Details

  • AWS and SAP have announced a partnership to deliver SAP Sovereign Cloud services on the new AWS European Sovereign Cloud, beginning with a dedicated region in Brandenburg, Germany by the end of 2025.
  • Amazon plans to invest €7.8 billion through 2040, creating an independent European cloud infrastructure that operates entirely separate from current AWS regions and does not rely on non-EU infrastructure.
  • Initial offerings will include the SAP Business Technology Platform and SAP Cloud ERP, designed specifically for public sector agencies and highly regulated industries that require data residency and compliance with European standards.
  • This marks an expansion of SAP's sovereign cloud footprint, adding to existing deployments in Australia and New Zealand (2023), the UK (2024), and Canada/India (2025), and builds on AWS and SAP’s 16-year strategic relationship.
  • The new cloud will be managed exclusively by EU residents, feature a dedicated European certificate authority, use only European top-level domains, and have a specialized European-run Security Operations Center.

Impact

This move directly responds to European concerns about data sovereignty and reflects intensifying regulatory scrutiny on foreign cloud providers. AWS's significant investment and architectural guarantees seek to win over enterprise and government customers wary of U.S. infrastructure, sharpening competition with Microsoft, Google, and European sovereign cloud vendors. The initiative could accelerate digital transformation in regulated sectors across the EU by offering compliant, locally governed cloud solutions.