The lack of venture capital funding in Europe is having dramatic consequences for EU startups, according to columnist Agathe Demarais. Without an overhaul of EU innovation financing, the bloc risks falling further behind the U.S. and China in terms of economic might, technological prowess, and geopolitical relevance. Europe’s elites are facing difficult choices regarding reliance on global supply chains, domestic production, cheaper electric vehicles, higher CO2 allowances, and more hybrids. Despite substantial government funding, Europe continues to struggle with its industrial challenges, highlighting the need for strategic decisions in innovation and production.