Against the U.S. and China, Europe appears to lag in digital prowess. With a Brexit looming, this gap could only grow. Look closer, though, and the makings are there for a radical fix, both in Europe's historical strengths and in its hotbeds of digital activity.

The U.S. is the undisputed world leader in software. In the last 20 years, Asia Pacific has become the hardware epicenter of the globe. Where then does Europe stand in this digital landscape, as it looks to the east and the west?.

European technology companies and policymakers need to take a series of steps that address structural flaws and emphasize strategic advantages to reposition Europe for digital dynamism.