Remarkable how it is the politicans who should have been doing this when it doesn't get done, and how everyone is quick to complain if politicians meddle in what the private sector should have been doing. This is a recurring theme in a lot of debates. And I think it has to do with our need to blame someone but ourselves.
Yes, one could solve this through procurement rules that favor domestic or regional products. And there are sometimes procurement rules that state that domestic vendors should be preferred. But I have seen that in practice and it doesn't actually work. One one project I worked on decades ago the military was sourcing a system for "local administration". A company that was effectively bankrupt, had the weirdest OS I have ever used, and the worst office support systems I've had the misfortune of trying to use, was the only domestic candidate. Yes, it did check the boxes in the procurement process, but everyone knew it was never going to happen.
Interoperability, product maturity, familiarity, feature completeness, quality etc tends to win out.
I think we have to realize that this has almost nothing to do with our political leaders and everything to do with our inability to create software businesses in Europe. We need to figure that bit out. And perhaps this is the kick in the behind we needed to get our act together.