It is and EU started doing this more than a decade ago and has come fairly far. GDPR and other privacy focused regulation made great strides in restricting what US platforms are allowed to do in EU, and for government institutions there has been some movement away from US owned cloud services as a matter of national security and data protection. So far the reaction for US companies has been mostly to setup EU-only versions, or policies where data remains on EU located servers, but there was also a lot of "threats" about Facebook leaving EU or other sites blocking EU users as a response to those regulations.

The next round of regulations, NIS2 for example, is starting to get up steam. This year we also have the Digital Services Act. Time will tell if US media platforms continue to develop EU-versions, and in what forms, or if they give up.

In term of national security I would be a bit more afraid of Microsoft 365 than Meta.