Microsoft has pledged to safeguard its European operations amid growing concerns about the reliability of American technology under the Trump administration. To alleviate these concerns, Microsoft’s vice chair and President Brad Smith announced five digital commitments to Europe, emphasizing the company’s dedication to maintaining “continuity of access” to its critical technology.
The move comes as official data revealed that the US economy contracted in the first quarter of the year, sparking fears of an American recession and global economic slowdown. Despite this, Microsoft’s latest quarterly results demonstrated the tech giant’s resilience to the current economic turmoil.
Microsoft’s European Commitments
Smith outlined Microsoft’s deep-rooted economic reliance on Europe, stating, “We recognise that our business is critically dependent on sustaining the trust of customers, countries, and governments across Europe.” He emphasized Microsoft’s commitment to respecting European values, complying with European laws, and actively defending Europe’s cybersecurity.
The five digital commitments to Europe include:
- Building a broad AI and cloud ecosystem in Europe
- Upholding Europe’s digital resilience despite geopolitical volatility
- Continuing to protect the privacy of European data
- Helping to protect and defend Europe’s cybersecurity
- Strengthening Europe’s economic competitiveness, including support for open source initiatives
To achieve these commitments, Microsoft plans to increase its European data centre capacity by 40% over the next two years, expanding operations in 16 European countries. These data centres will be subject to European laws and regulations, ensuring the sovereignty of European data.
Protection from Political Influence
Smith emphasized Microsoft’s commitment to providing digital stability in a time of geopolitical uncertainty. He highlighted the company’s belief in trans-Atlantic ties that promote mutual economic growth and prosperity. Microsoft also expressed hope for successful trade talks between the US and EU to resolve tariff issues and reduce non-tariff barriers.
In an interview with the Financial Times, Smith stated that Microsoft would take the US government to court if necessary to protect European customers’ access to its services. This commitment aims to reassure Europe that Microsoft will not be swayed by political pressures, such as those exerted by the Trump administration.
Microsoft’s proactive approach marks a significant step in addressing European concerns about American tech sovereignty. By making legal commitments to contest any government order that might disrupt its cloud operations in Europe, Microsoft demonstrates its dedication to maintaining the trust of its European customers and partners.
