Digital sovereignty is no longer just a technical discussion among experts in Brussels; it is viewed as a question of national survival, as stated by a European minister in an interview with CNBC. The increasing geopolitical tensions and the testing relations between Europe and the U.S. bring to light the continent's heavy dependence on American technology services and infrastructure, which are now under scrutiny given the strategic security implications involved.

American dominance in the cloud and enterprise software markets has significant ramifications for Europe. Data from Synergy Research Group reveal that U.S. cloud providers account for approximately 85% of the European market, with major firms like Amazon, Microsoft, and Google controlling over 70% of the cloud services. Furthermore, American companies hold at least 59% of the enterprise software market in Europe, leading to heightened concerns about this reliance, particularly against the backdrop of rising cyber-attacks attributed to Russia and strained transatlantic relations.

As these issues unfold, the necessity for Europe to establish its own technological capabilities becomes increasingly urgent to reduce dependency on external powers. The discussion about digital sovereignty transcends mere economics and taps into broader implications for the security and autonomy of European nations in the digital landscape, necessitating a coordinated approach to fortify the continent's technological independence.