12

Recital 12

Regulation (EU) 2024/2847 — published 10 December 2024 · Last reviewed by Kunnus: March 2026

Quick Answer for Manufacturers

Recital 12 clarifies when cloud solutions qualify as 'remote data processing' under the CRA. Example: cloud functionality of a smart home device that enables remote control is in scope — pure SaaS without a product link is not.

This quick answer + FAQ supplements the original legal text with practice-oriented interpretation. Only the original text is legally binding.

Cloud solutions constitute remote data processing solutions within the meaning of this Regulation only if they meet the definition laid down in this Regulation. For example, cloud enabled functionalities provided by a manufacturer of smart home devices that enable users to control the device at a distance fall within the scope of this Regulation. On the other hand, websites that do not support the functionality of a product with digital elements, or cloud services designed and developed outside the responsibility of a manufacturer of a product with digital elements do not fall within the scope of this Regulation. Directive (EU) 2022/2555 applies to cloud computing services and cloud service models, such as Software as a Service (SaaS), Platform as a Service (PaaS) or Infrastructure as a Service (IaaS). Entities providing cloud computing services in the Union which qualify as medium-sized enterprises under Article 2 of the Annex to Recommendation 2003/361/EC, or exceed the ceilings for medium-sized enterprises provided for in paragraph 1 of that Article, fall within the scope of that Directive.

European Commission Interpretation

Guidance of 27 July 2026

The EU Commission guidance of 27 July 2026 provides official interpretation notes on this provision. Each section: summary, key takeaways, and what it means for you in practice.

Section 2.2Software as a product — web apps and websites

Software is a product with digital elements only where it is supplied to the user and executes on the user's system. Web applications accessed exclusively through a browser and purely informational websites are not themselves products — they fall within scope only as remote data processing where they support a function of a product.

Key takeaways

  • Locally installed applications are products — including browser extensions and desktop apps built with web technologies but supplied for local execution.
  • Web apps and progressive web apps accessed exclusively through a browser are not products with digital elements (recitals 11 and 12).
  • A locally installed client plus the data processing at a distance it relies on for its functions together constitute the product.

In practice

Sort your portfolio into three buckets: (1) runs locally on the user's device (app, desktop client, browser extension) → a product under the CRA; (2) browser-only web app or informational website → not a product; (3) a back-end supporting a product function → assess as remote data processing (Chapter 8 of the guidance).

Section in the guidance overview
Section 8.1What counts as a remote data processing solution (RDPS)?

Remote data processing is part of the product where three criteria are cumulatively met: processing 'at a distance', functional necessity (without it the product could not perform one of its functions), and development by or under the responsibility of the manufacturer. The guidance turns this into two test questions with a decision flowchart.

Key takeaways

  • 'Who operates it' is irrelevant: on-premises or private-cloud solutions can qualify as RDPS just like public-cloud solutions.
  • 'Functions' means more than core functionality: onboarding, file sync, configuration, automated update distribution and identity/access management all count.
  • Telemetry purely for statistics or future product development is not RDPS — but the risks of such remote components still belong in the risk assessment.
  • IaaS/PaaS: where the manufacturer's own (or commissioned) software runs on third-party infrastructure, it can be RDPS; standard third-party SaaS is not RDPS but must be treated like a third-party component (mitigate risks + due diligence).
  • 'Under the manufacturer's responsibility' = tailor-made for the manufacturer to its designs/specifications — not merely licensing an existing service.
  • Internal systems (HR, CRM, CI/CD pipelines, update distribution to edge locations, pentest/red-team infrastructure) are not RDPS.
  • Websites only where they support a function: an authentication portal issuing tokens for the product can be RDPS — an informational website is not, even if the product links to it.

In practice

Answer two questions per cloud/back-end service: (1) would a product function fail without it (including onboarding, sync, updates, login)? (2) was the software developed by us or to our specifications? Two yeses → part of your product, belongs in the risk and conformity assessment. Only question 1 yes (e.g. standard SaaS) → treat as a third-party component: mitigate risks plus due diligence.

Section in the guidance overview
Section 8.3Five RDPS use cases: banking app, thermostat, e-reader, robot, cellular network

Five worked cases illustrate the boundary: for a mobile banking app, the self-developed banking interface is RDPS, downstream ledger/account systems are not, and the third-party SaaS support chat is a third-party component. Smart thermostat and industrial robot: the manufacturer's own cloud software on third-party IaaS is RDPS. E-reader: third-party SaaS storage is not RDPS but must be treated as a component. The cellular network is a mere communication channel — no RDPS, no due diligence required.

Key takeaways

  • The CRA covers only the parts of the system the product directly interacts with — risks from systems behind them (e.g. a compromised ledger) must be mitigated at product level (strong back-end authentication, integrity protection, secure channels).
  • With third-party IaaS: document the RDPS and the IaaS reliance in the technical documentation; obtain e.g. NIS 2 evidence from the provider.
  • Network infrastructure (5G, ethernet, Wi-Fi, routers) is a communication enabler, not data processing whose absence would prevent a product function.

In practice

Map your own setup to the closest of the Commission's five use cases (banking app, smart thermostat, e-reader, industrial robot, cellular network) and adopt its logic: what interacts directly with the product and was developed by you is RDPS; systems behind it are external dependencies; pure network infrastructure is neither. In most cases this replaces an expensive bespoke legal opinion.

Section in the guidance overview
Browse all guidance chapters

EU Commission Guidance (C(2026) 5252 final)The guidance reflects the European Commission's interpretation and is not legally binding. An authoritative interpretation of the EU CRA may only be given by the Court of Justice of the European Union.

Common Manufacturer Questions

Does my SaaS fall under the CRA?

Only if it functions as remote data processing within the meaning of the CRA — meaning it is part of a product with digital elements. Standalone web applications without a product link remain outside. Cloud backends for IoT devices are in scope.

What exactly is 'remote data processing'?

Data processing provided by the manufacturer that is necessary for the intended function of the product — typically smart home apps, connected industrial controllers with cloud backends, wearables with cloud sync.

How do I distinguish CRA-bound cloud functionality from independent SaaS?

Test: Does the product work without this cloud? If no (smart home app is required for device control) → CRA applies. If yes (web portal as an additional feature, product works standalone) → outside CRA.

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This text is reproduced from Regulation (EU) 2024/2847 of the European Parliament and of the Council of 23 October 2024. It is provided for informational purposes only and does not constitute legal advice. Only the text published in the Official Journal of the European Union is legally binding. Original text on EUR-Lex