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Home PRIVATE EQUITY

Google axes some data transfer costs in preparation for EU Data Act

dcdby dcd
September 11, 2025
Reading Time: 6 mins read
in PRIVATE EQUITY, UK&IRELAND
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Google has launched “no-cost, multicloud Data Transfer Essentials” for its EU and UK customers.

With some provisions under the EU Data Act set to come into force this week, the cloud computing hyperscalers are attempting to make data transfer easier.



Google Cloud Building

– Sebastian Moss

In a blog post penned by Google Cloud’s senior director of global risk and compliance, Jeanette Manfra, Google has outlined its Data Transfer Essentials service.

“Built in response to the principles of cloud interoperability and choice outlined in the EU Data Act, Data Transfer Essentials is a new, simple solution for data transfers between Google Cloud and other cloud service providers. Although the Act allows cloud providers to pass through costs to customers, Data Transfer Essentials is available today at no cost to customers,” wrote Manfra.

The solution is designed for in-parallel processing of workloads across two or more cloud providers. According to the post, “qualifying” multicloud traffic will be metered separately at zero cost, while all other traffic will be billed at existing Network Service Tier rates.

Microsoft, meanwhile, is offering “at-cost” transfers for customers and cloud service providers in the EU. Similarly to the Google announcement, this applies to “scenarios where multiple services of different providers are used in parallel, in an interoperable manner.”

Microsoft customers looking to leverage the “at-cost” offering have to create a support request for the data transfer, and it will need to be validated by Azure Support before being approved.

Amazon Web Services (AWS), meanwhile, states that customers can request a reduced data transfer rate under the EU Data Act, though it offers little additional information.

The EU Data Act came into force on January 11, 2024, though additional provisions have been phased in since. The act requires public and private cloud computing service providers to remove “obstacles to effective switching” between their own and competing cloud services, including commercial, contractual, technical, or organizational hurdles.

Following its first implentation, US hyperscalers dropped their egress fees – though with caveats.

Google was the first of the cloud providers to make a move, announcing the removal of egress fees on the very same day the Data Act was established. A blog post from Amit Zavery, head of platform at Google Cloud, condemned the “restrictive and unfair licensing practices” that are a fundamental issue and that “certain legacy providers” leverage their software monopolies to create cloud monopolies that “lock in customers and warp competition.”

According to Google’s requirements, customers must fully exit the cloud platform and do so in 60 days.

AWS was next, taking the leap in on March 5, 2024. This announcement was slightly different, in that customers do not seem to have to completely sever ties with AWS, but they must be fully leaving a particular service or product behind. A week or so later, Microsoft followed suit, taking a similar stance as Google.

Outside of the EU Data Act, US hyperscalers have also been making efforts to appease Europe’s requests for digital sovereignty.

AWS established an AWS European Sovereign Cloud business as a separate entity with an independent European governance structure and its own dedicated Security Operations Center, led by a new European Union-led parent company, in June 2025.

Microsoft and Google similarly reiterated their own sovereignty controls in blog posts addressing some key concerns. Despite efforts, concerns remain about digital sovereignty with US companies operating under the CLOUD Act, which enables the US government to access data hosted by US companies.

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Read the orginal article: https://www.datacenterdynamics.com/en/news/google-axes-some-data-transfer-costs-in-preparation-for-eu-data-act/

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