Microsoft and Ericsson Head Global Tech Alliance for Digital Trust

• Alliance members include Anthropic, Amazon Web Services, Google, Nokia, SAP, NTT, Reliance Jio, and Cohere, spanning connectivity, cloud, semiconductors, software, and AI sectors
• Five principles cover corporate governance, ethical conduct, secure development, global supply chain security standards, and support for an open digital environment
• Companies will self-attest to adherence with provisions for independent assessments, as Microsoft and Ericsson aim to counterweight the trend of countries 'pulling apart on technology issues'

Market Summary: Microsoft and Ericsson Launch Trusted Tech Alliance

Key Development:

A consortium of 15 major technology companies, led by Microsoft and Ericsson, announced the formation of the "Trusted Tech Alliance" on February 13, aimed at establishing standardized principles for digital trust amid rising global concerns over digital sovereignty and data security.

Major Participants:

The alliance includes industry heavyweights across multiple sectors: Microsoft, Ericsson, Amazon Web Services, Alphabet's Google, Anthropic, Nokia (Finland), SAP (Germany), NTT (Japan), Reliance Jio Platforms (India), and Cohere (Canada). Members span connectivity, cloud infrastructure, semiconductors, software, and artificial intelligence sectors.

Strategic Context:

The initiative responds to growing isolationist trends in the United States and increasing pressure from European and Asian governments to reduce digital dependence on foreign suppliers. Microsoft President Brad Smith noted governments worldwide are "feeling pressure to create stronger technology borders" and focus on domestic digital sovereignty.

Five Core Principles:

• Strong corporate governance
• Ethical conduct
• Secure technology development
• Adherence to global security standards across supply chains
• Support for open digital environments

Implementation:

Alliance members will self-attest to adherence, with provisions for independent assessments. The initiative follows months of discussions beginning mid-2024 between Microsoft and Ericsson.

Market Implications:

Ericsson CEO Börje Ekholm cautioned that sovereignty labels "can actually be a trade barrier," emphasizing no country can achieve full digital sovereignty alone. Smith stated success would mean providing a "counterweight" to current trends of technological fragmentation. The alliance represents the tech industry's proactive attempt to establish voluntary standards before potentially restrictive government regulations materialize.