European companies are increasingly looking to reduce their reliance on big US cloud providers like Amazon Web Services, Microsoft Azure, and Google Cloud. The main reasons are a desire for digital sovereignty, stricter data privacy laws, and geopolitical concerns. European policymakers want local, independent tech infrastructure that keeps data within the region and lessens dependence on US-based systems.

Many believe that moving away from US cloud giants isn’t easy. Forrester’s 2026 predictions suggest that European companies probably won’t fully disconnect from these providers by then. The report points to operational hurdles, costs, and technological gaps as main challenges. But some experts think the landscape is changing faster than expected, thanks to the growth of local cloud providers and sovereign cloud options within the EU.

The EU’s Push for Cloud Sovereignty

The EU’s drive for cloud independence is driven by three main issues. First, geopolitical instability raises concerns about US laws like the CLOUD Act, which can require US companies to hand over data stored abroad. This creates compliance worries for European businesses that must adhere to strict privacy rules under GDPR.

Second, data sovereignty is a big concern. European organizations want more control over where their data lives and how it’s handled. Relying on US providers means navigating conflicting laws and privacy standards, which can be risky. Finally, there’s a clear economic drive. Keeping more tech work and revenue within Europe helps bolster local industries and promotes innovation. It’s a long-term plan to reduce reliance on outside regions for critical digital infrastructure.

Are European Clouds Ready to Replace US Giants?

Forrester’s view that Europe won’t fully break free by 2026 hinges on current limitations. These include a lack of large-scale capacity from local providers, high costs of migration, and the technological edge US giants hold. But the situation is evolving. European sovereign cloud providers like OVHcloud and Deutsche Telekom’s Open Telekom Cloud are improving fast, offering compliant, transparent, and localized solutions.

Other regional providers are also making strides in scalability and support, giving businesses more options. Managed local services can help organizations manage the complexity of new cloud environments and bridge skills gaps. The real question isn’t just about capacity. It’s whether European companies are willing to invest the time, money, and effort needed to make the switch.

The Practicalities of Moving Away from US Cloud Giants

Shifting workloads from US providers isn’t simple. Many European firms prefer sticking with familiar giants that offer economies of scale, innovative AI tools, and attractive pricing. Smaller providers often can’t match these benefits, making enterprises hesitant to migrate large parts of their infrastructure.

Most organizations already operate in multicloud or hybrid setups, which makes full independence tricky. Even if some workloads move to sovereign clouds, dependencies on US platforms might remain. This approach helps spread risks but adds operational complexity and costs. Managing multiple cloud environments requires advanced tools and expertise.

While Forrester highlights these hurdles, it underestimates Europe’s growing sovereign cloud capabilities. The technology and platforms are already there, ready for companies willing to take the plunge. The key is whether businesses are prepared to accept the costs and risks involved in this transition.

Steps Toward EU Cloud Autonomy

Reducing dependence on US cloud providers demands a clear plan. EU organizations need to carefully budget for migration costs, including initial setup, staff training, and ongoing operations. Understanding the total cost of ownership is essential to avoid surprises down the line.

Multicloud strategies will likely be the norm. Companies should prepare to manage multiple platforms with robust governance, security, and orchestration tools. Evaluating providers on their financial health, scalability, and commitment to innovation is crucial. Businesses must also prepare for potential setbacks or failures of new platforms, ensuring they can fall back if needed.

Although most experts believe European companies will keep relying on US hyperscalers for now, the market is shifting. Sovereign cloud options are maturing quickly, and organizations that plan carefully can build a more balanced, strategic approach. Achieving full independence may still be a distant goal, but incremental progress is definitely possible.

Change won’t happen overnight, but with the right strategy, European businesses can move toward greater digital sovereignty. The tools are in place, and the willingness to act is growing. It’s just a matter of making the decision to start.

Inspired by

• https://www.infoworld.com/article/4074078/an-eu-breakup-with-us-cloud-providers.html

Sources

• gmpg.org
• forrester.com
• networkworld.com
• networkworld.com
• podigee.com