EU Cloud Rules to Restrict Amazon and Google's Access to Strategic Tenders

The European Union's new cloud computing regulations aim to limit the access of major technology companies like Amazon and Google to strategic public tenders. According to a draft document seen by Reuters, the EU is taking this step to strengthen its digital sovereignty and protect European cloud providers. The draft rules require non-EU companies to meet specific criteria to participate in tenders for cloud services that will process sensitive data of EU member states. These criteria include full compliance with EU laws and ensuring data is stored within EU borders. The regulation will particularly complicate the involvement of Amazon Web Services (AWS) and Google Cloud in the EU's strategic projects. The European Commission aims to boost the competitiveness of European cloud providers and ensure data security with this move. The draft document is seen as part of the EU's effort to pursue a more independent policy in the digital market. However, it is noted that these rules could slow the growth of companies like Amazon and Google in the EU market. This is not investment advice.