BRUSSELS, April 3 (Reuters) - Amazon ( AMZN ),

Alphabet's Google and Microsoft ( MSFT ) may find it

easier to bid for EU cloud computing contracts after draft

cybersecurity labelling rules scrapped a requirement that

vendors should be independent from non-EU laws, according to the

document seen by Reuters.

The European Union has struggled to agree to a cybersecurity

certification scheme (EUCS) to vouch for the cybersecurity of

cloud services and help governments and companies in the bloc to

select a secure and trusted vendor for their business.

The move comes as Big Tech looks to the lucrative government

cloud market to spur growth. The EU on the other hand fears

illegal state surveillance while some governments worry that the

dominance of U.S. cloud providers may inhibit nascent EU rivals.

One draft circulated to EU governments last year required

U.S. tech giants to set up a joint venture with an EU-based

company and store and process customer data in the bloc to

qualify for the EU cybersecurity label.

Such so-called sovereignty requirements sparked criticism

from European banks, clearing houses, insurance groups and some

startups which said technical provisions rather than political

and sovereignty obligations should prevail.

The latest draft dated March 22 removed such requirements,

with cloud vendors only obliged to provide information about the

location of the storage and processing of their customers' data

and about applicable laws.

EU countries are now reviewing the tweaked draft after which

the European Commission will adopt a final scheme. The EU

executive did not respond to a request for comment.