The EU Data Act gives customers in the EU new power over their data, i.e. the right to move or copy it between cloud providers, or even back to their own infrastructure. For cloud providers, this means new obligations to make that possible and fair. The aim? End vendor lock-in.
Despite how big this sounds, awareness is still low. The Data Act is often discussed in the context of IoT, but cloud-switching rules make up just eight of its 50 Articles. And while some services are easy to swap, others are so deeply integrated that switching isn’t realistic mid-contract. Add in “proportionate” early termination fees, and most customers will think twice before moving.
What providers and customers should know
1. Does your cloud contract address the Data Act?
There was no grace period — the rules apply to all existing cloud contracts. Many providers have already released their own Data Act addenda, though few regulators are enforcing yet. Some vendors quietly publish the addendum and wait for customers to ask; others, like Apple, are more proactive.
2. Who actually gets the right to switch?
Any EU-based customer, business or consumer, with a contract for a data-processing service. But things get fuzzy with global contracts, where a non-EU entity signs and EU affiliates just “use” the service. Until regulators or the European Data Innovation Board clarify, both sides will argue scope to suit their position.
3. Which cloud services are in scope?
The Act covers any digital service offering on-demand access to scalable computing resources — SaaS, PaaS, IaaS, and DaaS. But there’s nuance. If your platform runs on the customer’s own cloud infrastructure rather than yours, the switching rules may not apply. Providers should check how their setup fits the legal definition before assuming they’re affected.
4. The fine print
Customers can terminate at any time with two months’ notice, but the real complexity lies in the details: data formats, timeframes for transfer, and erasure obligations. Some cloud providers have 10–12 page addenda just to cover these points. The standard contractual clauses (see examples here) are a good reference point.
