It's not really about Microsoft. Increasingly, Europe sees the US as a potential threat who blackmails allies, even a potential invader, rather than an ally.
Literally just yesterday the US shut off intel-sharing to Ukraine (which mainly helps with targeting incoming drones) and blocked all Starlink terminals in Ukraine moving faster than 100kph (e.g. terminals on air-defense interceptor drones), both in effect dramatically hurting Ukraine's ability to defend against Russia's nightly drone waves - all in order to pressure Ukraine into stopping striking Russian oil refineries while Trump seeks to buy more Russian oil and Russia keeps strikig Ukraine's energy infrastructure.
We all know that the US could do this sort of stuff to any of us. We have to move US companies out of our critical paths.
Once upon a time, when the US called for aid after 9/11, Europe stood up. More Danes died per capita fighting in Afghanistan, in a war that was not their own, than Americans did. This year, Denmark was rapidly rushing explosives and bags of blood to Greenland to prepare for firefights against invading US forces.
All of Europe got the message. We're not dining with friends - we're on the menu.