Summary Under the proposed Cloud and AI Development Act (CADA), Bulgaria would be required to establish Experience and Acceleration Centres for AI (Centres for AI) as mandated by Article 5. These centres would not be created from scratch but would build upon existing European Digital Innovation Hubs (EDIHs). Their primary role would be to accelerate the adoption of cloud and AI technologies among SMEs, small mid-caps (SMCs), and public sector bodies by connecting them with European providers. These centres would serve as the operational entry points for implementing Bulgaria's national cloud and AI strategy (required under Article 7) and would function as part of a wider EU-wide network to ensure regional expertise is accessible across the country.

Detail

The Cloud and AI Development Act (CADA), currently a proposal (COM(2026) 502 final), seeks to strengthen the European cloud and AI ecosystem through a combination of supply-side measures, demand-side adoption, and infrastructure development. A central pillar of the demand-side strategy is the establishment of a dedicated support network to bridge the gap between technological potential and practical adoption. Article 5 of the proposal specifically addresses this by mandating the creation of Experience and Acceleration Centres for AI in every Member State, including Bulgaria.

The Legal Mandate: Article 5

Article 5(1) imposes a clear obligation on each Member State: "Each Member State shall establish Experience and Acceleration Centres for AI ('Centres for AI')." Crucially, the proposal does not envision a fragmented proliferation of new administrative bodies. Instead, it requires these centres to "build on the European digital innovation hubs established under Article 16 of Regulation (EU) 2021/694 and, where applicable, any successor entities established under Union law."

For Bulgaria, this means the existing network of European Digital Innovation Hubs (EDIHs) would be refocused, expanded, or formally designated to fulfil the specific "Centres for AI" mandate. This approach leverages existing infrastructure, expertise, and regional coverage, ensuring that the new centres are immediately operational and deeply embedded in the local innovation ecosystem. The proposal further notes in Article 5(5) that these centres shall have "substantial overall autonomy as regards their organisation, composition and working methods," provided they comply with the Regulation's objectives.

Core Objectives: Who Do They Serve?

The primary mission of the Centres for AI is to drive adoption across the economy, with a specific focus on smaller entities and the public sector. Article 5(2) outlines three core objectives:

  1. Strategic Integration: Supporting the integration and scaling-up of AI use cases in strategic industrial and public sectors.
  2. Broad Adoption: Accelerating the broad adoption of cloud and AI technologies at regional and local levels. This explicitly targets SMEs, small mid-caps (SMCs), and public sector bodies. The adoption must align with the "AI first" principle, urging organisations to reflect on their business processes and consider AI opportunities.
  3. Infrastructure Leverage: Leveraging relevant infrastructure to accelerate the development and fine-tuning of AI models and systems.

To achieve these goals, Article 5(3) assigns specific tasks to the Centres. For Bulgarian public bodies and businesses, the most critical functions include:

  • Connecting to European Providers: The centres are tasked with "helping organisations accelerate their digital transformation through access to and use of AI technologies, including by connecting organisations with European providers of cloud and AI technologies." This directly supports CADA's broader sovereignty goals by steering demand away from non-EU hyperscalers toward European alternatives.
  • Skills Development: Ensuring or providing access to upskilling and reskilling schemes, in close collaboration with the AI Skills Academy. This addresses the talent gap that often hinders AI deployment.
  • Knowledge Transfer: Facilitating the transfer of expertise across regions, ensuring that a public body in a rural Bulgarian region can access the same level of expertise as one in Sofia.
  • Supporting Innovation Ecosystems: Supporting the scaling-up of spin-offs and start-ups emerging from universities and incubators by facilitating access to clients and organisations seeking specialised AI services.

The Link to Bulgaria's National Strategy

The Centres for AI are not standalone entities; they are the operational engine for Bulgaria's broader national strategy. Article 7 of CADA requires Member States to adopt a national cloud and AI strategy within one year of the Regulation's entry into force.

Article 7(2)(b) explicitly mandates that these national strategies must include "measures to accelerate the development and adoption of cloud and AI at national, regional and local level, particularly among public sector bodies, SMEs and SMCs, including by supporting the Centres for AI referred to in Article 5 as entry points to the European AI innovation ecosystem."

This creates a direct legal and operational link:

  1. Strategy Formulation: Bulgaria's national strategy must define how the Centres for AI will be funded, governed, and utilised to meet national adoption targets.
  2. Implementation: The Centres become the primary vehicle for executing the strategy's measures regarding regional and local adoption.
  3. Monitoring: Under Article 7(5), Member States must assess their national strategies at least every three years based on key performance indicators. The performance of the Centres for AI would likely be a central metric in this assessment.

The EU-Wide Network: Ensuring Cross-Border Synergy

While the Centres are established nationally, they function as part of a cohesive European network. Article 5(6) states that "A network of Centres for AI shall be established to support collaboration and the exchange of best practices among Centres for AI."

This network serves a critical function for Bulgaria:

  • Resource Sharing: It allows for the provision of "specialised services across regions where the required skills or compute capacity are not available locally." If a specific AI use case requires expertise or compute power not present in a Bulgarian region, the network facilitates access to it from another Member State.
  • Cooperation: Article 5(7) requires Member States and the Commission to cooperate with existing networks, including those in semiconductors and data, ensuring the Centres for AI are integrated into the wider European digital infrastructure.

What this means for you

For public-sector bodies, SMEs, and start-ups in Bulgaria, the establishment of Centres for AI under Article 5 represents a significant shift in how digital transformation support is delivered.

1. A Single Point of Contact for Digital Transformation

Public bodies and SMEs in Bulgaria would no longer need to navigate the complex cloud and AI market in isolation. The Centres for AI would act as a local, trusted partner. They can help identify suitable AI use cases, assess organisational readiness, and, crucially, connect organisations with European providers. This is particularly valuable for public procurement officers who must increasingly consider sovereignty and European added value in their tendering processes.

2. Access to Specialised Training and Upskilling

The skills gap is a major barrier to AI adoption. The Centres for AI are mandated to ensure access to upskilling schemes in collaboration with the AI Skills Academy. For Bulgarian public sector employees and SME staff, this means access to tailored training programmes that align with the "AI first" principle, ensuring teams are equipped to manage and oversee AI systems effectively.

3. Boosting Local Innovation and SME Growth

For Bulgarian start-ups and spin-offs, the Centres offer a pathway to scale. By facilitating access to clients (including public bodies) and providing expertise, the centres help local innovations find a market. This aligns with Article 33, which encourages Member States to award at least 25% of their procurement for cloud computing services and AI systems to innovative SMEs. The Centres would be instrumental in identifying and preparing these SMEs for public procurement opportunities.

4. Alignment with the National Roadmap

As Bulgaria develops its national cloud and AI strategy under Article 7, public bodies should proactively engage with their local Centre for AI. These centres will be the primary implementers of the strategy's regional and local adoption measures. Procurement officers and IT directors should monitor the activities of these centres to ensure their own procurement processes and digital strategies align with the national roadmap.

Common misconceptions

Misconception 1: These are new, expensive bureaucracies. Reality: Article 5(1) explicitly states that the Centres for AI must "build on the European digital innovation hubs." This is an evolution and refocusing of existing structures, not the creation of entirely new, costly administrative bodies from scratch. The goal is to leverage existing expertise and infrastructure.

Misconception 2: They only serve large corporations. Reality: The primary targets are explicitly SMEs, small mid-caps (SMCs), and public sector bodies. Article 5(2)(b) and Article 5(3)(d) specifically highlight the support for SMEs, SMCs, start-ups, and spin-offs. Large corporations are not the primary focus of these acceleration hubs.

Misconception 3: They replace national procurement authorities. Reality: The Centres for AI are support and acceleration hubs. They do not have regulatory or enforcement powers. They do not replace the national competent authorities designated under Article 25 for enforcing the cloud sovereignty framework, nor do they replace the contracting authorities responsible for public procurement. Their role is advisory, educational, and connective.

Misconception 4: They are only for AI, ignoring cloud infrastructure. Reality: While named "Centres for AI," their mandate under Article 5(2)(b) includes accelerating the adoption of cloud and AI technologies. They are integral to the broader cloud and AI ecosystem strategy, helping organisations understand how cloud infrastructure underpins AI deployment.

Related

This is general information about a draft EU regulation, not legal advice.