Google has scrapped fees for transferring data across different cloud platforms in the European Union and the United Kingdom, challenging competitors such as Amazon Web Services (AWS) and Microsoft Azure.
The decision comes just days before the EU’s new Data Act takes effect on 12 September.
The Data Act is designed to break down limitations in the cloud market by reducing vendor lock-in, giving businesses more freedom to move data between providers, and ensuring fair competition. Under the new rules, cloud firms will no longer be able to impose excessive switching costs, with stricter bans on most fees expected by 2027.
Google’s “Data Transfer Essentials” goes further than the law requires. Instead of charging “at cost,” as the Act permits, the company is offering multicloud transfers at no cost.
Jeanette Manfra, Google Cloud’s senior director of global risk and compliance, confirmed the decision in a blog post: “Although the Act allows cloud providers to pass through costs to customers, Data Transfer Essentials is available today at no cost to customers.”
This makes Google a more customer-friendly option compared to AWS and Microsoft. Microsoft only introduced at-cost transfer fees in the EU in late August, while AWS says its European customers can request reduced rates in certain cases.
For organisations that rely on multiple cloud providers to boost flexibility and resilience, the latest development could reduce financial and technical issues. Analysts note that Google’s decision may appeal particularly to small and medium-sized businesses, which usually face the steepest challenges when navigating cloud contracts.
The EU and UK have both complained about the dominance of U.S. cloud giants. Collectively, AWS, Microsoft, and Google control over two-thirds of the European cloud market.
Regulators have accused Microsoft of using restrictive licensing that disadvantages smaller providers. Meanwhile, lawmakers in France have flagged risks around data sovereignty, warning that U.S. laws such as the CLOUD Act could allow American authorities to access data stored in Europe.