EU Cloud Gatekeeper Rules: 5 Ways AWS and Azure Could Change for European Businesses

EU cloud gatekeeper rules could soon apply to Amazon Web Services and Microsoft Azure, and a decision is reportedly due as early as November 2026.

Bloomberg reported on 2 October that the two cloud arms are set to face deeper scrutiny under the bloc’s tech rules. Coverage on GuruFocus says regulators indicated both services will likely fall under the Digital Markets Act, with a formal decision expected by November.

How We Got Here

This did not appear overnight. The European Commission opened three cloud market investigations on 18 November 2025, as CIO Dive reported. Two probes asked whether AWS and Azure should be designated gatekeepers. A third examined whether the Digital Markets Act itself needs updating for cloud.

The unusual part is that neither company meets the DMA’s standard thresholds of 45 million monthly active users and a 75 billion euro market capitalization. The Commission is relying on qualitative reasoning, pointing to the dominance of both platforms. Azure and AWS together control roughly 70% of European cloud revenue, according to Crypto Briefing’s summary.

What Gatekeeper Status Would Require

Gatekeepers face extra duties. For cloud, the likely areas are interoperability, data portability without excessive fees and limits on lock-in tactics. Egress charges, the fees you pay to move data out to another provider, are a major target.

The penalties are serious. Fines can reach 10% of global turnover for violations and 20% for repeat offenses. Amazon already holds gatekeeper status for its Marketplace, and Microsoft for LinkedIn, so both know the compliance drill.

Change One: Cheaper and Easier Exits

Here is the thing: switching cloud providers today is painful, mostly because of data transfer fees and proprietary services. If egress rules tighten, moving data between providers could get far cheaper.

That would shift negotiating power toward customers. A company that can credibly leave gets better pricing. Procurement teams in Europe should start modeling what a realistic exit would cost today, so they can measure the improvement later.

Change Two: Real Interoperability

Interoperability requirements could force providers to open up APIs and support standard formats. Today, many workloads are glued to provider-specific services such as managed databases and serverless runtimes.

Open standards help here. Teams using Kubernetes, PostgreSQL-compatible databases and infrastructure as code will find it easier to take advantage of any new rules. Teams deep in proprietary services will have more homework.

Change Three: Multicloud Becomes Practical

Multicloud has often been more talk than reality because of cost and complexity. Clearer rules could make it workable for mid-sized firms, not only giants. There are early signs of the market moving this way, including recent moves by AWS to simplify multicloud operations with Google, covered by Network World.

Still, do not rush. Running two clouds doubles skills requirements and security surface. Start with a clear business reason, such as resilience or data residency, before you commit.

Change Four: Smaller Providers Get a Chance

With the big two holding about 70% of European revenue, regional and sovereign cloud providers have struggled to compete. Lower switching barriers could open the door. Data sovereignty is already a selling point in Europe, and it pairs well with new competition rules.

For European buyers, that means more choice. For providers outside the top tier, it means a real shot at winning workloads that previously defaulted to the market leaders.

Change Five: Compliance Work Moves Up the Agenda

Even if the rules mainly bind AWS and Azure, customers will feel the effects. Contracts will be rewritten, pricing pages will change and migration tools may appear. Legal and IT teams need to coordinate on contract renewals, because the next negotiation could look very different from the last one.

Let me be direct about timing: nothing is final until the Commission decides. Treat the reports as a strong signal, not a settled outcome, and plan accordingly.

What Non-EU Companies Should Know

These rules apply to services offered in Europe, but their effects often spread. Companies in Pakistan and elsewhere that serve European clients, or host data there, should watch closely. Clients may start asking about portability and exit plans in contracts and security reviews.

Likewise, regulators in other regions tend to study EU moves before writing their own. A precedent here could influence cloud policy far beyond Brussels.

Key Takeaways

• Timing: A formal decision on AWS and Azure gatekeeper status is expected by November 2026.
• Market power: The two providers hold roughly 70% of European cloud revenue.
• Likely duties: Interoperability, data portability and limits on lock-in and egress fees.
• Penalties: Up to 10% of global turnover, or 20% for repeat violations.
• Your move: Audit provider-specific dependencies, model exit costs and review contract renewal dates.

How TecniForge Can Help

At TecniForge, we help businesses navigate these technology shifts. Whether you need custom software development, AI integration, or cloud migration, our team builds scalable solutions. Talk to our experts.

If lock-in rules loosen next year, will your architecture let you take advantage?