ACM publishes guidelines regarding switching cloud services

The process of switching to another cloud provider must be fast, easy, and free of charge. That will help customers become less dependent on their providers. In order to give providers and users of cloud services clarity regarding their rights and obligations, the Netherlands Authority for Consumers and Markets (ACM) has published guidelines regarding the Data Act, with a focus on cloud services.

Almost everyone uses cloud services. The number of providers is limited: the three largest cloud providers serve 75 percent of the market. High switching costs, closed systems, and complicated contracts make switching often unattractive. Those that are stuck with one provider are subject to their prices, conditions, and choices. The Data Act aims to change that.

The regulation, which has been in force for over a year now, makes sure that people and businesses have more control over their own data. Two basic principles are central: customers are able to switch easily, and they are able to use multiple services at the same time, where those services exchange data with each other (parallel use).

For many cloud providers, it has proven difficult to implement the Data Act properly, and users are often not aware of their rights. That is why, with these guidelines, ACM has reworked these obligations into concrete tips, and offers customers of cloud services clarity about their rights.

Manon Leijten, Member of the Board of ACM, explains: “If customers are able to switch easily, competition on price and quality is stimulated between cloud providers, which will benefit users. The ability to switch easily also leads to smaller and newer providers being better able to compete on quality instead of on scale.”

Why these guidelines?

The Data Act offers customers more freedom of choice and a stronger bargaining position. Switching remains a complicated process that involves organizational costs, but the Data Act takes away uncertainty as well as any costs imposed by the provider. Customers know beforehand what the costs of the switch are and how much time a switch takes. They are able to count on assistance from their providers and have the ability to combine services from different providers. This is relevant for businesses, governments, and other organizations that wish to increase their digital autonomy.

These guidelines offer providers clarity about what is expected of them. Clear, EU-wide rules must ensure a level playing field for all cloud providers that are active in Europe. ACM oversees providers that have their headquarters (European or global) in the Netherlands. In its oversight, ACM takes into account the competitiveness of the Dutch cloud market. In addition, ACM works together with other European regulators to ensure a balanced approach to enforcing the Data Act.

The guidelines organize the obligations into four themes:

• No obstacles: providers cannot hinder switching or parallel use. They have to cooperate with the customer, and ensure the service’s continuity throughout.
• Commercial obligations: customers receive clear information in advance, and the switching arrangements are laid down in contracts.
• Techincal obligations: providers offer free APIs for data exchanges, and work with interoperability standards. IaaS services (Infrastructure-as-a-Service) must comply with a requirement of functional equivalence after the switch.
• International access: providers protect non-personal data against unlawful access or transmission by governments of non-EU countries.

Withdrawal of switching charges

From 12 January 2027, providers can no longer impose any switching charges. Until then, only those costs that are directly associated with the switching process can be charged, such as data traffic and technical support. With parallel use, only the costs that are actually incurred for data transfers can be charged, also after January 2027.

To whom does this apply?

The regulation has taken effect in all EU member states, and also applies to cloud service suppliers that have their registered offices outside the EU. If Dutch buyers of cloud services believe that a provider does not comply with the Data Act, they can file a report with ACM. ACM is also in contact with other European regulators about forwarding reports that concern market participants that have their registered offices outside the Netherlands.

See also

• 19-10-2026 ACM launches public consultation on its Guidelines regarding switching cloud services (in Dutch)