AWS launches European sovereign cloud to address EU data sovereignty rules
Amazon Web Services (AWS) has announced plans to launch a dedicated European sovereign cloud, a move aimed at addressing mounting concerns over data sovereignty, regulatory compliance and trust in cloud services across the European Union.
According to reporting by The Register, the new cloud environment will be designed so that customer data remains entirely within the EU and is governed solely by European law. AWS says the sovereign cloud will be operationally independent from its existing global infrastructure, with EU-based staff responsible for management, access controls and day-to-day operations. The initiative is intended to reassure governments and highly regulated sectors that sensitive data will not be subject to non-European legal jurisdictions.
The announcement comes amid increasing scrutiny of US hyperscalers operating in Europe. Court rulings and regulatory developments have complicated cross-border data transfers, prompting public sector bodies and industries such as defence, healthcare and finance to demand stronger guarantees around data residency and control. European policymakers have also made digital sovereignty a strategic priority, seeking to reduce reliance on foreign technology providers for critical infrastructure.
AWS’s move places it in more direct competition with rival cloud providers that have already rolled out sovereign or nationally aligned cloud offerings. Rather than emphasising performance or scale, AWS has positioned the European sovereign cloud as a compliance-focused solution, highlighting encryption, strict access limitations and separation from US legal oversight.
The development underlines how regulatory alignment and geopolitical considerations are increasingly shaping the cloud market in Europe, as providers adapt their services to meet evolving expectations around data protection and digital autonomy.
Source: The Register
https://www.theregister.com/2026/01/15/aws_european_sovereign_cloud/