"The project's driving motivation is independence from American-owned payment networks. European payments are dominated by US companies like Visa and Mastercard, with over two-thirds of card transactions in the euro area settled through international payment schemes."
"Europe is highly dependent on US tech giants for cloud compute services, with local providers making up just 15 percent of the European cloud market, while Amazon, Microsoft, and Google control about 70 percent."
"The ECB restricted eligibility to EU-based providers only to address the risks associated with the US CLOUD Act, which may compel providers to hand over data stored on their systems to American authorities."
Europe is moving towards reducing its dependence on US Big Tech by selecting only EU-based cloud operators for the digital euro project. French companies OVHcloud and Scaleway will provide the necessary infrastructure. The initiative aims to establish independence from American payment networks, which dominate European transactions. Currently, local cloud providers hold only 15% of the European market, while US companies control about 70%. The European Central Bank has restricted eligibility to EU providers to ensure data sovereignty and autonomy.
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