AWS Launches European Sovereign Cloud with New German Entity

Amazon Web Services (AWS) is taking a significant step to address European data sovereignty by establishing a new parent company and three subsidiaries in Germany. This move supports the launch of the AWS European Sovereign Cloud, scheduled for completion by the end of 2025.

The German corporate parent will be led by AWS Vice President Kathrin Renz alongside EU-based government security and privacy officials. This leadership structure ensures that all operational control, including access to data centers, technical support, and customer service, remains strictly within the European Union.

AWS emphasizes that the entire infrastructure and operations of the AWS European Sovereign Cloud will be located within the EU, with zero operational control from outside EU borders. This design is tailored to meet stringent European data residency and privacy regulations such as the General Data Protection Regulation (GDPR) and Germany’s Federal Data Protection Act.

The AWS European Sovereign Cloud will operate independently from AWS’s existing cloud regions, featuring dedicated infrastructure in the German state of Brandenburg. AWS has committed to investing approximately €7.8 billion through 2040 to develop this sovereign cloud, signaling a long-term commitment to Europe’s digital infrastructure.

To further reinforce trust and compliance, AWS is establishing an advisory board composed of EU citizens and a dedicated European security operations center. These measures aim to ensure transparency, security, and adherence to local regulations.

AWS’s initiative reflects a broader industry trend, with competitors like Microsoft and Google also offering sovereign cloud solutions to help customers comply with regional data protection laws. This growing demand underscores the importance of localized cloud infrastructure in a world increasingly focused on data privacy and sovereignty.

This move also comes as AWS faces scrutiny from European regulators over past compliance issues, including a significant fine in 2021 related to data privacy and an antitrust probe in 2022. The AWS European Sovereign Cloud represents a strategic effort to align more closely with European legal frameworks and rebuild trust.

Why Sovereign Cloud Matters for Europe

Sovereign cloud solutions like AWS’s new offering are crucial for organizations operating in Europe. They ensure that sensitive data remains within national or regional borders, complying with laws designed to protect citizens’ privacy and data rights. This is especially important for government agencies, healthcare providers, financial institutions, and enterprises handling regulated data.

By keeping data and metadata within the EU, customers can avoid legal risks associated with cross-border data transfers and maintain greater control over their cloud environments. This approach also supports Europe’s broader digital sovereignty goals, reducing reliance on foreign cloud providers and infrastructure.

Looking Ahead

AWS’s €7.8 billion investment through 2040 signals a long-term vision for cloud infrastructure in Europe. The AWS European Sovereign Cloud will not only provide customers with compliance assurances but also deliver the performance, security, and service quality expected from a global cloud leader.

As data privacy regulations evolve and digital sovereignty becomes a priority, AWS’s new German corporate presence and sovereign cloud infrastructure set a precedent for how cloud providers can adapt to regional demands while maintaining global standards.