Microsoft Vows to Shield European Data from U.S. Interference Amid Growing Transatlantic Tensions

Microsoft has pledged to fiercely defend its European cloud operations from any attempt by the U.S. government—under the administration of President Donald Trump or otherwise—to shut down data centers or compromise user privacy on the continent.
Speaking at a high-profile event in Brussels on Wednesday, Microsoft President Brad Smith directly addressed mounting anxiety among European governments and businesses over the security of their digital infrastructure amid worsening geopolitical tensions.
“What we want Europeans to know is that they can count on us,” Smith declared, adding that in the unlikely scenario where any government—including the United States—attempts to suspend Microsoft’s European cloud services, the company would “promptly and vigorously contest” such actions through every available legal channel, including court challenges.
Smith also reaffirmed Microsoft’s position in a blog post published the same day, citing the company’s history of resisting data demands under both the Trump and Obama administrations. He assured customers that Microsoft would enact contingency plans—such as transferring source code to neutral data havens like Switzerland—should legal defenses fail.
The bold stance comes against the backdrop of a chilling shift in U.S.–Europe relations under President Trump, whose trade and foreign policies—such as halting intelligence cooperation with Ukraine—have unsettled transatlantic alliances. Smith acknowledged that while no such suspension orders are currently in play in Washington, concern is growing rapidly among Microsoft’s European partners.
In a significant move to reinforce its presence, Microsoft also announced a sweeping expansion of its cloud infrastructure across Europe, pledging to boost regional data center capacity by 40% over the next two years. The expansion—estimated to cost tens of billions of dollars annually—will span 16 countries, though specific locations were not disclosed.
As calls grow within the EU for “digital sovereignty” and less reliance on U.S. tech giants like Microsoft, Amazon, and Google, Smith said the company is committed to collaborating more closely with European partners to meet regulatory and sovereignty demands.
“Given recent geopolitical volatility, we recognize that European governments likely will consider additional options,” Smith noted. “We are ready to partner and adapt.”
Microsoft’s announcement is widely seen as an attempt to preempt regulatory pressures and reassure stakeholders that their data remains protected physically and legally on European soil.