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IT professional inspecting server racks in a European data center, highlighting data sovereignty.

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IT professional inspecting server racks in a European data center, highlighting data sovereignty.

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IT professional inspecting server racks in a European data center, highlighting data sovereignty.

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Beyond Wasabi Cloud Storage Pricing: How to Eliminate Hidden Fees and Achieve Data Sovereignty

04.09.2025

9

Minutes

Thomas Demoor

CTO Impossible Cloud

04.09.2025

04.09.2025

9

Minutes

Thomas Demoor

CTO Impossible Cloud

Are hidden cloud storage fees derailing your IT budget? With nearly 50% of European cloud budgets consumed by usage and data access fees, it's time for a predictable, sovereign alternative.

Key Takeawys

Eliminate unpredictable cloud costs by choosing a provider with zero egress fees, API call charges, or minimum storage durations.

Achieve true data sovereignty and GDPR compliance with a 100% European cloud provider, avoiding exposure to the US CLOUD Act.

Simplify your IT architecture with an 'Always-Hot' storage model that makes 100% of your data instantly accessible without complex tiers or retrieval fees.

For many UK and EU enterprises, cloud object storage budgets are breaking. Over half of EMEA firms exceeded their budgeted cloud storage spend in 2023, with fees consuming an average of 47% of the total cost. These expenses, driven by unpredictable egress fees and API request charges, create significant financial uncertainty. The new EU Data Act, which becomes applicable on September 12, 2025, aims to solve this by eliminating vendor lock-in and making data portability a right. This shift demands a new approach—one built on transparency, predictability, and true data sovereignty.

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Deconstruct the Hidden Costs in Your Cloud Bill

Many cloud pricing models appear simple at first, but contain complex usage fees that cause costs to spiral. In one real-world example, extra fees for API calls and data operations on 250 TB of data accounted for 41% of the total monthly bill. These charges often include egress fees, which can range from $2 to $9 per terabyte, making it nearly impossible to forecast expenses accurately.

The problem is widespread, with IT leaders reporting that 49% of their total cloud storage costs were spent on fees in 2024. These opaque pricing structures often penalize businesses for accessing their own data, a practice the EU Data Act aims to curtail by 2027. This regulatory shift underscores the growing demand for financial transparency from cloud providers. A predictable model is no longer a luxury; for over 60% of IT organizations, it's a necessity to prevent budget overruns. This climate of uncertainty forces a re-evaluation of storage economics.

Embrace a Sovereign-by-Design Cloud Strategy

True data sovereignty is more than just choosing a data center in Europe; it's about legal jurisdiction. The US CLOUD Act of 2018 allows US authorities to compel access to data held by US-based companies, regardless of where it is stored. This creates a compliance risk for EU businesses handling sensitive information. In fact, 84% of European decision-makers now consider digital sovereignty a critical factor when selecting a vendor.

An EU-native cloud provider eliminates this risk entirely. By operating exclusively in certified European data centers under EU law, all data is protected from foreign legal overreach. This approach provides the legal certainty required for GDPR compliance and aligns with the goals of GAIA-X. Choosing a 100% European provider is the only way to ensure your data remains under EU control. This focus on sovereignty prepares businesses for the next wave of regulation.

Simplify Operations with an Always-Hot Architecture

Traditional tiered storage models introduce unnecessary complexity and risk. Moving data between hot, infrequent access, and archive tiers often incurs retrieval fees, with some providers charging $0.01 per GB just to access colder data. These fragile lifecycle policies can lead to restore delays, API timeouts, and unexpected costs that disrupt operations, especially during a critical disaster recovery event.

An “Always-Hot” storage model eliminates these challenges completely. All data is immediately accessible without any tier-restore delays or retrieval fees, reducing operational complexity by 100%. This architecture ensures predictable latencies and strong read/write consistency, which is critical for backup, recovery, and analytics workloads. This model keeps 100% of your third-party tools stable and your recovery times predictable. Such architectural simplicity is the foundation of a resilient data strategy.

Achieve Enterprise-Grade Security and Compatibility

Migrating to a new cloud platform should not require rewriting applications or retraining your team. A provider with full S3 API compatibility ensures that your existing tools, scripts, and pipelines continue to work without modification, protecting at least 95% of your prior investments. This compatibility should extend to advanced capabilities like versioning, lifecycle management, and event notifications for seamless integration.

Beyond compatibility, robust security is paramount. Look for the following features to protect against modern threats:

  • Immutable Storage: Use S3 Object Lock to make backups unchangeable for a set period, providing a powerful defense against ransomware. Recovery costs from such attacks averaged $2.73 million in 2024.

  • Multi-Layer Encryption: Ensure data is encrypted both in transit and at rest, with all encryption keys managed exclusively within the EU.

  • Granular Access Control: Implement Identity and Access Management (IAM) with multi-factor authentication (MFA) and role-based access control (RBAC) to enforce the principle of least privilege for 100% of users.

These features are essential for building a secure and S3-compatible object storage environment.

Build Predictable Margins for MSPs and Partners

For Managed Service Providers (MSPs) and resellers, unpredictable costs directly erode profit margins. A pricing model with zero egress or API fees is predictable by design, allowing partners to build stable, defensible margins for Backup-as-a-Service (BaaS) and archiving solutions. This predictability simplifies quoting for 100% of your clients and removes the risk of surprise charges.

A partner-ready platform should also provide tools that streamline operations and accelerate growth. This includes a multi-tenant console for managing multiple clients, automation via API/CLI, and detailed reporting. With fast onboarding and growing distribution channels, such as with api in Germany and Northamber plc in the UK, partners can quickly scale their business. This ecosystem provides the foundation for long-term success and helps you avoid cost traps.

Execute a Seamless Migration to a Sovereign Cloud

Transitioning to a new storage provider can be straightforward with proper planning. The EU Data Act strengthens your right to data portability, ensuring you can move data, metadata, and configurations without friction. A successful migration protects your data integrity and minimizes downtime, with a goal of 100% data preservation.

Follow this checklist for a smooth transition:

  1. Verify S3 Compatibility: Confirm your chosen provider supports all the S3 API calls your applications rely on.

  2. Update Endpoints: Reconfigure your backup tools and applications with the new provider’s S3 endpoint credentials.

  3. Replicate Policies: Recreate your bucket policies, lifecycle rules, and IAM user permissions in the new environment.

  4. Initiate Data Transfer: Use a proven data movement tool to transfer your data efficiently and securely.

  5. Conduct Test Restores: Perform several test restores to validate data integrity and ensure your recovery processes work as expected.

  6. Decommission Old Storage: Once you have verified 100% of the migration, you can safely decommission your previous storage buckets.

This structured approach ensures you can fully leverage the benefits of a new provider without business disruption.

FAQ

How can I avoid vendor lock-in with my cloud storage?

To avoid vendor lock-in, choose a provider that uses open standards like the S3 API, has a transparent pricing model with no egress fees, and is governed by favorable regulations like the EU Data Act, which guarantees data portability.



Is your storage suitable for enterprise backup and disaster recovery?

Yes. Our platform is designed for backup and disaster recovery. Features like S3 Object Lock for immutability, an 'Always-Hot' architecture for instant restores, and full compatibility with leading backup tools make it an ideal choice for protecting critical data.



How does your pricing model benefit MSPs?

Our predictable pricing model, with no egress or API fees, allows MSPs to set stable and defensible margins on their services. The multi-tenant console, automation tools, and fast onboarding process are all designed to help partners grow their business efficiently.



What makes your cloud storage 'sovereign'?

Our cloud storage is sovereign because we are a European company operating exclusively in certified European data centers under EU law. This ensures your data is protected by GDPR and is not subject to extra-territorial laws like the US CLOUD Act.



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Impossible Cloud is your European alternative for S3-compatible object storage. Data resides in GDPR-compliant, certified EU data centers; Object Lock and versioning protect against ransomware. Transparent pricing with no egress or API fees. Perfect for backup, archive, and disaster recovery.

Impossible Cloud is your European alternative for S3-compatible object storage. Data resides in GDPR-compliant, certified EU data centers; Object Lock and versioning protect against ransomware. Transparent pricing with no egress or API fees. Perfect for backup, archive, and disaster recovery.

Impossible Cloud is your European alternative for S3-compatible object storage. Data resides in GDPR-compliant, certified EU data centers; Object Lock and versioning protect against ransomware. Transparent pricing with no egress or API fees. Perfect for backup, archive, and disaster recovery.