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Europeans Turn to Local Digital Services Amid U.S. Tech Firms’ Political Shift and Privacy Concerns

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As former President Donald Trump’s second term unfolds, many Europeans are increasingly distancing themselves from U.S. tech giants, driven by political unease and growing concerns over digital sovereignty and data privacy.

In Berlin, volunteers at a charity-run market stall by Topio are helping people remove Google services from their smartphones, installing alternative Android versions without Google integration. Michael Wirths, Topio’s founder, said the people now seeking help are no longer just privacy advocates, but politically aware individuals who feel exposed by continued reliance on American tech.

Interest in European digital alternatives has surged in recent months. According to Similarweb, usage of non-U.S. email, search, and messaging services has seen notable growth. Berlin-based Ecosia, an environmentally focused search engine, reported a 27% year-on-year increase in EU traffic, capturing 1% of Germany’s search market. Meanwhile, Swiss-based ProtonMail saw an 11.7% rise in European users, while usage of Google’s Gmail dropped by 1.9%.

The backdrop to this trend includes Trump’s renewed isolationist rhetoric, a U.S. trade war with Europe, and a cooling of transatlantic diplomatic ties. Prominent U.S. tech CEOs including Elon Musk, Jeff Bezos, Mark Zuckerberg, and Sundar Pichai appeared at Trump’s second inauguration, fuelling public concern in Europe over the political alignment of these firms. Musk, previously an adviser to Trump, fell out with the president, but his close past association left an impression.

Digital sovereignty—a call for Europe to reduce dependency on foreign tech—has gained traction. British tech experts report average users, including hairdressers, are asking about alternatives to U.S. services. British software engineer Ken Tindell said his family is deliberately reducing reliance on American platforms, citing inadequate U.S. privacy laws.

The policy climate has further inflamed tensions. U.S. Vice President JD Vance accused Europe of suppressing free speech, while Secretary of State Marco Rubio threatened visa bans for officials who “censor” Americans, potentially including regulators enforcing EU digital laws. U.S. firms like Meta have criticized Europe’s Digital Services Act (DSA), claiming it censors content. However, EU officials argue the DSA is intended to curb online abuse and misinformation.

Privacy experts like Greg Nojeim confirm that European concerns are valid. U.S. laws allow the government broad access to data, even if stored outside the U.S. but managed by American companies.

European governments are beginning to act. Germany’s coalition government has pledged to shift toward open-source software and EU-based cloud services. In Schleswig-Holstein, all public IT systems must use open-source tools. Meanwhile, Berlin funded Ukraine’s use of France’s Eutelsat satellite service over Musk’s Starlink.

Still, completely severing ties with U.S. tech remains unlikely. Infrastructure dependencies—such as content delivery networks and cloud platforms—are largely U.S.-controlled. Ecosia and France’s Qwant still partially rely on Bing and Google for results, and cloud hosting often comes from the very firms they seek to avoid.

Nevertheless, grassroots movements persist. Reddit’s BuyFromEU group has over 200,000 members encouraging users to switch to EU tech alternatives. Messaging app Signal, although U.S.-based, saw a 7% rise in EU use in March, while WhatsApp usage stagnated.

Despite the push, digital rights experts caution that voluntary shifts alone won’t significantly dent Silicon Valley’s market hold. “The market is too captured,” said activist Robin Berjon. “Regulation is needed as well.”

Poor Grid Planning Threatens Europe’s Data Centre Hubs, Ember Report Warns

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Europe’s top data centre locations, including Frankfurt, London, Amsterdam, Paris, and Dublin, risk losing their dominance unless governments improve long-term grid planning, according to a new report released Thursday by energy think-tank Ember.

The surge in demand for data centres, driven by the rise of artificial intelligence (AI) and its energy-intensive computing needs, is shifting investment priorities. Developers are increasingly choosing locations with faster and easier access to electricity, rather than remaining loyal to traditional hubs plagued by long grid connection delays.

The report warns that by 2035, up to 50% of Europe’s data centre capacity could relocate outside the current main hubs. This could divert billions of euros in economic activity to emerging markets, with significant implications for GDP and job creation. For example, data centres in Germany generated €10.4 billion in GDP in 2024 — a figure expected to more than double by 2029. Losing momentum in such a high-growth sector could harm economic prospects in these countries.

While France is likely to retain investment due to a relatively unconstrained grid, others could suffer delays of up to 13 years in connecting new data centres. The average wait time in the legacy hubs is 7–10 years, compared to only 3 years in Italy and even less in some emerging regions.

“Grids are ultimately deciding where investments go,” said Elisabeth Cremona, Senior Energy Analyst at Ember. “If Europe wants to maintain its competitiveness and achieve economic growth, it must prioritise grid development.”

She emphasized that the issue extends beyond data centres to all sectors undergoing electrification. Without updated grid infrastructure, industries could struggle to scale or relocate entirely to regions with faster energy access.

Electricity demand from data centres is projected to triple in Sweden, Norway, and Denmark by 2030, and increase three- to fivefold in Austria, Greece, Finland, Hungary, Italy, Portugal, and Slovakia by 2035.

The findings highlight an urgent need for European policymakers to treat grid planning as a strategic investment tool, not just a utility service, in order to retain tech-sector leadership and support industrial transformation.

Global EV Sales Jump 24% in May as China Reaches Record High

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Global electric and plug-in hybrid vehicle (EV) sales surged by 24% in May year-over-year, according to market research firm Rho Motion. The strong performance was led by China, where monthly EV sales exceeded one million units for the first time this year, driven by robust domestic demand and aggressive export strategies.

Chinese automaker BYD played a key role in expanding EV sales, exporting large volumes to markets such as Mexico, Southeast Asia, and Uzbekistan. “BYD’s exports to Mexico and Southeast Asia, along with Uzbekistan, have significantly boosted sales in these regions,” noted Charles Lester, data manager at Rho Motion.

In Europe, fleet incentives in Germany and strong growth in Southern European markets contributed to a 36.2% rise in EV sales, reaching 330,000 units. However, North America showed more modest growth, with sales increasing just 7.5% to 160,000 units, partly due to the expiration of Canadian subsidies and broader policy uncertainties.

Global automakers continue to face challenges in the U.S., where new 25% import tariffs have prompted several companies to reconsider their 2025 forecasts. Tesla’s Berlin-based Model Y production remains shielded from these tariffs, but the company faces intensifying global competition as production volumes increase worldwide.

Meanwhile, President Donald Trump’s policies on emissions standards and tariff uncertainties have further slowed EV adoption in North America. U.S. tax credits for EVs remain in place but are scheduled to begin phasing out in 2026, adding another layer of hesitation for potential buyers.

By the numbers, global sales of battery-electric vehicles and plug-in hybrids totaled 1.6 million units in May. China’s sales grew over 24% year-over-year to 1.02 million vehicles. Europe recorded a 36.2% increase, while North America lagged with a 7.5% gain. The rest of the world saw a 38% rise, reaching 150,000 vehicles.

Summing up the global picture, Charles Lester stated, “The story this month with global vehicle sales is the continued chasm between Chinese market growth versus the faltering market in North America.”