European Union pushes for digital sovereignty in €1.02 billion cloud market

The European Union is seeking to regain control over its data and digital economy as the cloud services market exceeds €1.02 billion. American hyperscalers currently operate about 70 % of Europe’s cloud infrastructure, while EU providers hold roughly 15 % of the market. The EU accounts for 20‑25 % of the global data economy, but much of the underlying infrastructure remains under non‑European ownership, raising concerns about tax revenue, economic security and political sovereignty.

Polish authorities have proposed a “digital sovereignty test” to evaluate strategic digital investments, emphasizing ownership, jurisdiction, resilience to third‑state influence and contribution to European technological competence. The initiative reflects a broader EU policy shift that treats data, cloud and digital infrastructure as core pillars of economic and security strategy, aiming to reduce dependence on foreign providers and retain fiscal and operational control within Europe.