EU targets AWS and Azure under the DMA
Amazon and Microsoft face stronger EU oversight as cloud infrastructure becomes critical to AI development.
The European Commission has informed Amazon and Microsoft of its preliminary view that their cloud computing services, Amazon Web Services and Microsoft Azure, should be designated as gatekeepers under the Digital Markets Act.
The move could extend the DMA’s reach into cloud infrastructure, a sector the Commission describes as critical to Europe’s digital economy and AI development.
The Commission opened market investigations into AWS and Azure in November 2025. It has now been provisionally concluded that both services act as important gateways between businesses and customers in the EU, despite not meeting the DMA’s standard quantitative thresholds.
According to the Commission, AWS and Azure benefit from large and established user bases, high switching costs, loyalty effects, broad cloud ecosystems and long-standing market positions. It also said their AI tool portfolios and partnerships are becoming increasingly important for cloud customers.
Amazon and Microsoft now have the opportunity to examine the investigation files and respond to the preliminary findings. If the Commission confirms its assessment, AWS and Azure would be designated as gatekeepers, and the companies would have six months to comply with DMA obligations.
The Commission said fair and competitive cloud markets are important for secure, sustainable and interoperable cloud services in Europe. It also linked the case to Europe’s wider technological sovereignty objectives, as cloud infrastructure underpins AI systems, enterprise software and public services.
Why does it matter?
The case shows how the EU competition policy is moving deeper into the infrastructure behind the AI economy. Cloud platforms are no longer just business services; they shape access to compute, data, AI tools, software ecosystems and switching options for companies and public institutions. If AWS and Azure are designated as DMA gatekeepers, the decision could affect cloud interoperability, customer lock-in and the balance of power between US hyperscalers and European cloud providers.
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