European countries are willing to make big bets. The issue is with incompetent leadership. For example they made very big bets on quantum computing and particle accelerators for HEP, both of which have close to zero ROI. Meanwhile, up till very recently AI was sneered at as not "scientific" enough. This is a problem with leadership. The issue is mostly that we put people in leadership positions, who are experts in past technologies but those instincts do not translate well to present technologies.

non sense

Google deepmind headquarter is located in Europe, US tech dominance just that good to attract talent all of europe

You can see list of AI researcher that comes from europe+asia