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The European Union plans to extend the scope of the Digital Markets Act (DMA) to the cloud computing sector, with Amazon and Microsoft expected to be classified among firms with market-dominant influence. The initiative is intended to curb the power of big tech while strengthening competition and ensuring fairness in digital markets. If implemented, it would be the first time cloud computing—an essential part of the digital economy—falls under the DMA’s regulatory framework.
Under the proposal, companies covered by the DMA could face requirements that would likely affect how they operate, including increased transparency. The EU expects these rules to create conditions more favorable for smaller competitors to participate in the market.
Google’s cloud services are not yet expected to fall under similar rules, largely because its market share is described as smaller than that of the two main rivals. However, the article notes that with rapid growth, Google Cloud could come under scrutiny in the near future.
The cloud computing market in Europe remains dominated by U.S. providers. Amazon Web Services (AWS) holds about 28% of the market, while Microsoft Azure has about 21%. By contrast, the total market share of European providers is around 15%, highlighting the EU’s reliance on foreign cloud infrastructure.
As artificial intelligence development accelerates, demand for computing infrastructure continues to rise. The article states that global tech giants are increasing investments of hundreds of billions of dollars annually, widening the gap between U.S. and European players.
The European Commission hopes that tighter regulation will create more room for European firms such as Deutsche Telekom or SAP to grow, even though their current market shares are still described as modest.
Experts cited in the article warn that governance must be implemented carefully. They caution that overly restrictive rules could dampen innovation incentives and increase costs for businesses.
The move reflects the EU’s broader push toward digital sovereignty, extending beyond regulating data to also building independent technological capabilities as global competition intensifies.
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