Summary Under the proposed Cloud and AI Development Act (CADA), Croatia, like all EU Member States, would be required to establish Experience and Acceleration Centres for AI (Centres for AI). As proposed in Article 5, these centres must build upon the existing network of European Digital Innovation Hubs (EDIHs). Their primary role is to act as local entry points for SMEs, small mid-caps (SMCs), and public sector bodies to adopt cloud and AI technologies, specifically by connecting them with European providers. These centres are not standalone entities but the operational arm of Croatia's national cloud and AI strategy (required under Article 7), forming a coordinated EU-wide network to ensure balanced regional adoption and reduce dependencies on non-EU providers.

Detail

The proposed Cloud and AI Development Act (CADA), COM(2026) 502 final, seeks to strengthen Europe's cloud and AI ecosystem through a mix of supply-side measures (like data centres) and demand-side measures (like adoption). A cornerstone of the demand-side strategy is the creation of a unified network of Experience and Acceleration Centres for AI. For Croatia, this represents a significant evolution of its current digital innovation infrastructure, shifting from general digital support to a targeted focus on AI and sovereign cloud adoption.

The Legal Mandate: Article 5 and the EDIH Foundation

Article 5(1) of the CADA proposal explicitly states: "Each Member State shall establish Experience and Acceleration Centres for AI ('Centres for AI'). Those Centres for AI shall 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."

This provision is critical for Croatia. It means the country is not required to construct entirely new bureaucratic institutions from scratch. Instead, it must identify its existing EDIHs and upgrade their mandates, governance, and capabilities to align with the specific objectives of CADA. The regulation ensures continuity while imposing a new, stricter focus on AI and cloud sovereignty.

Core Objectives: Who Do They Serve?

The regulation defines the specific objectives of these centres in Article 5(2). For Croatia, the centres would be legally bound to pursue three main goals:

  1. Support Integration and Scaling: They must "support the integration and scaling-up of AI use cases in strategic industrial and public sectors." This targets sectors like healthcare, energy, and mobility, which are prioritized in the CADA explanatory memorandum.
  2. Accelerate Broad Adoption: They must "accelerate the broad adoption of cloud and AI technologies at regional and local levels, notably for SMEs, SMCs and public sector bodies, in line with the 'AI first' principle." This directly addresses the gap where smaller entities often lack the resources to navigate complex AI markets.
  3. Leverage Infrastructure: They must "leverage relevant infrastructure to accelerate the development and fine-tuning of AI models and systems," ensuring that local actors can access the compute power necessary for innovation.

Key Tasks: Connecting Croatia to the European Market

Article 5(3) details the specific tasks these centres must perform. For Croatian public bodies and businesses, these functions are the primary mechanism for accessing support:

  • 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 is a strategic move to counter the dominance of non-EU hyperscalers. By acting as a trusted intermediary, the centres would guide Croatian entities toward providers that can meet the Union Assurance Levels proposed in Article 16.
  • Upskilling and Reskilling: The centres must ensure or provide access to "relevant upskilling and reskilling schemes, in close collaboration with the AI Skills Academy." This addresses the talent shortage that often stalls AI projects in the public sector.
  • Cross-Regional Expertise Transfer: They are responsible for "facilitating the transfer of expertise across regions." This ensures that a successful AI pilot in Zagreb can be replicated in Split or Rijeka, preventing a "digital divide" within Croatia.
  • Supporting Start-ups and Spin-offs: The centres must "support the scaling-up of spin-offs and start-ups emerging from universities, incubators and other accelerators by facilitating access to clients, companies and organisations seeking specialised AI services." This creates a pipeline for local innovation to enter the public procurement market.

The Strategic Link: Article 7 and National Strategies

The establishment of Centres for AI is not an isolated requirement; it is inextricably linked to Croatia's broader policy framework. Article 7(1) mandates that Member States establish national cloud and AI strategies within one year of the regulation's entry into force.

Article 7(2)(b) explicitly requires these national strategies to 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 clear hierarchy:

  1. National Strategy (Article 7): Sets the high-level goals, targets, and governance framework for Croatia's cloud and AI adoption.
  2. Centres for AI (Article 5): Serve as the operational "entry points" to execute these goals on the ground.

The national strategy must also ensure consistency with the EU's Digital Decade Policy Programme (Decision (EU) 2022/2481), specifically the target of having 75% of enterprises adopting cloud, big data, and AI. The Centres for AI would be the primary vehicle for Croatia to report progress against these targets.

The EU-Wide Network: Article 5(6)

Finally, Article 5(6) establishes that "A network of Centres for AI shall be established to support collaboration and the exchange of best practices among Centres for AI, and to provide specialised services across regions where the required skills or compute capacity are not available locally."

For Croatia, this means its Centres would not operate in isolation. If a specific AI capability or high-performance compute resource is unavailable domestically, the network would facilitate access to these resources in other Member States. This cross-border cooperation is designed to ensure that smaller Member States like Croatia can access the same level of innovation capacity as larger economies, fostering a truly single market for AI.

What this means for you

For Croatian public-sector procurement officers, digital transformation leads, and SME owners, the Centres for AI represent a new, mandatory resource for navigating the digital landscape.

1. Your First Stop for Procurement Guidance

When your department needs to procure cloud or AI services, the Centres for AI would be the designated source of guidance. Under Article 30, public bodies must procure services that meet specific Union Assurance Levels. The Centres, by virtue of their mandate to "connect organisations with European providers," would help you identify vendors that are already recognised as compliant. This reduces the administrative burden of vetting providers and mitigates the risk of selecting a non-compliant, non-EU provider.

2. Access to Innovation and SMEs

If your procurement strategy involves innovative solutions, the Centres are your bridge to the local ecosystem. Article 33 encourages Member States to award at least 25% of innovation procurement to SMEs. The Centres are tasked with "facilitating access to clients... seeking specialised AI services" for start-ups and spin-offs. By engaging with the Centres, you can access a curated list of local and European SMEs that are ready to deliver innovative solutions, helping you meet your SME participation targets.

3. Solving the Skills Gap

The "AI first" principle requires a workforce capable of managing AI systems. The Centres' collaboration with the AI Skills Academy means you can access tailored training programs for your staff. This is crucial for complying with the human oversight requirements of the AI Act and ensuring that your public sector bodies can effectively deploy and manage the AI systems they procure.

4. Strategic Alignment and Funding

Your department's digital plans must align with the national strategy. The Centres are the operational partners for implementing this strategy. Engaging with them early can unlock access to EU funding streams (such as Horizon Europe or the Digital Europe Programme) that are coordinated through these hubs. They can also provide the technical expertise needed to draft procurement specifications that are both ambitious and compliant with CADA.

Common misconceptions

"These are new, standalone government agencies."

  • Reality: The regulation is explicit: Centres for AI "shall build on the European digital innovation hubs." Croatia is not required to create new bureaucratic entities but to repurpose and upgrade existing EDIHs. This ensures efficiency and leverages existing expertise.

"They only serve large tech companies."

  • Reality: The primary mandate is to serve SMEs, SMCs, and public sector bodies. The regulation specifically targets these groups to ensure they are not left behind in the AI transition. Large incumbents are not the primary focus of these support mechanisms.

"They will force us to use specific European vendors."

  • Reality: The centres connect organisations with European providers; they do not mandate specific vendors. However, they play a crucial role in helping public bodies identify providers that meet the sovereignty and security requirements of CADA. This may indirectly favour European providers that can demonstrate compliance with Union Assurance Levels, but the choice remains with the contracting authority.

"This is optional for Croatia."

  • Reality: Article 5(1) uses the mandatory language "Each Member State shall establish." This is a binding obligation under the proposed regulation. Croatia must designate these centres and integrate them into its national strategy.

"They are just for AI, not cloud."

  • Reality: The centres are named "Experience and Acceleration Centres for AI," but their mandate explicitly includes accelerating the adoption of cloud technologies. Article 5(2)(b) and 5(3)(a) clearly state their role in connecting organisations with European providers of cloud and AI technologies.

Official sources

Related

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