Report claims sovereignty rules cost billions

The European Center for International Political Economy estimates European efforts to reduce reliance on foreign tech vendors could cost one hundred fifteen billion euros over the next decade.

The report targets EU cloud rules

The paper, commissioned by the Computer and Communications Industry Association, specifically refers to the Cloud and AI Development Act. The CCIA represents major American tech giants including Amazon, Google and Meta.

Estimate dwarfs Commission's assessment

The European Center for International Political Economy's estimate of one hundred fifteen billion euros is around six point four times higher than the Commission's previous upper-end cost estimate of eighteen billion euros over ten years.

Costs split between public and private

The paper estimates thirty three billion euros in costs for the public sector, including governments and public agencies, and eighty billion euros for the private sector covering banking, healthcare, energy and transportation.

Higher scenarios reach 233 billion euros

Depending on how intensely the EU pursues tech sovereignty, the one hundred fifteen billion euro projection is a mid-level estimate. Higher-end scenarios top two hundred thirty three billion euros.

CCIA urges rethink of sovereignty approach

The CCIA Europe policy manager Mitchell Rutledge said taxpayers and businesses will foot the bill, yet the official assessment missed seventy percent of the Cloud and AI Development Act's true impact.

“Taxpayers and businesses will foot the bill, yet the official assessment missed 70 percent of CADA's true impact.”