Alphabet's (GOOG, GOOGL) Google is enhancing its sovereign cloud services in Europe to help customers meet rising data security and regulatory demands, the Financial Times reported Wednesday, citing Google's statement.

The company introduced a new "user data shield" feature and pledged deeper partnerships in sensitive sectors like defense through collaboration with local firms such as France's Thales, the news outlet reported.

Google reportedly plans to roll out a similar initiative in Germany, building on its existing Data Boundary program that allows clients to control where data is stored and processed.

The move follows growing concerns among European users that US tech firms could face pressure to limit access under future US administrations, especially amid renewed trade friction, the Financial Times reported.

The news outlet quoted Google's president of customer experience as saying the company is responding to demand for "layered" sovereignty solutions as cloud usage expands beyond defense into broader industries.

Google did not immediately respond to MT Newswires' request for comment.

Alphabet's Class A and Class C shares were up over 4.60% in recent Wednesday trading.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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