Europe's Push to Loosen Big Tech's Grip Runs into Its Own Divisions
May 27, 2026 - 7:11 am
The European Commission is set to release its Tech Sovereignty Package on Wednesday, but internal disagreements persist over the definition and scope of 'digital sovereignty'.
According to a Reuters report, the package will include:
- An updated Cloud and AI Development Act, restricting EU member states from using US cloud providers for sensitive public data in healthcare, finance, and judicial systems.
- The first official EU definition of "digital sovereignty".
- Revised guidelines on data hosting and processing, with a focus on government-controlled data.
Debate: The main contention revolves around whether digital sovereignty requires an exclusively European supply chain or if interoperability and managed dependency are sufficient.
- France and Germany advocate for stricter controls, targeting major US hyperscalers like Microsoft Azure and Google Cloud.
- Nordic countries and Ireland, where US cloud giants have significant operations, argue for a less restrictive approach.
The Commission's compromise: apply the strongest restrictions to government data while leaving the private sector largely untouched for now.
Context: This initiative follows several recent actions:
- Preparations for record DMA fines against Google.
- Talks with Anthropic over access to its Mythos cybersecurity model.
- Plans to reserve two-thirds of the 2 GHz mobile-satellite spectrum band for European operators.
These moves collectively signal a growing determination within Europe to reduce reliance on US technology, prioritizing self-sufficiency in critical sectors.
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