Out of the cloud trap: switching charges disappear from January 2027

Have you ever wanted to move your data to another provider – and given up because nobody could tell you what it would cost?

Then you're not alone. Many companies stay with cloud, hosting or software providers not because things are going well, but because switching seems expensive, complicated or unclear. This is exactly where the EU Data Regulation – the “Data Act” – comes in. It has applied directly in all EU countries since 12 September 2025. An important part takes full effect in January 2027.

What the Data Act regulates when switching providers

Chapter VI of the Regulation (Articles 23 to 31) concerns “data processing services”. This means cloud and hosting services of all kinds: storage, servers, platforms and many software services you use over the internet. The basic idea: customers should be able to switch without technical, contractual or financial hurdles.

• Switching in the contract: The contract must set out how a switch works. The notice period for announcing the switch may be no more than two months. For the actual transfer there is usually a transition period of no more than 30 days.
• Taking your data with you: You should be able to take your data and digital content with you in a common, machine-readable format.
• Switching charges: Until 12 January 2027, providers may only charge reduced fees, at most equal to their direct costs. After that, switching charges are banned altogether.

What this means for you in practice

The Data Act doesn't automatically make a move easy. But it takes two big excuses off the table: “That costs extra” and “You can only get your data as a printout”. For you as a customer, that means:

• You're allowed to switch – and your provider has to cooperate.
• From 12 January 2027, they may no longer charge anything for the switch itself. Perfectly normal costs, such as the remaining term of a contract, aren't covered by this.
• You're entitled to a clear description of which data can be exported and how.

Where the limits are

To be honest: the Data Act isn't a magic wand. There are exceptions, for example for custom-built services made for a single customer. And at EU level, simplifications are being negotiated – the so-called “Digital Omnibus”. Under discussion are, among other things, relief for contracts concluded before 12 September 2025 and for smaller providers. At the time of going to press, this had not yet been decided. We'll keep you up to date here in the magazine.

Even the best legal entitlement is no substitute for a good plan. A move needs an inventory, a destination and a switchover moment when nothing gets lost. How that works is explained in Switching providers without the chaos.

What a calm switching roadmap looks like

The fourth step is the important one. Anyone who switches off the old service before the new one is running might save a month's fees – and pay for it with their nerves. The Data Act helps with the export, but you still have to stick to the order yourself.

Stay independent – of us too

We think the Data Act is a good thing, even though it affects us too. We work like a broker: with our infrastructure, your existing tech or a provider from the market. Anyone who only keeps customers through switching hurdles has a different problem. That's why, with us, domains are registered in your name, and you can take your data with you at any time. The Hosting Monster makes sure your tech runs wherever it suits you best.

The Moving Monster plans your switch from the inventory to the switchover. First comes the assessment with a price, then your yes.

Note: This article gives a general overview (as of: 27.10.2026) and is not legal advice. For your individual case, please ask a lawyer.