EU Awards €180 Million in Sovereign Cloud Contracts to Bolster Digital Sovereignty and Advance AI Legislation

The European Commission has pushed for greater technological sovereignty in recent years, seeking to reduce reliance on U.S. technology giants for critical data and infrastructure. Sovereign cloud services require data storage, operations and legal jurisdiction to remain under EU control. They are also an important foundation for the EU’s planned Cloud and AI Development Act (CADA) and its efforts to build independent AI computing capacity.

In July 2026, the European Commission awarded sovereign cloud service contracts worth a combined €180 million to four European providers to support EU institutions and critical infrastructure. The procurement complements the EU’s latest technological sovereignty initiative and the forthcoming CADA. It aims to use government contracts to expand the local cloud market and strengthen independent control over sensitive data and AI systems.