Microsoft’s wartime pact with the EU rings hollow - and could spell trouble for UK IT buyers
charles taylor - stock.adobe.com
Opinion
Microsoft’s wartime pact with the EU rings hollow - and could spell trouble for UK IT buyers
Microsoft has moved to assure its European customers that it will fight any attempt by President Trump to disrupt their ability to access its services, but can UK customers take the company at its word?
By
Owen Sayers,
Secon Solutions
Published: 20 May 2025
Microsoft has moved to re-assure governments across the European Unionthat it will fight any move by President Trump to interrupt services, should relations between Brussels and Washington deteriorate further, causing the United States to make cloud services a gambling chit in a trade war.
The company promised Europe it would “promptly and vigorously contest such a measure,” yet its overtures to EU customers should leave its governments confused, rather than assured.
Its tacit recognition that the much-vaunted Microsoft EU Boundary might provide its European customers with little real protection from US interventions – despite taking over two years to implement – cannot be glossed over.
The issue in play is not just that Microsoft, being a US-headquartered ‘communication services provider’, is subject to many American laws that make transfers of data to them a complicated process. But that they might no longer be able to give guarantees of continuity of service if, for example, President Trump should wake up one morning and decide to order them to cease their EU operations.
This admission, coming on top of well documented Microsoft global service outages and serial security compromises in recent years, will almost certainly stoke any fires of concern.
Such a possibility might have seemed remote just a few months ago, but Trump’s recent search for effective levers to exert control over other countries as part of his “America First” initiative means that what was previously a low risk, with negligible likelihood but massive impact, is now much more likely and could perhaps even be proximate.
Microsoft president Brad Smith clearly agrees, as evidenced by his new comments about pre-emptive measures and offsets.
Certainly, that is the view many readers will hold after Smith’s somewhat clumsily presented efforts to calm the cloud market that he admits drives 25% of Microsoft’s global revenues, and is clearly important for him to protect.
Telling foreign leaders that Microsoft is embarking on a crusade of change, as he repeatedly did, flies in the face of his attempts to thwart regulatory interventions regarding the software giant’s restrictive cloud licensing practices and grudging moves to unbundle its software from its operating system in the European Union.
They might also consider that previous positive approaches and engagements from Microsoft, and even directly from Smith, have not prevented them from levelling blame at the EU when things go wrong. As the company did during the wholly EU-unrelated Crowdstrike-initiated global service outage.
At best, the historic relationship between Microsoft and European leaders has been spasmodic, and it would be understandable if they take these new assurances with a huge pinch of salt.
Microsoft now plans to further address these new risks through the creation of a new EU board to manage its expanded datacentre estates in Europe, whilst ignoring that ‘branch-office’ management does not in fact change the nature of its US-centric operations, and nor can they prevent the effects of any Presidential diktat.
Time and again Microsoft has attempted to address legitimate consumer and EU-member government concerns through measures that are presented as forward-thinking and positive, but have zero effective benefit when analysed.
For example, UK FOI disclosures made in June 2024 confirmed the long-held suspicion that Microsoft is dependent on the ability to process data globally wherever they choose for both their Azure and Microsoft 365 cloud service families, and this – not layers of localised senior execs – is at the root of their problems.
Due to their global operating model any EU board managing datacentres will have no practical ability to technically or legally protect EU data from a US Government choosing to exert its entirely legitimate, if controversial, control over them and the European data they manage.
What should cause immediate concern for the UK is that these overtures to the EU do not consider the UK at all – because it lies entirely outside of the Microsoft EU Data Boundary, and doesn’t appear to be included in these new promises either.
Should companies with a foot in both UK and Europe decide the protections offered up by Microsoft are indeed effective they may therefore need to re-locate their data and workloads to benefit from them, and history suggests that where the work shifts, so invariably do the key jobs.
Microsoft, in any event, appears to feel that such efforts in the UK are unnecessary given the level of dependency the UK government already has on the Seattle tech giant, whether that be in the workings of the civil service, the NHS or national infrastructure.
A view that can only have been solidified by the key positions the government has given over to Microsoft executives to effectively steer the UK’s national technology strategy.
This is what should be the attention-grabber for Microsoft’s UK customers today; not that Microsoft is making big commitments and high-profile promises to the EU, but that the tech giant no longer feels the need to do the same for its UK operations and, as a result, UK consumers and companies can expect to suffer as a result.
With their choices limited and their data access subject to the whims of foreign powers, with a government too dependent on Microsoft to put up a fight.
about Microsoft cloud
Microsoft makes ‘digital commitments’ amid pledge to continue growing its European datacentre footprint, in the face of growing geopolitical uncertainty
Microsoft pushes back on analyst claims its changing relationship with OpenAI is forcing it to scale back its datacentre expansion plans in the US and Europe.
In The Current Issue:
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Download Current Issue
Starburst chews into the fruits of agentic
– CW Developer Network
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#microsofts #wartime #pact #with #rings
Microsoft’s wartime pact with the EU rings hollow - and could spell trouble for UK IT buyers
charles taylor - stock.adobe.com
Opinion
Microsoft’s wartime pact with the EU rings hollow - and could spell trouble for UK IT buyers
Microsoft has moved to assure its European customers that it will fight any attempt by President Trump to disrupt their ability to access its services, but can UK customers take the company at its word?
By
Owen Sayers,
Secon Solutions
Published: 20 May 2025
Microsoft has moved to re-assure governments across the European Unionthat it will fight any move by President Trump to interrupt services, should relations between Brussels and Washington deteriorate further, causing the United States to make cloud services a gambling chit in a trade war.
The company promised Europe it would “promptly and vigorously contest such a measure,” yet its overtures to EU customers should leave its governments confused, rather than assured.
Its tacit recognition that the much-vaunted Microsoft EU Boundary might provide its European customers with little real protection from US interventions – despite taking over two years to implement – cannot be glossed over.
The issue in play is not just that Microsoft, being a US-headquartered ‘communication services provider’, is subject to many American laws that make transfers of data to them a complicated process. But that they might no longer be able to give guarantees of continuity of service if, for example, President Trump should wake up one morning and decide to order them to cease their EU operations.
This admission, coming on top of well documented Microsoft global service outages and serial security compromises in recent years, will almost certainly stoke any fires of concern.
Such a possibility might have seemed remote just a few months ago, but Trump’s recent search for effective levers to exert control over other countries as part of his “America First” initiative means that what was previously a low risk, with negligible likelihood but massive impact, is now much more likely and could perhaps even be proximate.
Microsoft president Brad Smith clearly agrees, as evidenced by his new comments about pre-emptive measures and offsets.
Certainly, that is the view many readers will hold after Smith’s somewhat clumsily presented efforts to calm the cloud market that he admits drives 25% of Microsoft’s global revenues, and is clearly important for him to protect.
Telling foreign leaders that Microsoft is embarking on a crusade of change, as he repeatedly did, flies in the face of his attempts to thwart regulatory interventions regarding the software giant’s restrictive cloud licensing practices and grudging moves to unbundle its software from its operating system in the European Union.
They might also consider that previous positive approaches and engagements from Microsoft, and even directly from Smith, have not prevented them from levelling blame at the EU when things go wrong. As the company did during the wholly EU-unrelated Crowdstrike-initiated global service outage.
At best, the historic relationship between Microsoft and European leaders has been spasmodic, and it would be understandable if they take these new assurances with a huge pinch of salt.
Microsoft now plans to further address these new risks through the creation of a new EU board to manage its expanded datacentre estates in Europe, whilst ignoring that ‘branch-office’ management does not in fact change the nature of its US-centric operations, and nor can they prevent the effects of any Presidential diktat.
Time and again Microsoft has attempted to address legitimate consumer and EU-member government concerns through measures that are presented as forward-thinking and positive, but have zero effective benefit when analysed.
For example, UK FOI disclosures made in June 2024 confirmed the long-held suspicion that Microsoft is dependent on the ability to process data globally wherever they choose for both their Azure and Microsoft 365 cloud service families, and this – not layers of localised senior execs – is at the root of their problems.
Due to their global operating model any EU board managing datacentres will have no practical ability to technically or legally protect EU data from a US Government choosing to exert its entirely legitimate, if controversial, control over them and the European data they manage.
What should cause immediate concern for the UK is that these overtures to the EU do not consider the UK at all – because it lies entirely outside of the Microsoft EU Data Boundary, and doesn’t appear to be included in these new promises either.
Should companies with a foot in both UK and Europe decide the protections offered up by Microsoft are indeed effective they may therefore need to re-locate their data and workloads to benefit from them, and history suggests that where the work shifts, so invariably do the key jobs.
Microsoft, in any event, appears to feel that such efforts in the UK are unnecessary given the level of dependency the UK government already has on the Seattle tech giant, whether that be in the workings of the civil service, the NHS or national infrastructure.
A view that can only have been solidified by the key positions the government has given over to Microsoft executives to effectively steer the UK’s national technology strategy.
This is what should be the attention-grabber for Microsoft’s UK customers today; not that Microsoft is making big commitments and high-profile promises to the EU, but that the tech giant no longer feels the need to do the same for its UK operations and, as a result, UK consumers and companies can expect to suffer as a result.
With their choices limited and their data access subject to the whims of foreign powers, with a government too dependent on Microsoft to put up a fight.
about Microsoft cloud
Microsoft makes ‘digital commitments’ amid pledge to continue growing its European datacentre footprint, in the face of growing geopolitical uncertainty
Microsoft pushes back on analyst claims its changing relationship with OpenAI is forcing it to scale back its datacentre expansion plans in the US and Europe.
In The Current Issue:
UK critical systems at risk from ‘digital divide’ created by AI threats
UK at risk of Russian cyber and physical attacks as Ukraine seeks peace deal
Standard Chartered grounds AI ambitions in data governance
Download Current Issue
Starburst chews into the fruits of agentic
– CW Developer Network
Calm settles over digital identity market - for now...– Computer Weekly Editors Blog
View All Blogs
#microsofts #wartime #pact #with #rings
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