Google has announced it will scrap certain cloud data transfer fees in the EU and UK, marking a major shift in how businesses can move their data between providers. This update means customers using Google Cloud can now transfer their data out of Google’s infrastructure in these regions without incurring hefty egress charges.
The change comes as part of Google’s response to the EU Data Act, which aims to make cloud services more competitive by reducing “vendor lock-in” and giving businesses greater control over their own data.
Why Google Cloud made the change
Historically, cloud data transfer fees have been one of the biggest barriers to switching providers. Known as egress charges, these costs often ran into thousands of pounds for larger organisations, discouraging businesses from moving workloads between clouds or back on-premises.
The EU Data Act, which came into effect in January 2024, requires providers to make data portability easier and fairer. By removing charges for moving data out of Google Cloud in the EU and UK, Google is positioning itself as an early adopter of these regulations—potentially putting pressure on rivals like AWS and Microsoft Azure to follow suit.
What fees are being scrapped?
Google confirmed that in the UK and EU:
- Data egress charges for switching providers or repatriating data will be waived.
- Businesses can transfer their workloads out of Google Cloud to another provider or back on-premises without paying extra.
- The changes apply across Google Cloud regions in the EU and UK, covering both small and large enterprise customers.
This does not necessarily mean all cloud data transfer costs are gone—internal transfers between regions or certain services may still carry fees. But for organisations considering a multicloud strategy or cloud exit, the financial barrier of large egress bills has been lifted.
Impact on UK and EU businesses
For many organisations, this move is a potential game-changer:
- Reduced cloud exit costs: Businesses now have more freedom to repatriate or migrate workloads without facing punitive fees.
- Encouragement of multicloud adoption: Companies can spread workloads across multiple cloud providers more confidently, knowing they won’t be locked in by transfer costs.
- Regulatory alignment: Google’s move supports compliance with the EU Data Act, giving customers reassurance that their cloud strategy won’t clash with new legal requirements.
- Competitive advantage: With Google leading the charge, rivals like AWS and Microsoft may soon face pressure to adopt similar policies to remain competitive in the European market
What this means for your cloud strategy
The removal of Google Cloud data transfer fees in the UK and EU presents both opportunities and challenges for IT leaders:
- Cloud repatriation becomes viable: Businesses that were hesitant to move workloads back on-premises due to high costs now have fewer barriers.
- Multicloud strategies get easier: Organisations can experiment with splitting workloads across providers—optimising for performance, compliance, or cost.
- Greater negotiating power: With lower exit costs, businesses have more leverage when negotiating cloud contracts or renewals.
- Compliance alignment: The EU Data Act’s focus on portability means adopting multicloud or hybrid strategies may become the default approach for many enterprises.
Key statistics to consider
- Analysts estimate that egress charges account for 5–15% of some organisations’ cloud bills, depending on usage.
- Gartner predicts that by 2027, over 65% of enterprises will adopt a multicloud strategy to avoid vendor lock-in.
- The global cloud repatriation market is also expected to grow as businesses seek flexibility and cost efficiency—moves like Google’s will accelerate this trend.
What IT leaders should do next
If your organisation operates in the UK or EU, this is the right time to:
- Review existing cloud contracts: Understand where you may be paying unnecessary egress fees with other providers.
- Revisit multicloud strategies: Consider how you might balance workloads across providers now that costs are reduced.
- Audit data portability needs: If compliance or customer demands require faster portability, the new rules make it easier to adapt.
- Plan for resilience: Avoid being tied to one provider; flexibility is now more achievable and affordable.
Final Thoughts
Google scrapping cloud data transfer fees in the EU and UK is more than just a pricing tweak—it’s a major step toward a more competitive, open, and fair cloud market. Businesses now have the freedom to explore multicloud strategies, reduce cloud exit costs, and better align with the EU Data Act’s focus on portability.
With this move, Google is challenging other providers to do the same. For enterprises, it’s a signal that the balance of power in cloud computing is shifting—from providers back to customers.
Contact Creative Networks Today
At Creative Networks, we help organisations design, optimise, and secure their cloud strategies. Whether you’re considering cloud repatriation, moving to a multicloud model, or ensuring compliance with the EU Data Act, our experts can guide you through the process.
- Cloud contract and cost audits
- Multicloud and hybrid design
- Cloud migration and repatriation planning
- Cybersecurity and compliance alignment
Contact Creative Networks today to explore how you can take advantage of the new opportunities created by Google’s cloud policy changes.
