Microsoft strengthens its commitment to privacy in Europe with the launch of the Sovereign Cloud

A cloud infrastructure built to meet the digital sovereignty needs of the European continent.

This is the ambitious goal of Microsoft’s new initiative announced on June 16: a set of tailored solutions designed to give European customers full control over their data, in compliance with local regulations and with a strong focus on transparency and security.

In the increasingly heated debate on data protection, Microsoft raises the bar: instead of adapting to European requirements, it anticipates them.

A concrete response to the demand for sovereignty

In recent years, the issue of digital sovereignty has gained increasing prominence on the European Union’s political and technological agenda. The concern that sensitive data could fall under foreign—particularly U.S.—jurisdiction has driven institutions and businesses to seek alternative solutions.

Microsoft, already active on the privacy front with its EU Data Boundary, has decided to take a step further: building an architecture designed to respect not only the laws but also the values of European data protection.

The new features in detail

Among the key highlights announced:

  • Sovereign Public Cloud: customer data will remain entirely within the EU, managed by European personnel and accessible only according to locally approved criteria.
  • Data Guardian: a new access management model requiring real-time approvals by European operators and full activity tracking.
  • Encryption Key Management (EKM): customers can store their encryption keys on external physical devices, including through certified European partners, ensuring full control.
  • Private Cloud and Microsoft 365 Local: for organizations with more stringent requirements, Microsoft services can be hosted in fully isolated environments managed locally.

Local partners and European infrastructure

It’s not just about technology: Microsoft has announced a series of strategic partnerships with European companies to manage certain sovereign instances. In France, the joint venture Bleu (with Orange and Capgemini) will operate a public cloud compliant with local regulations; in Germany, Delos Cloud, a collaboration with SAP, will follow the same approach.

A clear signal that this is not a superficial move, but a project built in synergy with the European industrial landscape.

A shift in the relationship between big tech and privacy

With this initiative, Microsoft appears to be redefining the relationship between major cloud platforms and national governments. No longer just global providers offering standardized services, but players willing to adapt to the specific needs of each market—especially where trust is a critical factor.

“Privacy is not a barrier to innovation, but its foundation,” can be read between the lines of the announcement. And in an era where artificial intelligence and large-scale data management present new challenges, this kind of approach sets a precedent.

A strategic and political move

It must be said: this is also a strategic move. In a context where Europe is striving to reduce its technological dependence on the United States and China, Microsoft positions itself as a trusted partner—combining technological strength with institutional sensitivity.

A bet that, if successful, could strengthen its position in the European market—just as competitors are navigating less certain ground.

With the Sovereign Cloud, Microsoft shows that it’s not enough to claim compliance with privacy standards—you need to build systems that make it possible and verifiable. It’s an ambitious move, no doubt, but also a strong signal: in Europe, the future of cloud computing is built on trust.

Stefano Papaleo

Stefano Papaleo

CTO - Chief Technology Officer

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