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The issue with EU and Canada is that the Patriot Act requires US-based companies to divulge data in their datacenters if demanded by the US Government (presumably interested in what jihadists curl up with when they're tired from a day of mayhem and murder) - even if the datacenters are based outside the US. Hence to avoid being ground down between the conflicting laws of overweening governments - Amazon and other US-based cloud companies can't serve EU or Canada. Amazon and others get around this by not only setting up data centers in those countries, but legally distinct entities beyond the reach of the Patriot Act. This takes time and money - so Amazon will simply grow the US market first and then reinvest profits to increase capacity in the EU and Canadian "availability zone" for AWS.
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