Microsoft's top legal officer said the company will bring the U.S. government to court when necessary to protect European customers' access to its services as it attempts to assure Europe that Donald Trump will not be able to cut key technologies.
Microsoft President Brad Smith said European leaders were shocked when Trump temporarily stopped military and intelligence support for Ukraine. Cloud computing and software giants made new commitments to European governments on "continuity of access."
His comments were posted when the region was uncertain about uncertainty about the uncertainty of the U.S. president’s long-term commitment to the Transatlantic Security Alliance, and whether he could block access to U.S. technology as a leverage in broader negotiations with the group.
"As a company, we need to be a source of digital stability during times of geopolitical fluctuations," Smith said.
Microsoft's new commitments include five "digital commitments" to Europe. The big tech group said it would challenge any government orders to stop cloud services for European customers, including courts.
It also promises to have its cloud computing services on the continent supervised by European boards and operate in accordance with European law.
The company plans to increase its European cloud and artificial intelligence operations by increasing its data center capabilities in Europe by 40% over the next two years, thereby expanding operations in 16 countries.
Smith said it expects it will spend "billions of dollars" per year on European data centers, due to recent speculation that the company is withdrawing some of its investments.
The Seattle-based company is the first major U.S. technology business in the U.S. as trade tensions escalate and calls for more European tech sovereignty, including a requirement to exclude U.S. companies from public contracts.
Trump has sparked anxiety among European governments and companies about privacy and data acquisition, and has even raised concerns that the United States may suspend or block U.S. technology companies from operations in Europe.
Smith said the suspension is unlikely. “There is a strong consensus in Washington to see (US) digital technology flowing to Europe.”
But he admits that the topic has been in the minds of European leaders, especially after Trump temporarily suspended military and intelligence support for Kiev.
"They asked themselves how to get defense and security protection more broadly," Smith said. "So, I think it's important for us to be clear about Europe that can count on us."
Microsoft said it would include a legal commitment in its contract to challenge any orders from governments outside Europe that would undermine its cloud operations on the continent.
Asked about a potential counterattack in the U.S. announcement, Smith said it was his “work of worrying about everything”, but Microsoft “has a long record of litigation with multiple governments when needed.”
Smith said the European market accounts for more than a quarter of Microsoft's business, which means "it is essential for us to maintain trust between the country and the government in our technology."