minister Heleen Herbert said. “Our goal remains an open economy but we remain vigilant about risks.”
What’s being added
The expansion adds AI, advanced materials, nanotechnology, sensor and navigation technology, nuclear technology for medical use, and biotechnology to the existing screening law. The 2023 law already covers semiconductors and quantum computing.
Under the rules, foreign investors seeking to acquire or take significant stakes in Dutch companies working in these sectors will face mandatory government review. The government can block transactions it deems a threat to national security.
The 💜 of EU tech
The latest rumblings from the EU tech scene, a story from our wise ol' founder Boris, and some questionable AI art. It's free, every week, in your inbox. Sign up now!
The Nexperia lesson
The expansion follows years of controversy over foreign takeovers of strategically sensitive Dutch assets. The 2023 screening law came into force too late to prevent the acquisition of chipmaker Nexperia by Chinese-owned Wingtech, leading to a high-profile standoff between the government and the company’s Chinese owners that is still being litigated.
The lesson was clear: screening regimes only work if they cover the right sectors before a deal closes, not after. AI was a conspicuous omission from the original 2023 law.
The Solvinity precedent
Last month, the government blocked the acquisition of cloud services provider Solvinity by American firm Kyndryl. Solvinity handles sensitive Dutch citizen data, and the block demonstrated that the screening regime applies to allies, not just adversaries.
That distinction matters for AI companies. The Netherlands hosts some of Europe’s most advanced AI research, and the expanded rules will subject foreign investment in those firms to the same scrutiny regardless of the investor’s country of origin.
The European context
The Netherlands joins a growing list of European countries tightening investment screening around AI and deep tech. The EU’s technology sovereignty package, announced in May, includes new restrictions on US cloud providers handling European government data and a broader framework for screening foreign investment in critical technologies.
The expanded rules are subject to review by the Dutch parliament before taking effect. The parliamentary process is a formality in most cases, but it introduces the possibility of amendments or delays. No specific companies have been named as targets of future screening.
Get the TNW newsletter
Get the most important tech news in your inbox each week.