The European AI Office has launched an audit of five global cloud infrastructure providers to verify compliance with data portability rules. The investigation focuses on whether high exit fees and restrictive APIs prevent companies from moving data between platforms.
Under the EU Data Act and the AI Act, cloud companies must allow clients to switch providers without financial penalties. Regulators are checking if lock-in practices limit competition in the growing market for enterprise AI hosting.
Ensuring Open Cloud Infrastructure
The audit includes major providers from the United States and Asia. If found in violation, companies could face fines of up to 4% of their global annual revenue. Regulators want to ensure that European startups can shift their workloads freely.
"We want a competitive market where customers choose services based on quality, not lock-in," says EU policy analyst Reinhold Ziegler. "Data must be portable so companies can adapt to changing technology."
The cloud providers have 60 days to submit compliance documentation and billing records to Brussels.
