Companies are willing to pay more for European cloud providers – if performance and security are right
The German economy’s dependence on cloud solutions continues to grow. The dominance of US-based providers – the so-called hyperscalers such as Microsoft, Google, and Amazon – also remains unbroken, despite increasing concerns about data protection. Until recently, price differences were often cited as the main argument against European alternatives. But this focus is shifting: it is no longer just about costs – sovereignty, control, and performance are becoming the decisive factors in choosing a cloud partner.
Current state of European data sovereignty: The Cloud Sovereignty Framework
With the new Cloud Sovereignty Framework, the EU has, for the first time, created uniform criteria to assess cloud services based on measurable sovereignty standards. The system defines clear requirements addressing data location, control over encryption keys, and protection against non-European access.
The outcome is the Sovereign European Assurance Level (SEAL), which classifies how well a solution meets European sovereignty standards in several levels. This is an important step that helps public institutions and private enterprises identify and promote sovereign providers. And the demand is there – provided that performance, security, and price remain in balance.
Studies: Growing interest in European solutions
Recent studies indicate a growing interest in European – and particularly German – cloud offerings. Above all, data protection, transparency, and protection against unauthorized access by non-European actors are seen as decisive factors.
The forsa study commissioned by STRATO shows:
65 % of users prioritize data protection and EU-based servers over price.
75 % reject any access by non-European institutions to their data.
The Bitkom Cloud Report 2025 reveals similar findings:
97 % of companies consider the provider’s country of origin relevant, 67 % even “essential.”
82 % would like to see strong European cloud providers.
However, only 7 % would accept higher costs if functionality or usability lagged behind international solutions.
65 % of respondents would not accept functional disadvantages, even if security were higher.
European cloud with full functionality – no contradiction
But can a European cloud solution really compete with the major providers? This is exactly where providers like netfiles come in. In addition to the highest security standards and data hosting in Germany, the focus is on secure data exchange and collaboration. The integrated online office suite in the data room enables real-time document editing directly in the browser – with no downloads, local setup, or Office365 dependency. Complementary secure and compliant video conferences within the data room enable efficient and confidential collaboration across locations and organizational boundaries.
Those who take digital sovereignty seriously no longer have to compromise on productivity or ease of use. European solutions like netfiles prove that data protection, compliance, and modern teamwork already go hand in hand – and that customers are indeed willing to invest in them. Security and functionality are no longer mutually exclusive in the cloud.
Why companies are moving to the cloud
Cloud services have long been an integral part of modern corporate infrastructure. According to Bitkom, 94 percent of companies already use cloud solutions – not primarily for potential cost savings, but for flexibility, reliability, and efficiency. They enable device-independent access to data, support seamless online collaboration across sites, and offer tangible convenience gains in everyday work – whether in the office or on the move.
Trust in the provider remains crucial: origin, data protection, and functionality increasingly determine which platform companies choose. The trend is clear – toward secure, sovereign, and high-performance cloud services from Europe. Key requirements include:
High security standards and data hosting in Europe
Verifiable control over access and encryption
Comprehensive functionality and smooth usability
Independence from non-European jurisdictions
Transparent, auditable cloud infrastructure
netfiles stands for secure and sovereign data storage
netfiles data rooms provide maximum security for data exchange and collaboration – certified according to ISO/IEC 27001, BSI C5, and SOC 2. Independent annual penetration tests regularly confirm the reliability of the platform. All data are processed 100 % Made & hosted in Germany – ensuring maximum security, compliance, and digital sovereignty.
See for yourself: Start a free, no-obligation trial today, or contact us for more information. We will be happy to advise you on how to make the most of our sovereign data rooms.