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5mo ago

Microsoft Expands European Cloud Infrastructure with $10B Annual Investment

The company commits to increasing data center capacity by 40%, complying with EU laws, and safeguarding European data against geopolitical risks.

Microsoft Vice Chair and President Brad Smith addresses a keynote in Brussels, Belgium April 30, 2025. REUTERS/Yves Herman
Microsoft's President Brad Smith speaks during a conference on digital resilience during geopolitical volatility in Brussels, Wednesday, April 30, 2025. (AP Photo/Virginia Mayo)
The image is divided into two halves. The left half shows a map of Europe with country borders outlined in white against a gradient blue and purple background. The right half features a close-up view of binary code (ones and zeros) displayed on a screen, with the numbers arranged in rows and columns, illuminated by blue and pink lighting.

Overview

  • Microsoft will invest tens of billions annually to expand its European data center capacity by 40% over the next two years, covering 16 countries.
  • The company’s European operations will be governed by boards composed exclusively of European nationals, operating under EU laws.
  • Microsoft pledged to contest any government order to suspend or cease its European cloud operations through all legal avenues, including litigation.
  • The company introduced its 'Defending Your Data' policy, promising to protect European customer data and compensate for any violations of EU law.
  • Amid rising U.S.-EU tensions, Microsoft aims to act as a stabilizing force by respecting European regulations, including the Digital Markets Act, while promoting transatlantic cooperation.