EU Designates Microsoft, Amazon as Key Tech Suppliers in Cloud Investigation
Microsoft and Amazon have been designated as critical providers of information communication technology (ICT) services for the finance industry in Europe. This classification is due to their significant role in offering these services, particularly pointing to their systemic importance to the European Union.
EU Investigation into Cloud Computing Providers
This designation coincides with the European Commission’s new investigation. It aims to assess whether Microsoft and Amazon should be classified as “gatekeepers” in the cloud computing sector. The objective is to implement stricter regulations governing these tech giants.
Importance Under DORA
The designation stems from the EU’s Digital Operational Resilience Act (DORA), which came into effect in January. This act requires financial institutions to prepare for potential ICT disruptions, including cyberattacks and system failures.
Other Notable Critical ICT Providers
Alongside Microsoft and Amazon, several other companies have also received critical designations. These include:
- Oracle (ORCL)
- IBM (IBM)
- Bloomberg
- Accenture (ACN)
These firms provide an array of ICT services, from core infrastructure to business and data solutions, benefiting various financial entities throughout the European Union.
Regulatory Oversight and Company Response
Authorities from the European Banking Authority, the European Securities and Markets Authority, and the European Insurance and Occupational Pensions Authority issued these designations. The affected companies were notified and allowed to respond to this new classification.
This development occurs amid broader EU policies on artificial intelligence and online platforms, signaling a significant moment in EU-U.S. relations.
Market Implications for ICT Companies
Investors interested in these critical ICT providers can utilize resources like the TipRanks Stock Comparison tool. This tool allows for analysis based on expert ratings and assessments of these technology companies.
As the investigation continues, the ramifications for Microsoft, Amazon, and other designated companies will become clearer in the evolving regulatory landscape.
