American chips depend on European-made Extreme Ultraviolet lithography machines, which are among the most complex machines ever built and rely on European high-tech mirrors, etc... Everything is then assembled in Taiwan. This industry is so interconnected that nothing can be done independently, at least not in the Western part of the world.
The main point should not be the hardware or software itself, because these are just tools that can eventually be obtained. The real issue is development and its cost. US companies now have to cover substantial capital requirements for developing entirely new business models, capital that would likely never be accumulated in Europe. In the past, they competed globally, but in a more fragmented world this is no longer the case. As a result, the risk associated with such investments is higher because potential reward is smaller.
Mistral does not have to compete in the same way. It lacks both the ability and the intention to fight on the global stage against Silicon Valley capital. Instead, it can wait for the industry to stabilize and for business models to mature, then adopt them.
Over time, there will be standardized ways to train models to a certain quality, and key technologies will become less opaque. This is already happening. A similar pattern occurred in Europe with hosting services, for example Hetzner.
Mistral is not playing the same game. It is also unlikely that US attitudes toward Europe will change significantly even with a different administration, that Russia will stop trying to undermine the EU, or that China will become a fair and friendly player. All of this supports the case for local providers of critical infrastructure, which benefits companies like Mistral or similar European counterparts.