EU Draft Rules Threaten Amazon Cloud Access to Strategic Tenders

On June 1, 2026, the European Commission released a draft Cloud and AI Development Act imposing mandatory EU-developed software and hardware criteria for highly sensitive public tenders. The rules could effectively bar Amazon, Microsoft, and Google from lucrative government contracts to boost European tech sovereignty. Markets reacted with mixed moves including AMZN down 1.23 percent while the proposal remains subject to potential revisions before final enactment.