Amazon Web Services to Launch European Sovereign Cloud Initiative This Year

Amazon Web Services is set to launch its European Sovereign Cloud initiative this year, allowing corporations to operate independently in case of connectivity disruptions. The move aims to address growing demand for independent cloud services in Europe.

Amazon Web Services (AWS) is set to launch its European Sovereign Cloud initiative this year, according to Managing Director for EMEA Tanuja Randery [1]. This move aims to address the growing demand for independent cloud services in Europe by ensuring that corporations can operate independently in case of connectivity disruptions.

The European cloud computing market is projected to reach USD 201.86 billion in 2025 and grow at a CAGR of 16.22% to USD 428.02 billion by 2030 [2]. This growth is driven by strong government support for cloud adoption and stringent data protection regulations such as GDPR and the Digital Markets Act (DMA).

Governments across Europe are prioritizing digital sovereignty and local cloud infrastructure to reduce dependence on non-European providers. For instance, Finland, Sweden, Norway, and Denmark lead in cloud adoption within the EU, with adoption rates of 78%, 72%, 71%, and 70% respectively [2]. Conversely, Bulgaria, Romania, and Greece have the lowest adoption rates, at 18%, 18%, and 24% respectively.

The UK, with its significant financial services sector, is expected to hold a major share of the market. Post-Brexit, the UK has seen an increased focus on data sovereignty, leading to a surge in demand for UK-based cloud providers [2]. For example, UK Power Networks adopted cloud transformation in June 2024, migrating to a hybrid cloud infrastructure [2].

Major players in the European cloud computing market include Alibaba Group Holding Limited, Amazon Web Services (AWS), Google LLC, IBM Corporation, and Microsoft Corporation. These companies are adopting strategies such as partnerships and acquisitions to enhance their product offerings and gain a competitive edge [2].

The European cloud computing market is segmented by type (public cloud, private cloud, and hybrid cloud), organization type (SMEs and large enterprises), end-user industries (manufacturing, education, retail, transportation and logistics, healthcare, BFSI, telecom, and IT, government and public sector), and country (the United Kingdom, Germany, France, Italy, and the Rest of Europe) [2].

References:
[1] https://finance.yahoo.com/video/aws-demand-independent-european-cloud-105818416.html
[2] https://www.mordorintelligence.com/industry-reports/europe-cloud-computing-market