Earlier quoted context omitted.
Because it's software the EU institutions use. EDIT: VLC was the third-highest ranked one from a survey on what software to study, with the two already reviewed ones (KeePass and Apache HTTPD) being above it.
It's because VLC was written in Europe, in Paris specifically. It's more multinational now, but still primarily a European project. Realistically they are not going to fund an American project. I know the Internet makes "country" semi-obsolete (at least when describing software), countries themselves still care a lot about that.
I wouldn't be surprised though if EU-centric communities were more likely to know/care about this initiative (and thus voted), putting 2 european projects in the top 3.