Ireland’s Big Tech presidency dilemma: Shaping the rules for companies it hosts

Tech regulation will form a large part of Dublin’s presidency of the Council of the EU, which starts July 1.

By ELLEN O’REGAN

^{Illustration by Eoin Ryan for POLITICO}

As Ireland gets ready to engineer compromises between EU countries on tricky tech files in the latter half of this year, the very loud, trumpeting elephant in the room will be the country’s close relationship with U.S. tech giants.

Sixteen of the world’s top 20 tech companies operate hubs in Ireland and more than 100,000 people are employed in the tech sector. Ireland’s fiscal watchdog warned earlier this year that just two tech firms — not named but understood to be Apple and Microsoft — paid almost 40 percent of all corporate tax in Ireland in 2024, adding up to €11 billion.

“It’s widely acknowledged, including by the Irish Fiscal Advisory Council, that Ireland is too reliant on Big Tech firms,” said liberal Member of the European Parliament Michael McNamara, who was the lead lawmaker on a package to roll back AI rules, and a key figure in another plan to streamline data and privacy laws. 

“Ireland needs to be clear-eyed about the pressures that will come during the Presidency,” from major tech companies with headquarters in Dublin, he said.

Ireland’s to-do list once it assumes the rotating presidency of the Council of the EU on July 1 will likely include work on a tech sovereignty package to untangle Europe’s reliance on foreign tech; separate proposals that could squeeze U.S. firms out of European satellite airwaves and critical supply chains; slashing red tape to simplify tech rules; if and how to ban kids from social media; making the online world fairer for consumers; and a facelift for telecom rules.

The country that holds the presidency can subtly influence the work of the Council by deciding what to prioritize or put on the back burner, but in general is supposed to act as a so-called honest broker to find common ground among diplomats.

Offices of Google in the business and financial sector of Dublin City centre. | Paul Faith/AFP via Getty Images

Left-leaning European Parliament lawmaker Lynn Boylan from Irish opposition party Sinn Féin said Ireland’s economic model is “deeply tied to keeping a small number of overwhelmingly American tech corporations comfortable,” which creates an “obvious conflict” with Ireland handling digital policy during its presidency. 

But Ireland has garnered a reputation among diplomats in Brussels as a fair dealer, including for previous work on politically sensitive tech files in Washington’s crosshairs. During its last Council presidency in 2013, Ireland made diplomats sleep in tents to maximize time spent negotiating the EU’s General Data Protection Regulation, earning kudos from then-Justice Commissioner Viviane Reding. 

One EU diplomat told POLITICO that Ireland was “very fair” during negotiations on the current legal framework underpinning data flows between the EU and U.S., while another called the country “very professional” in how it handles digital files. Both were granted anonymity to divulge an opinion on another country.

Where Ireland has faced criticism in the past is on enforcement of the bloc’s tech laws, which fall under its remit as host of privacy and media watchdogs the Irish Data Protection Commission and Coimisiún na Meán.

The DPC in particular has drawn criticism for not being firm enough on enforcement, and accusations of a revolving door between regulators and the private sector. In Dublin, the nonprofit Irish Council for Civil Liberties has called for Ireland to recuse itself from all digital files during the Council presidency. 

Niamh Smyth, Ireland’s minister of state in charge of artificial intelligence and trade promotion, told POLITICO she doesn’t agree with critics who say Ireland won’t be an honest broker, including on a set of proposals that aim to wean Europe off its reliance on U.S. tech.  

“We have had many presidencies before, and we have always done our job well and done it objectively. It’s like being the chair of any committee; you have to be objective, you have to bring people together,” she said. 

What Big Tech wants

Tech firms made their presidency demands clear during a public consultation held last year by the Irish government. Big Tech lobby group CCIA Europe called for Ireland to “double down” on simplification of tech rules and “firmly reject” sovereignty rules that could exclude foreign tech firms.  

Social media giant Meta urged Ireland to “adopt a leadership position in shaping Europe’s digital agenda,” calling for a “complete overhaul” of Europe’s digital rules and a “pause on implementation” of new digital rules coming down the pipeline. It also said Ireland should bring its “unique relationship with the U.S.” to the fore during its presidency to strengthen EU-U.S. ties.

Mark Zuckerberg, CEO of Meta, looks on during UFC Freedom 250 at the White House on June 14, 2026 in Washington, DC. | Chris Graythen/Getty Images

Bram Vranken, researcher at transparency NGO Corporate Europe Observatory, said that “Big Tech’s priorities seem to be pretty clear. Deregulate harder and faster, and ensure that the EU market remains as open as possible to Big Tech.”

He said that while companies lobby any country holding the Council presidency, “in the case of Ireland they know they have more leverage, so they might assume or hope to get more things done.”

Irish officials in the country’s Brussels outpost point to the fact that the government published submissions received by tech firms and lobbyists as an example of how it’s trying to be transparent about presidency-focused lobbying from all sides.

Liberal European Parliament lawmaker Billy Kelleher — part of the government coalition Fianna Fáil party — said Ireland should “not be embarrassed about being a success story” with a tech sector that employs thousands. He said Big Tech’s presence in Ireland will “absolutely not” influence how it handles digital files.   

“Our previous presidencies have been praised for their efficiency and effectiveness. Member States know we will always do the right thing and not just appear to be an honest broker but to engage in our work in an honest fashion,” he said.