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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
In a move reflecting heightened regulatory scrutiny on big tech, the European Union has proposed designating Amazon and Microsoft's cloud computing services as gatekeepers under the Digital Markets Act, according to a Wall Street Journal report. The European Commission stated that AWS and Azure should fall under the DMA, imposing extra obligations to prevent anti-competitive practices.
The proposal expands the DMA's reach to cloud infrastructure after the regulation was already applied to platforms like Google and Meta. The new designation increases compliance and operational costs for both companies, potentially pressuring margins. At the close on June 24, 2026, Amazon shares stood at $234.27 and Microsoft at $365.46, per market data. Peers already under DMA, such as Apple ($293.08) and Google ($345.29), show ongoing regulatory headwinds.
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Sign InInvestors will focus on the European Commission's formal review process, which may take months before a final decision. No major EU regulatory events are scheduled in the near-term economic calendar for the coming week. On the trading front, recent closing lows of $232.95 for Amazon and $364.84 for Microsoft could serve as support levels, amid regulatory uncertainty.