European firms put data at risk with overreliance on US – report

Aug 7, 2025 - 13:08
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European firms put data at risk with overreliance on US – report

American Big Tech may misuse clients’ info or cut them off for political reasons, a Swiss cloud provider has warned

Businesses in European countries allied with the US are heavily reliant on American digital services, leaving their data exposed to a range of strategic risks, according to a new report.

More than 74% of all publicly listed European companies rely on American technology providers, the Swiss cloud company Proton said Tuesday. It stressed that in some countries, entire sectors are dependent on US services – including the French real estate market, the Spanish energy industry, and a large portion of the Irish economy.

According to the report, US firms may use European data to train artificial intelligence models, share it with the US government, or halt services to European clients under geopolitical pressure. The study also warns that this dependence contributes to a talent drain from Europe and hampers domestic innovation.

Proton’s findings are based on an analysis of the email domains used by companies across 31 European nations, not including Russia, which it claims reflect preference for other elements of the “tech stack.” Only four countries were found to be less than 50% dependent on American providers. In contrast, Iceland, Norway, Ireland, and Finland each showed dependency levels exceeding 90%, according to the data.

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“For decades, Europe turned to US tech instead of investing at home,” Proton stated. “Today, that choice threatens its economic stability, cybersecurity, and democratic sovereignty.”

The Swiss company promoted its own services as an alternative and voiced support for the European Union’s EuroStack initiative. The project aims to develop sovereign digital capabilities, including chip manufacturing, cloud infrastructure, and AI systems.

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