ACM: Digital autonomy is on the agenda, but few energy suppliers switch cloud service providers
Summary
- Dutch energy suppliers wish to strengthen their digital autonomy, but remain dependent on dominant cloud service providers.
- Costs, functionalities, and IT integration usually determine the decision to stay with a cloud service provider.
- The Data Act must make the switching process easy and free of charge.
Dutch energy suppliers wish to strengthen their digital autonomy, but few companies actually switch cloud providers. They fear high costs and disruptions to their operations. The companies that did decide to switch are satisfied with the result of their switches. These are some of the conclusions of a study conducted by the Netherlands Authority for Consumers and Markets (ACM).
A previous study (in Dutch) revealed that businesses face barriers when switching cloud providers. The cloud market is currently dominated by three large providers or hyperscalers (Microsoft, Google, and Amazon). The European Data Act, which is enforced in the Netherlands by ACM, aims to make switching easier to create a more competitive, open European data market.
For the current study, a short survey was sent to all Dutch energy suppliers, and interviews were held with IT professionals at ten energy suppliers. The reason that energy suppliers were interviewed is that they operate in a sector that strongly relies on data and digital technology.
Most energy suppliers have digital autonomy on their agenda. However, costs, functionalities, and integration of IT systems are usually the decisive factors in the choice of a cloud service supplier. Most companies stay with one or more major providers, according to ACM’s study. The ease of use and the broad functionalities on offer appear to be decisive factors. Alternative European providers are often still seen to be subpar on these aspects. The study’s findings among energy suppliers fit in with the general picture derived from ACM’s discussions with other companies and providers of alternative cloud services.
Hassle-free switching
Notably, market participants that have switched (fully or partially) from a hyperscaler to a European alternative are positive about their new cloud service providers. They say that they are better off in terms of costs, functionalities, and flexibility. Several market participants indicated that the switching process itself was arduous.
“It’s good that digital autonomy is on the agenda”, says Manon Leijten, Member of the Board of ACM. “The Data Act can further boost this development, by making it easier for users to switch. If it turns out that a cloud service provider fails to comply with the rules laid down in the Data Act, and that this provider hinders a switch, users can file a report with ACM”.
About the Data Act
The European Data Act (Data regulation) rests on two important pillars. First, the Data Act offers businesses, consumers, and governments more opportunities to take advantage of data from smart devices, and to share these with businesses of their choice. In addition, the Data Act compels cloud service providers to take away barriers that could impede switching between them. Users are also able to combine their cloud services, as services can be linked more easily due to interoperability requirements.
In May 2026, ACM published the Data Sharing Guidelines to help businesses in implementing the rules on data sharing, laid down in the European Data Act. This month, ACM launched a consultation on the Cloud Guidelines, in which the rules for cloud service providers have been clarified.