The European Commission has signaled that Amazon Web Services and Microsoft Azure may face strict new rules under the Digital Markets Act. This shift matters because cloud providers could soon need to overhaul how they operate in Europe to avoid heavy fines. Users and businesses relying on these platforms should expect potential changes to service terms and data handling practices.
Amazon and Microsoft have six months to comply with regulations
The regulatory body identified AWS and Azure as the largest and second-largest cloud providers in the European Union. Officials noted that these services have built entrenched user bases that make switching providers difficult and costly. The commission views this market dominance as a barrier to fair competition in the cloud sector.
The commission launched formal investigations into potential anti-competitive practices on November 18, 2025. If the preliminary findings are confirmed, Amazon and Microsoft will have six months to bring their services into full compliance with DMA regulations. This deadline creates a tight window for the tech giants to adjust their business models.
Teresa Ribera, a key figure in the proceedings, stated that the current findings are preliminary and do not decide the final outcome. This clarification leaves room for Amazon and Microsoft to present their case before any final verdict is reached. The outcome will determine whether these cloud giants remain subject to gatekeeper status.
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