The Economic Impacts Of The Proposed Eucs Exclusionary Requirements: Estimates For Eu Member States

The EU Agency for Network and Information Security (ENISA) is proposing a far-reaching “European Cybersecurity Certification Scheme for Cloud Services” (EUCS) to be established in the European Union (EU). This study shows that the proposed “immunity” requirements, such as foreign ownership and headquarter restrictions, local staff requirements, and data localisation, would lead to significant losses in Member States’ aggregate economic activity and drive a wedge between economic growth in the EU and the growth of non-EU economies. The projected losses in annual EU GDP range from EUR 610 billion to EUR 29 billion within approx. two years of implementation. Cloud services are granting businesses of all sizes equal access to global data and resources, stimulating collaboration, and bolstering competitiveness. Advanced cloud services are levelling the playing field in domestic commerce and international trade.