Germany Demands Cloud Independence From US

By Elke Porter | WBN News Global | June 4, 2025
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Berlin, June 11, 2025 - German companies are increasingly concerned about their heavy reliance on foreign cloud services, with nearly two-thirds saying they would cease operations without cloud infrastructure, according to a new industry report.

The "Cloud Report 2025" published by digital association Bitkom surveyed 604 German companies and found that 78% consider Germany too dependent on US cloud providers. More than four-fifths (82%) want major European or German cloud providers capable of competing with international market leaders.

The geopolitical shift is forcing strategic reconsiderations. Half of all cloud-using companies report feeling compelled to rethink their cloud strategies due to policies from the new US administration. When selecting providers, 97% of companies consider the trustworthiness of the provider's country of origin, with 67% making it a mandatory requirement—up from 58% in 2024.

All surveyed companies would prefer a German provider, followed by EU-based options at 61%. US providers rank sixth with just 6% preference, tied with the UK and trailing behind non-EU European states (14%), Japan (12%), and India (8%).

However, domestic alternatives must match international standards. Only 12% would accept longer wait times for new features, while 65% refuse any performance compromises. "A German cloud must be just as good and just as affordable as other providers' offerings," said Bitkom President Dr. Ralf Wintergerst.

Cloud adoption continues accelerating. Currently, 90% of German companies use cloud applications, up from 81% last year. The remaining 10% are planning or discussing implementation, with no companies now considering cloud irrelevant.

Companies currently operate 47% of their IT applications from the cloud, expected to reach 58% within five years. Investment is following suit, with 46% of companies planning increased cloud spending this year.

Artificial intelligence is driving significant growth, with cloud-based AI usage expected to nearly double from 26% to 51% over five years. The shift reflects cloud computing's role as "digitalization driver number one," according to Wintergerst, as businesses increasingly rely on cloud infrastructure for internal process digitization and access to innovative technologies.

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