75% of European businesses fear a US tech kill switch could deal an economic 'death blow' – driving a search for sovereign alternatives
European businesses are seeking alternatives to US hyperscalers, but Europe has a long way to go before it can survive entirely on its own.
A recent survey conducted by Proton reveals that a staggering 75% of European businesses harbor fears for the devastating impact a US tech "kill switch" could have on their operations, placing it on par with the threat posed by a ransomware attack. The survey, which polled 1,500 businesses in the UK, France, and Germany, also found that less than half of these enterprises have developed and tested a continuity plan to mitigate potential disruptions.
Email and cloud file storage emerge as the two primary services that European businesses are actively seeking sovereign alternatives for, as they grapple with the mounting geopolitical tensions between the US and Europe. Nearly three-quarters of the surveyed businesses indicated that they would be unable to function for more than a single day without access to US cloud and digital services, with some predicting losses exceeding €100,000 during such a disruption.
Tensions between the US and Europe have escalated in recent years, with US President Donald Trump frequently criticizing European tech regulations and threatening to withdraw from NATO if necessary. These disputes have now shifted to the realm of operational risk, with many US tech companies pouring funds into the Trump campaign in hopes of gaining favor during his presidency.
The prospect of the "kill switch" being activated could force Europe to implement the EU's Tech Sovereignty Package, aimed at reducing dependence on US hyperscalers and Chinese tech manufacturing.
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