Microsoft to Increase European Data Center Capacity by 40 Percent

Microsoft has pledged to increase its data center capacity in Europe by 40 percent over the next two years in a blog post by company president Brad Smith. Local cloud providers have pointed to the White House's attacks on NATO, tariffs on the EU, and threats to invade Greenland as justification for moving off of US hyperscalers and onto local platforms.

"Given recent geopolitical volatility, we recognize that European governments likely will consider additional options," Smith said, sidestepping what was behind the volatility. "Some of these may involve public financing to support European home-grown offerings. We recognize the importance of a diversified technology ecosystem, and we are committed to collaborating with European participants across the tech ecosystem."

Smith continued: "In the unlikely event we are ever ordered by any government anywhere in the world to suspend or cease cloud operations in Europe, we are committing that Microsoft will promptly and vigorously contest such a measure using all legal avenues available, including by pursuing litigation in court. By including a new European Digital Resilience Commitment in all of our contracts with European national governments and the European Commission, we will make this commitment legally binding on Microsoft Corporation and all its subsidiaries."