AI software factory is a critical technology for the EU economy - Part 1/5

By 2026, AI will no longer be a technological novelty but will have become infrastructure and a geopolitical factor influencing labor markets, energy, security, and the balance of power between states and corporations. In such a landscape, what counts are solutions that can translate the capabilities of AI into real value in a controlled and compliant manner – rather than merely demonstrating technological superiority.

The perspective of the Critical Technology Support Fund initiative is key here: GENESIS-AI fulfills both conditions for critical technologies – it brings a groundbreaking product with high economic potential to the EU internal market and reduces strategic dependencies in the field of AI to software development. This is not just the application of ready-made tools, but the development of new AI methods, models, and systems directly in the area of "artificial intelligence algorithms."

In hard numbers, GENESIS-AI means:

• a reduction in the time needed to produce a typical web application prototype from approximately 180 days to 7 days,

• a reduction in unit cost from PLN 300,000 to approx. PLN 15,000 (a reduction of 90-95%),

• a reduction in the number of specialists needed for a project from 5–7 people to a duo of an analyst and a technical person supervising the work of agents,

• no vendor lock-in – generating complete, readable code in standard technologies (Python, C, SQL, popular web frameworks) with the possibility of maintenance by any team,

• full compliance with GDPR, NIS2, DORA, and the AI Act, and the ability to work in an on-premises and EU-cloud-only model.

Literature and reports on AI increasingly emphasize the transition from individual tools to agent-based systems that truly change the productivity, resilience, and digital sovereignty of the economy. GENESIS-AI should be presented today as a concrete response to this shift – as a European, sovereign software factory based on multi-agent AI systems, designed from the outset in accordance with the requirements of the STEP initiative, the AI Act, and other EU regulations.

In five parts, I will present the key arguments for why we are building GENESIS-AI and what this means for the EU economy:

• Part 1 – critical technology.

• Part 2 – innovation, higher productivity, and lower costs.

• Part 3 – digital sovereignty and strategic technological autonomy.

• Part 4 – leveling the playing field for SMEs and startups.

• Part 5 – Catalyst for a sustainable and resilient digital economy.

Part 1/5 – Critical technology for the modern economy [AI software factory is a critical technology for the EU economy]

More and more analyses are talking about the advent of agentic organizations – companies where people work side by side with virtual and physical AI agents, and entire business processes are handled by networks of agents at a marginal cost close to the cost of computation. There are already reports of cases where 2-5 people supervise "factories" of 50-100 agents performing complex end-to-end processes, from customer onboarding to closing the books, while humans are above the loop, correcting and setting the direction, rather than performing every operational task.

GENESIS-AI fits perfectly into this trend: it is not just another developer assistant, but a multi-agent system of specialized agents (requirements analysis, database, backend, frontend, testing, security) with a central Orchestrator. At the heart of the solution is the Generative Software Engineering Framework (GSEF) – a framework that takes requirements specifications (text, models, diagrams) and systematically converts them into a complete web application: architecture, backend and frontend code, database schema, test suite, and deployment packages.

The debate on "agents as the next frontier" emphasizes that the transition from knowledge tools to systems capable of independently planning, dividing into subtasks, and executing complex workflows will be the next wave of generative AI value. The explosion of agents, Claude Code, swarm solutions in IDE, corporate agent-tooling has shown that systems that independently design, write, and run complex software already exist, but suffer from cost, security, and oversight issues. GENESIS-AI is a model response to these challenges in one of the most difficult areas – generating complete IT systems, rather than simple, one-dimensional tasks – and can therefore be considered a critical technology in the field of AI and software engineering, developed at source rather than merely consuming other people's models.

The world is moving from the "Napster phase of AI" – chaotic, often unregulated use of models – to the "Spotify phase," where regulated, licensed, and auditable use of AI is becoming crucial. This shift is reflected in European regulatory (AI Act, NIS2, DORA) and investment (STEP initiative and related instruments) policies, which require AI systems to be transparent, supervised, and auditable throughout their entire lifecycle. GENESIS-AI fits into this direction as a standardized, controlled pipeline for building enterprise agents – each agent has a defined scope of permissions, security tests, emergency scenarios, and a full audit trail.

In this sense, GENESIS-AI meets the definition of critical technology as understood by STEP – it is a groundbreaking AI system developed in the EU that directly strengthens the value chain in the area of "artificial intelligence algorithms" and addresses the AI Act's requirements for security, oversight, and transparency.