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Cloud Backup Storage: A Guide to Sovereignty, Security, and Predictability in 2025

08.11.2025

12

Minutes
Christian Kaul
CEO Impossible Cloud
How European enterprises and MSPs can leverage EU-based cloud backup storage to eliminate hidden costs, ensure GDPR compliance, and build a resilient defense against ransomware.

For European IT leaders, the landscape of cloud backup storage is fraught with challenges. Unpredictable egress fees cause 55% of organizations to delay projects, while the US CLOUD Act creates a direct conflict with GDPR's data residency principles. A sovereign-by-design approach, centered on EU-only data centers and a transparent pricing model, is no longer optional-it's a strategic necessity. This guide details how to achieve digital sovereignty, strengthen ransomware defenses with immutable storage, and prepare for new regulations like the EU Data Act, which will ban switching fees from January 2027.

Schlüsselpunkte

  • Adopt EU-based cloud backup storage to ensure GDPR compliance and eliminate exposure to foreign laws like the US CLOUD Act, a concern for over 80% of EU business leaders.
  • Eliminate budget volatility with a zero-egress, zero-API-fee pricing model, which prevents the project delays that affect 55% of European companies due to hidden costs.
  • Use Immutable Storage with Object Lock as a primary defense against ransomware, as attacks now target backup repositories in 96% of cases.

Achieve Digital Sovereignty with EU-Centric Storage

Digital sovereignty is a board-level concern for 81% of German business leaders. Storing data with non-EU providers creates exposure to foreign laws like the US CLOUD Act, which conflicts with GDPR's mandate that data must remain under EU jurisdiction. A sovereign cloud backup storage solution, operated exclusively in European data centers, eliminates this risk entirely. This ensures your backups are governed solely by EU law, a critical requirement for regulated industries. True sovereignty is achieved when your provider is EU-owned, ensuring no foreign entity has legal control over your infrastructure. This approach provides the legal certainty needed for a compliant disaster recovery plan.

Choosing a provider with country-level geofencing offers another layer of control. It guarantees that data from a specific nation, like Germany, never leaves its borders, satisfying even the strictest data residency requirements. This level of control is something that over 90% of US-owned infrastructure cannot guarantee. This strategy directly addresses the core challenge of maintaining data control in a globalized cloud market.

Eliminate Hidden Costs with a Predictable Economic Model

Unpredictable costs are a major barrier to cloud adoption, with 56% of European organizations overspending their cloud storage budgets. The primary culprits are egress fees and API call charges, which can inflate bills unexpectedly. A transparent pricing model with zero egress fees, no API call costs, and no minimum storage duration removes this volatility. This allows for precise budget forecasting, a significant advantage for MSPs needing to secure predictable margins on their backup-as-a-service offerings. In Germany, 76% of companies report that data access costs have delayed projects.

This predictable-by-design approach aligns with upcoming EU regulations. The EU Data Act, effective from September 2025, will prohibit all cloud switching charges by January 2027, making a zero-egress model a future-proof investment. By adopting a no-egress-fee cloud backup storage solution now, you gain a competitive advantage and simplify future compliance. This economic clarity is a key driver for the 46% of organizations that prioritize compliance when selecting a cloud provider. This financial predictability is essential for building a sustainable cloud backup strategy.

Leverage a Resilient, Enterprise-Ready Architecture

Modern backup strategies require more than just storage; they demand a high-performance, consistent, and scalable architecture. Full S3-API compatibility is the cornerstone, ensuring your existing tools and scripts continue to work without modification, protecting investments made over the last 10 years. An "Always-Hot" object storage model provides immediate access to all data, eliminating the delays and complexity of tiered storage. This is critical during a recovery scenario, where every second counts, and avoids the API timeouts that plague tiered systems.

An enterprise-ready platform must offer advanced capabilities beyond basic operations. Here are key features to look for:

  • Advanced S3 API Support: Ensures features like versioning, lifecycle management, and event notifications work seamlessly with your existing applications.
  • Strong Consistency: Guarantees that read operations always return the most recent write, critical for database and application backups.
  • Multi-AZ Replication: Provides high availability and data integrity by replicating data across multiple availability zones within a certified EU data center.
  • Identity and Access Management (IAM): Offers granular control with MFA/RBAC and supports external identity providers via SAML/OIDC for secure, policy-driven access.

This robust architecture ensures your backup solutions are both powerful and easy to manage.

Build an Impenetrable Defense Against Ransomware

Ransomware attacks are increasingly targeting backup repositories, with 96% of attacks aiming for them. Immutable Storage with Object Lock is the most effective defense, creating a virtual air gap that makes backup data unchangeable for a defined period. Even if attackers gain administrative credentials, they cannot modify or delete the locked backups. This capability is now a common requirement for cyber insurance policies. It ensures you always have a clean, uncorrupted copy of your data ready for restoration.

A multi-layered security approach is essential for comprehensive protection. An estimated 75% of IT organizations will face one or more cyberattacks by 2025, making proactive defense critical. Key security layers include:

  1. End-to-End Encryption: All data is encrypted in transit and at rest using AES-256, a standard recognized for robust security.
  2. Immutable by Default: Object Lock is applied to backups, preventing any alteration or deletion during the retention period.
  3. Secure Access Controls: Granular IAM policies with multi-factor authentication prevent unauthorized access to storage buckets.
  4. Regular Audits: Continuous monitoring and logging provide a transparent audit trail for compliance and threat detection.

This security posture is fundamental to a modern ransomware protection strategy.

Stay Ahead of Evolving EU Compliance Mandates

The European regulatory landscape is constantly evolving, and your cloud backup storage must keep pace. Two key regulations are shaping the future of data management: the EU Data Act and the NIS-2 Directive. The EU Data Act, applying from September 12, 2025, mandates data portability and interoperability, giving customers the right to switch providers without technical or commercial barriers. A provider with full S3 compatibility and no egress fees is already aligned with this principle, ensuring you avoid vendor lock-in.

The NIS-2 Directive, which Germany is transposing into national law, imposes stricter cybersecurity obligations on thousands of companies. It requires robust risk management, supply-chain security, and incident reporting within 24 hours. Choosing a cloud backup storage provider that bakes these principles into its operations-with features like immutable storage and detailed logging-helps you meet your own NIS-2 obligations. This proactive stance on compliance turns a regulatory burden into a competitive advantage for your backup strategy.

Empower MSPs with a Partner-Ready Platform

For Managed Service Providers, profitability depends on efficiency, predictability, and value. A partner-ready cloud backup storage platform delivers on all three fronts. The predictable pricing model, with zero egress or API fees, allows MSPs to build BaaS and archiving services with stable, defensible margins. This eliminates the risk of surprise costs that erode profitability, a problem for 66% of organizations in Germany. Fast onboarding and a multi-tenant console with RBAC and MFA simplify management and reduce administrative overhead.

Automation is another key enabler for MSPs. Full support for API, CLI, and SDKs allows for deep integration into existing management and billing systems, enabling automation for tasks like tenant provisioning and reporting. This efficiency is complemented by a growing distribution network, including partners like api in Germany and Northamber plc in the UK, which expands local access and support for resellers. This ecosystem focus is why integrations with leading backup tools, such as the collaboration with NovaBackup, are critical for delivering compliant, out-of-the-box solutions.

Implement a Modern Backup Strategy with Practical Steps

Adopting a new cloud backup storage solution is an opportunity to modernize your entire data protection strategy. The traditional 3-2-1 rule (3 copies, 2 media, 1 offsite) has evolved to the 3-2-1-1-0 rule to counter modern threats. This updated framework adds two critical layers: one immutable copy and zero errors through verified backups. An EU-sovereign cloud provider offering immutable storage is the ideal target for the offsite, immutable copy.

Follow this checklist for a seamless migration and implementation:

  1. Assess Your Data: Classify your data to identify critical assets that require immutable backups and EU data residency.
  2. Configure Your Backup Tools: Update your existing S3-compatible backup software (like Veeam) to point to the new EU-based storage endpoints.
  3. Implement Immutability: Create new storage buckets with Object Lock enabled and define retention policies that align with your compliance needs.
  4. Define IAM Policies: Set up granular user roles and permissions using RBAC and enforce MFA for all administrative access.
  5. Run a Test Restore: Always perform a test restore to validate the integrity of your backups and ensure you can meet your Recovery Time Objectives (RTOs).

This disciplined approach ensures your implementation of the 3-2-1-1-0 rule is successful from day one.

Conclusion: The Future of Backup is Sovereign, Predictable, and Secure

Choosing a cloud backup storage provider in 2025 is about more than capacity and speed. It is a strategic decision that impacts your organization's compliance, financial predictability, and resilience against cyber threats. With 55% of European firms delaying projects due to unpredictable fees and 81% of leaders concerned about digital sovereignty, the status quo is no longer sustainable. A European cloud provider offering a sovereign-by-design architecture, a zero-egress fee model, and immutable storage directly addresses these challenges.

By making the switch, you align your backup strategy with the direction of EU regulation, protect your organization from the risks of foreign jurisdiction, and provide your MSP partners with a profitable, easy-to-manage platform. This is the practical path to an enterprise-ready data strategy that delivers control and peace of mind. Now is the time to build a resilient and compliant future for your data. Talk to an expert to get started.

FAQ

How does Impossible Cloud ensure my data stays within the EU?

Impossible Cloud is a European company that operates exclusively in certified European data centers. We provide country-level geofencing to guarantee your data remains in your chosen region, ensuring full compliance with GDPR and other EU data residency requirements.


What makes your pricing model predictable?

Our pricing is based on a simple, transparent model with no hidden costs. We charge only for the storage you use and do not have any egress fees, API call costs, or minimum storage durations, which allows for precise and predictable budgeting.


Can I use my existing backup tools with your storage?

Yes. We offer full S3-API compatibility, which means your existing applications, scripts, and tools-including leading backup software like Veeam-will work out-of-the-box without any code rewrites or complex migration efforts.


How does your platform help with ransomware protection?

Our platform includes Immutable Storage with Object Lock. This feature allows you to make your backups unchangeable for a specified period, creating a secure copy that cannot be encrypted or deleted by ransomware, ensuring you can always recover.


Is your platform suitable for MSPs and channel partners?

Absolutely. We designed our platform to be partner-ready with a multi-tenant management console, automation via API/CLI, and a predictable pricing model that secures margins for BaaS and archiving services. We also have a growing distribution network with partners like api (DE) and Northamber plc (UK).


How do you support new EU regulations like the Data Act and NIS-2?

Our service is designed for regulatory readiness. Our no-egress-fee model and S3 compatibility align with the EU Data Act's portability requirements. Our robust security features, including immutability and detailed logging, support the continuous security processes mandated by NIS-2.


Would you like more information?

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