Why this market is moving now
- The Commission's Cloud and AI Development Act proposal of 2026 defines sovereignty levels that public buyers could use in procurement.
- The Data Act's cloud switching rules have applied since 12 September 2025.
- Amazon, Microsoft and Google hold 70% of the European market, which drives demand for EU-controlled options.
Key figures
Each figure names the source it came from. Open the source list below to read the quoted line.
| Figure | Value | Year | Source |
|---|---|---|---|
| The European cloud market reached about EUR 61 billion (US$70 billion) in 2024, roughly six times its 2017 size. | 61 EUR billion | 2024 | Synergy Research Group |
| European cloud providers' share of the European market fell from 29% in 2017 to 15% in 2022 and has held near that level since. | 15 % market share | 2024 | Synergy Research Group |
| Amazon, Microsoft and Google together account for 70% of the European cloud market. | 70 % market share | 2024 | Synergy Research Group |
| AWS opened its European Sovereign Cloud, with its first Region in Brandenburg, Germany, backed by a EUR 7.8 billion investment. | 7.8 EUR billion | 2026 | Amazon Web Services |
| The Commission's Cloud and AI Development Act aims at least to triple the EU's data centre capacity within the next 5 to 7 years. | 3x capacity multiple | 2026 | European Commission |
| The Act's sovereignty framework has assurance levels from Level 1 (data processed and stored in infrastructure located in the Union) to Level 4 (providers with full transparency and control over their software supply chain). | 4 assurance levels | 2026 | European Commission |
| The Act's Level 3 requires providers to be owned and controlled from the EU. | Level 3 assurance level | 2026 | European Commission |
| The Act proposes a common EU-level procurement framework so public administrations can use their joint purchasing power. | EU-level procurement framework | 2026 | European Commission |
| The EU Data Act, which sets rules for customers to switch between cloud providers, went into application on 12 September 2025. | 12 Sep 2025 | 2025 | European Commission |
Sources and method
The figures on this page come from the public sources listed below. Read how we work.
- Synergy Research Group: European Cloud Providers' Local Market Share Now Holds Steady at 15% (2025-07-24)
Quoted lines
- Figure 1
reaching €61 billion (US$70 billion) in 2024
- Figure 2
European cloud providers’ market share dropped from 29% in 2017 to 15% in 2022
- Figure 3
These three leading global cloud providers now account for 70% of the regional market.
- Figure 1
- Amazon Web Services: Opening the AWS European Sovereign Cloud (2026-01-14)
Quoted lines
- Figure 4
backed by a €7.8 billion investment in infrastructure, jobs creation, and skills development.
- Figure 4
- European Commission: Cloud and AI Development Act (2026-06-03)
Quoted lines
- Figure 5
Capacity at least tripling the EU’s data centre capacity within the next 5–7 years
- Figure 6
Level 1 : where data is processed and stored in infrastructure located in the Union
- Figure 7
Level 3 : where providers must be owned and controlled from the EU
- Figure 8
establishing a common EU-level procurement framework for public administrations to leverage their joint purchasing power
- Figure 5
- European Commission: Data Act (2026-10)
Quoted lines
- Figure 9
into application on 12 September 2025.
- Figure 9
Companies to watch
Amazon Web Services
Launched the AWS European Sovereign Cloud in Brandenburg, Germany, backed by EUR 7.8 billion.
Microsoft
One of the three global providers holding 70% of the European cloud market (Synergy Research Group).
One of the three global providers holding 70% of the European cloud market (Synergy Research Group).
What the full report covers
- 01Executive summary
The answer in one page: size, direction and what moves it - 02Market definition and scope
What is in and out of the European Union market - 03Market size, 2021 to 2025
Historical series and growth rates - 04Outlook to 2031
Base, low and high scenarios with stated assumptions - 05Rules, policy and deadlines
Regulation and programmes that change demand - 06Drivers and barriers
What accelerates or slows adoption, by customer segment - 07Prices, costs and margins
Unit economics where public data allows - 08Competitive landscape
8 to 12 company profiles with recent moves - 09Opportunities and risks
For new entrants, suppliers and investors - 10Method and sources
Every assumption and source, listed
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Frequently asked questions
How big is the European cloud market?
Synergy Research Group put it at about EUR 61 billion (US$70 billion) in 2024, roughly six times its 2017 size. This covers the whole market, not only sovereign cloud.
What share of the European cloud market do European providers hold?
About 15%, down from 29% in 2017, according to Synergy Research Group. Amazon, Microsoft and Google hold 70% together.
What is the EU Cloud and AI Development Act?
It is a 2026 European Commission proposal that aims to at least triple EU data centre capacity in 5 to 7 years, set sovereignty levels for cloud services and create a joint public procurement framework.
What are the sovereignty levels for cloud services?
The Commission's framework runs from Level 1, infrastructure located in the EU, to Level 4, full transparency and control over the software supply chain. Level 3 requires providers to be owned and controlled from the EU.
Has AWS launched a sovereign cloud in Europe?
Yes. The AWS European Sovereign Cloud launched with a first Region in Brandenburg, Germany, backed by a EUR 7.8 billion investment, per AWS in January 2026.
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