The UK government is failing to consider the long-term consequences of allowing so much public sector data to be stored by US tech giants, damaging its ambition to be a tech superpower, according to former UKCloud chairman Jeff Thomas.
While other governments are investing in in-country, cloud-based data capabilities, the UK is freely handing over its data to the US tech giants, according to Ofcom’s October 2023 Cloud services market study .
Serial tech entrepreneur and investor Thomas warns that the dominance of US-based Amazon Web Services (AWS) and Microsoft in the UK cloud infrastructure market could have lasting negative effects on the UK’s economic future.
Thomas emphasizes the importance of responsible data governance and management, and the potential harm of outsourcing the storage and processing of data to US companies.
As data migrates to US-based technology firms, the UK risks falling behind in the AI arms race, Thomas warns.
He expresses concern over the decline of the UK’s cloud industry due to the growing dominance of US hyperscalers, which could result in less investment in the UK tech sector.