European companies are increasingly looking to move away from American cloud service providers like Amazon, Google, and Microsoft due to rising concerns about security and data privacy under the recent Trump administration. This backlash, fueled by a general dissatisfaction with US policies and military support, is driving some organizations to reconsider their reliance on the so-called hyperscalers that dominate cloud computing.
As fears grow that US companies could be weaponized against European interests, Marietje Schaake, a former member of the European Parliament, highlights a strong desire in Europe to reduce dependence on US technology. Recent legislative moves in the Netherlands have seen parliamentarians urging the government to shift towards European alternatives, while an open letter signed by over 100 organizations has called for increased technological independence due to existing security risks.
Cloud service providers within Europe, such as Exoscale and Elastx, report a notable uptick in inquiries from potential customers wishing to migrate away from US services. Their leadership suggests that the current climate has spurred organizations, particularly in Denmark, to seek alternatives driven by privacy concerns related to the US administration’s actions.
This uncertainty extends to the data-sharing frameworks between the EU and US, which have previously faced legal challenges. The recent dismissal of Democratic members from the Privacy and Civil Liberties Oversight Board by Trump has only exacerbated worries about the agreement’s integrity and leads to uncertainty around US law enforcement’s access to data through the CLOUD Act.
Several European businesses have already begun transitioning to local providers. For instance, Dave Cottlehuber, founder of an Austrian tech infrastructure firm, shares his decision to move away from US servers, stating that privacy should be a right, not a privilege. Similarly, companies offering healthcare services are increasingly exploring European cloud options to meet stricter data residency requests from customers.
Despite these trends, industry experts caution that a significant shift away from US cloud services could take considerable time due to the complexities involved in migrating large-scale operations. Many large businesses remain deeply embedded in the hyperscaler ecosystem, where they may find it challenging to locate equivalents among European alternatives.
European companies have traditionally struggled to compete with the extensive offerings of US cloud giants. However, Schaake notes that a unified approach prioritizing investments in European technology could lead to more substantial shifts in the future. With a visible shift in sentiment, experts argue that Europe must act decisively to build a technological foundation that can withstand future geopolitical uncertainties.
