AWS makes it easier to switch cloud providers by dropping data transfer fees
Amazon is ditching fees for Amazon Web Services (AWS) users who decide to transfer their data to another cloud service.
Like other major cloud hosting services such as Google Cloud Platform and Microsoft Azure, AWS often charges fees to remove data. These “data transfer out to the internet” (DTO) charges, or egress fees, are a barrier to moving from one cloud storage provider to another.
Making it easier to switch between providers is a key element of the European Data Act, which will come into effect in September 2025. As well as opening up certain aspects of data sharing for businesses and public sector bodies, the legislation is designed to cut down on monopolistic practices and cloud lock-in.
Eventually, regulators want customers to be able to use multiple cloud services and switch between cloud platforms free of charge.
DTO charges are currently applied to Amazon customers moving more than 100GB of data per month. Anything less than that is free.
While users now won’t have to pay DTO fees, you will have to notify Amazon first. There are other hoops to jump through, too, as AWS will review the transfer of data and issue credits for the data being transferred.
Related: AWS Marketplace adds third-party services to manage your SaaS
AWS follows Google Cloud Platform
Amazon’s waiving of egress fees follows a similar ditching of data transfer fees by Google in January. Users of Google Cloud Platform will no longer have to pay fees, but only if they’re leaving the service entirely. Google won’t charge users to close their accounts and take all their data elsewhere, while Amazon is happy to keep the door open for users to return later.
“You’re welcome to come back at any time,” Amazon said in its announcement of the fees waiver. But AWS added that it would check for abuse: “We will, of course, apply additional scrutiny if the same AWS account applies multiple times for free DTO.”
Although it’s a response to European legislation, the egress fees waiver is available to all AWS customers around the world and from any AWS region.
That’s probably because cloud providers are under pressure to change their ways as they come under scrutiny by regulators across the globe. The UK’s Competition Markets Authority and the US Federal Trade Commission are investigating monopolistic practices among the major players in the cloud market, which has prompted Google in particular to protest against Microsoft’s practices.
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Richard Trenholm
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