Danny Weber
The European Union is drafting rules to limit Microsoft, Amazon, and Google in sensitive government cloud projects, aiming to boost local providers and digital sovereignty.
The European Union is drafting new rules for government cloud projects that could significantly limit the involvement of major US tech firms. According to Reuters, tenders for particularly sensitive cloud systems may exclude Microsoft, Amazon, and Google if the projects involve critical government data.
The initiative is expected to be part of a forthcoming law on cloud computing and artificial intelligence, which the European Commission will unveil in the coming days. Its primary aim is to reduce Europe's reliance on American infrastructure and bolster homegrown cloud and AI providers. For the EU, this is not just an economic matter but also a key element of a broader digital sovereignty strategy.
Brussels is increasingly pushing such policies in sensitive sectors like banking, energy, healthcare, and public services. The move stems from concerns over the dominance of US companies in the cloud market and the implications of the US CLOUD Act, which lets US authorities request data from American tech firms even when that data is stored abroad.
Under the draft, public procurement could include mandatory non-price criteria. Selection would factor in where the software and hardware were developed, how well data is protected, whether a third country can access it, and how open the host country's market is. While not formally a ban, these rules would effectively put American players at a disadvantage.
The European Commission declined to comment on specifics but stressed that technological sovereignty is vital for Europe's competitiveness and security. Amazon and Microsoft also declined to comment. If adopted as proposed, the rules could reshape Europe's cloud market, turning government contract battles into a mix of price and politics.
© A. Krivonosov