The Register: SAP splashes €20B on Euro sovereign cloud push

Source URL: https://www.theregister.com/2025/09/04/sap_sovereign_cloud/
Source: The Register
Title: SAP splashes €20B on Euro sovereign cloud push

Feedly Summary: German giant takes aim at US hyperscaler dominance as some EU customers fret amid Trump 2.0 rhetoric
SAP says it will pump €20 billion into expanding sovereign cloud infrastructure in Europe over the next ten years, pitching itself as a secure and compliant alternative to American cloud giants.…

AI Summary and Description: Yes

Summary: SAP’s strategic investment of €20 billion into expanding sovereign cloud infrastructure in Europe highlights a strong response to concerns about US cloud providers. This move is particularly relevant for security and compliance professionals, as it addresses the growing demand for secure, localized data management in light of sovereignty and compliance regulations.

Detailed Description: SAP is taking significant steps to build its presence in the European cloud market by committing a substantial investment towards sovereign cloud infrastructure. This initiative aims to provide European customers with an alternative to US-based hyperscalers, emphasizing security and compliance.

Key points include:

– **Investment Amount**: SAP plans to invest €20 billion, making a strong commitment to long-term cloud infrastructure development.
– **Focus on Sovereignty**: The initiative is driven by European customers’ concerns over data sovereignty, particularly in response to geopolitical tensions and rhetoric surrounding American companies.
– **Secure Cloud Solutions**: By developing sovereign cloud offerings, SAP positions itself as a compliant alternative, ensuring that data is managed within EU regulations and frameworks.
– **Market Positioning**: This investment may alter the competitive landscape within the cloud market, potentially encouraging other European companies to bolster their own cloud offerings.
– **Customer Demand**: The announcement reflects a broader trend among organizations seeking greater control over their data within local jurisdictions, enhancing privacy and security.

This initiative from SAP addresses crucial issues of data security, compliance, and customer trust, making it a significant development in the context of cloud computing and infrastructure security.