EU Launches DMA Investigation into AWS and Microsoft Azure, Targeting US Cloud Giants

Investigation to Be Completed Within 12 Months
Macron: "Europe Must Not Become a 'Vassal' Dependent on the US and China"

The European Union (EU) has launched an investigation into whether the Digital Markets Act (DMA) should be applied to Amazon Web Services (AWS) and Microsoft Azure, both providers of cloud services.

On the 18th (local time), Teresa Ribera, EU Executive Vice President for a Clean, Fair, and Competitive Economy, stated, "Cloud computing services are extremely important for Europe's competitiveness and resilience. We want this strategic sector to grow under fair, open, and competitive conditions." She added, "For this reason, we are examining whether the obligations of the EU's DMA should be applied to these two major American technology companies."

AWS logo. Photo by Reuters and Yonhap News

The European Commission, regarding its previous assessment of these two companies, reported, "It appears that Azure and AWS hold a very strong position in cloud computing services for both businesses and consumers."

The Commission has launched two investigations to evaluate whether these companies should be designated as gatekeepers for cloud services, and a separate investigation to assess whether the DMA can address anti-competitive practices in the cloud computing sector. The investigations are expected to be completed within 12 months, with a report to be published within 18 months.

The DMA, which came into full effect in March last year, is a law that imposes special regulations on platform operators of a certain scale to prevent the abuse of market dominance by large platform businesses. It designates such operators as "gatekeepers" and prohibits unfair practices. If a violation is found, a fine of up to 10% of global revenue may be imposed. Seven companies, including Apple, have been designated as gatekeepers, five of which are American companies.

Previously, on the 13th, the EU also announced the launch of an official investigation into Google, one of the major U.S. tech companies, under the DMA to determine whether the company had unfairly treated media and news outlets in its search results under the guise of a "spam prevention policy."

On this day, politicians, ministers, technology experts, and stakeholders from 23 European countries attended the "European Digital Sovereignty Summit" held in Berlin, Germany. German Chancellor Friedrich Merz and French President Emmanuel Macron were also present.

Henna Virkkunen, EU Executive Vice President for Technology Sovereignty, stated at the opening ceremony, "Europe's goal is very simple. We do not want to follow in the fields of artificial intelligence (AI) and advanced technology, but to lead. We have the market, talent, and ambition, and now we must realize investment, innovation, and scale."

President Macron, in his keynote speech, emphasized the need to reduce dependence on global tech giants and seek European alternatives. He stated that Europe does not want to become a "vassal" dependent on American and Chinese technology companies, saying, "I firmly believe that 'Europe First' should be our guiding principle, starting with public procurement."

Meanwhile, German news agency dpa reported that the event would focus on how Europe can develop its own secure infrastructure for cloud computing and government and corporate data storage.