Europe is re-arming. This week, faced with geopolitical instability, including Russia’s continued aggression in Ukraine, the uncertainties surrounding NATO’s future and the decline of the strategic transatlantic alliance, the European Commission and the High Representative presented the ReArm Europe Plan/Readiness 2030 - which aims to mobilise around €800 billion over the next four years

In the meantime, European nations have announced unprecedented investments in defense. Germany has pledged 1 trillion to rebuild its military and related infrastructure; France is expanding its defense budget to €413 billion by 2030, and Poland set to hit defense budget at 4.7% of GDP this year - the highest relative level in NATO. 

The logic is clear: in an era of increasing threats, and geopolitical chaos , security requires investment.Yet, as billions are funneled into tech military capabilities, a critical question remains largely unasked: Will these investments strengthen not only security but also peace?

The announcement of the ReArm Europe Plan, March 19, 2025 (Copyright: European Commission)

The answer should not be left to chance. In the rush to expand defense capabilities, Europe has the opportunity to pioneer a new paradigm: one that integrates "PeaceTech" alongside military modernization. This is not about naive pacifism or wishful thinking. Rather, it is about strategically deploying technology to prevent conflicts before they start, mitigate their impact when they do occur, and aid post-conflict recovery and stabilization.

Technology is no longer just a tool of statecraft—it has become the decisive arena where geopolitical power is contested. In today’s world, it is not nation-states alone that shape global affairs, but the digital architectures, artificial intelligence models, and cyber capabilities that define influence and control. The question is no longer whether technology will drive peace or conflict—it already does.

The lesson is clear: the surest way to win a war is to prevent it. In an era where technology shapes not just battlefields but entire global orders, investing in PeaceTech—the use of technology to anticipate, mitigate, and resolve conflicts—must be more than an afterthought. It must be a strategic priority.

The Case for PeaceTech

PeaceTech refers to technology designed to prevent, mitigate, and recover from conflict. It spans three key areas:

1. Conflict Prevention: AI-powered early warning systems, such as VIEWS, which predicts outbreaks of violence with increasing accuracy; satellite mon on itoring by companies like Lunasonde that identify water and resource scarcity, helping to avert resource-driven conflicts; and digital mediation platforms like Project Didi, which use AI to analyze peace negotiations and identify diplomatic opportunities.

2. Humanitarian Response: AI-driven platforms like the Danish Refugee Council’s DEEP, which improves humanitarian aid coordination; blockchain-based identity verification for displaced populations, which prevents further casualties in war-torn areas.

3. Post-Conflict Stabilization: Technologies that facilitate peacekeeping and reconstruction, including autonomous demining solutions, digital infrastructure rebuilding, drone technology such as Aerobotics7’s landmine detection systems, and geospatial AI that maps and prioritizes reconstruction efforts.

The Imbalance: Military vs. PeaceTech Investment

Despite PeaceTech’s promise, investments remain asymmetrical. Defense budgets are skyrocketing, but there is little comparable funding for technologies that prevent conflict in the first place. This is both a policy and investment failure. While defense is necessary, so too is reducing the conditions that lead to war.

History shows that the post-conflict recovery process is often riddled with instability, leading to cycles of violence. Investing in PeaceTech as part of Europe’s broader security strategy would be both a moral imperative and a sound financial decision. Post-conflict stabilization costs vastly exceed the price of prevention. For instance, the war in Syria has cost the international community over $1 trillion in economic losses and reconstruction efforts—costs that dwarf what proactive conflict prevention mechanisms might have required.

A Market Failure? The Need for a PeaceTech Investment Ecosystem

A core challenge is the lack of market mechanisms and dedicated funding structures for PeaceTech. Unlike defense contractors with clear government procurement channels, PeaceTech innovators often struggle to attract investment. Governments, tech companies and investors should establish:

1. A "Triple-Use" Investment Strategy: Rather than focusing solely on dual-use technologies (commercial and defense), investors should embrace "triple-use" solutions that also serve peacebuilding and humanitarian applications. This would unlock new markets while aligning with corporate social responsibility goals.

2. A PeaceTech Fund and Marketplace: A dedicated public-private PeaceTech Fund could provide early-stage capital to promising ventures, similar to how defense R&D is supported. Meanwhile, a PeaceTech Marketplace would enable public, private, and nonprofit actors to rapidly procure technologies tailored for peace operations.

3. Incentives for PeaceTech Startups: As part of their re-armement package, governments could offer tax breaks and grants for PeaceTech development. Companies investing in AI-driven conflict prediction, humanitarian logistics, or digital diplomacy tools should benefit from the same incentives afforded to cybersecurity or defense firms.

Europe’s Opportunity to Lead

In the coming years, Europe will co-shape the future of security and defense. The decisions made today will determine whether we move toward a perpetual arms race or a more balanced approach that integrates technology for peace in a responsible way. Europe has the opportunity to be a global leader not just in military rearmament, but in building a sustainable security and peace framework that prevents conflict, protects civilians, and accelerates post-war recovery.

Investing in PeaceTech is not about sidelining defense—it is about making security smarter, more sustainable, and ultimately, more effective. The future of peace and security in Europe will depend on whether investments today recognize the value of technology not just in waging war, but in sustaining peace.

The time to act is now.

Dr. Stefaan Verhulst is Co-Founder of The GovLab (NYC) and The DataTank (Brussels), and Research Professor at Tandon School of Engineering, New York University

Artur Kluz is an investor and entrepreneur, Founder and CEO of Kluz Ventures.