
Microsoft has launched an initiative to localize cloud data handling in Europe, ensuring that core customer data remains within European Union (EU) and European Free Trade Association (EFTA) borders. The move is part of a broader strategy to comply with evolving data sovereignty regulations and support Europe's digital infrastructure goals.
The company's announcement builds on its April 2025 commitment to invest 5 billion euros in European cloud and AI infrastructure over two years. This includes expanding local data center capacity, growing cybersecurity and engineering teams in 10 countries, and launching a new Transparency Center in Brussels to enhance regulatory cooperation.