The small and medium-sized enterprises (SME) market is undergoing significant transformation, marked by a growing adoption of digital technologies, notably artificial intelligence (AI) and cloud computing. These technologies offer substantial opportunities to enhance operational efficiency and competitiveness for SMEs. However, they also pose significant challenges in terms of cybersecurity and regulatory compliance. In Europe, the AI Act imposes new governance obligations, while French SMEs struggle to move beyond the proof of concept (POC) stage for their AI projects. Spain remains a benchmark in digitization and AI, offering valuable lessons for European SMEs.