CLOUDY EUROPE: After a relatively brief investigation, the European Commission reached a preliminary conclusion regarding Amazon's and Microsoft's cloud businesses. The executive body believes the two US companies should also be designated as "gatekeepers" for their cloud services, though both will have an opportunity to respond before a final decision is made.
Amazon Web Services and Microsoft Azure are now so important to Europe's digital economy that they may be required to comply with additional rules when doing business with customers in the EU. Otherwise, they could face hefty fines.
The Commission launched its investigation into the cloud market in 2025, gathering feedback from business customers, competitors, and other stakeholders. Amazon and Microsoft had already been designated as gatekeepers for other services and products. Despite not meeting the Digital Markets Act's quantitative thresholds for designation, the Commission said the companies have become key gateways connecting third-party businesses with customers across the EU.
Google, Amazon, and Microsoft have long been considered the "big three" of the global cloud computing industry. The Commission said AWS and Azure are now the largest and second-largest cloud service providers operating in the EU, respectively. Unlike Google, however, the two US companies have an outsized influence on the European cloud market.
