Europe aims to triple data centre capacity: what the CADA proposal means for cloud sovereignty
In the proposed Cloud and AI Development Act (CADA), the European Commission suggests at least tripling the EU's data centre capacity within five to seven years while redefining cloud sovereignty across multiple levels. This debate directly impacts where and with whom businesses store their data.
News summary
According to the Cloud and AI Development Act (CADA) proposal, the European Commission aims to at least triple the Union's data centre capacity over the next five to seven years, increasing from approximately 12 GW to over 27 GW. Specialist media outlets estimate this objective would require around 200 billion euros, primarily from private investment.
The initial diagnosis centres on dependency. The Commission highlights that the market share of European cloud providers fell from 29% in 2017 to 15% in 2022, with various press analyses placing AWS, Microsoft Azure, and Google Cloud at over 70% of the European market.
One of the most significant elements is the tiered redefinition of cloud sovereignty: it is no longer enough for data to be on European soil; independence from third countries, software chain transparency, and provider control also matter. As this is a legislative proposal, the final wording is subject to change.
For businesses, this debate translates into practical concerns: knowing the physical location of their data, the jurisdiction under which their provider operates, and their actual capacity to audit them. For many sectors—healthcare, professional services, public administration, and industries with sensitive intellectual property—these questions are already standard client requirements.
Seintec operates its own datacenter in Sant Miquel de Balenyà (Osona, Barcelona), featuring infrastructure and technical teams based in Spain. This proximity allows us to offer private cloud and hosting services with known data locations, which can be combined with public cloud solutions where appropriate.
Source: El Ecosistema Startup — 30 September 2026
Frequently Asked Questions
- Is CADA already in force?
- No. It is a European Commission proposal currently undergoing the legislative process; capacity targets and tiered sovereignty definitions may be modified before completion.
- Does hosting data in Spain guarantee sovereignty?
- It is the first level, but not the only one. Provider jurisdiction, corporate control, and transparency regarding software and data access are also critical factors.
Concepts mentioned in this article: Cloud · Private cloud · Public cloud · Data centre
If you need to know where your data is and who controls it, we can help. At Seintec, we offer private cloud services in our Osona datacenter and bespoke hybrid architectures. Contact our team.
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