A new survey reveals that 75% of European companies fear losing access to US-based tech services, with many unable to operate for more than one day if such a disruption occurred.
Key facts
- •The survey included roughly 1,500 business decision-makers across the UK, France, and Germany.
- •54.5% of respondents stated they could only operate for one business day or less if their cloud services were cut off.
- •Nearly 75% of European companies equate the threat of a kill switch with the threat of cyberattacks and ransomware.
- •44% of surveyed businesses have already implemented contingency plans to address potential service disruptions.
- •US lawmakers have recently explored the possibility of a kill switch for AI systems deemed a public threat.
A survey of 1,500 business decision-makers in the UK, France, and Germany found that 75% of European organizations fear a government-imposed 'kill switch' that could revoke their access to US-provided cloud and digital infrastructure. Conducted by Proton, the research highlights growing concerns over digital sovereignty as geopolitical tensions rise. More than half of the respondents indicated they could not maintain operations for more than a single business day if their primary tech services were suddenly cut off.
By the numbers
Operational and Financial Risks
The survey results suggest that the threat of a service cutoff is viewed with the same level of concern as cybersecurity risks like ransomware. Businesses estimated that a single day of downtime would result in an average loss of approximately €100,000 ($115,000), with nearly 45% of respondents expecting losses exceeding €50,000 ($58,000). Only one in 20 surveyed organizations reported having no concerns regarding the potential for a government-imposed kill switch to impact their future operations. Proton Chief Operating Officer Raphaël Auphan noted that organizations relying on a single vendor for critical operations effectively grant that third party the power to disrupt their business. He emphasized that this risk is not limited to US-based providers, as any lack of asset diversification leaves companies vulnerable to sudden service terminations.
Market Shifts and Mitigation Strategies
In response to these concerns, some European entities are already adjusting their strategies. Some EU governments are moving toward open-source solutions, while Ireland has stalled a €1 billion tender due to debates over reliance on US technology. Major providers are also reacting; AWS, for instance, has launched a European Sovereign Cloud to address availability concerns, and Google Cloud has engaged in discussions with EU lawmakers regarding digital sovereignty. To mitigate these risks, experts recommend that businesses implement end-to-end encryption and develop tested contingency plans. Currently, 44% of surveyed businesses report having plans in place, with investments primarily directed toward alternative email and cloud storage systems. The European Commission has also proposed legislative changes aimed at reducing risky dependencies on foreign tech suppliers.
Timeline
- JuneThe UN Open Source Week addressed digital sovereignty and the ownership of tech ecosystems.
- JuneThe European Commission proposed legislative changes to reduce dependencies on foreign tech suppliers.
- ThursdayProton released survey results regarding European business concerns over US tech reliance.
Advertisement
This article was independently rewritten by ManyPress editorial AI from reporting originally published by ZDNET AI.
