> - IP addresses are personally identifiable information
I really thought you were going to go in a different direction than this. This is very obvious and there's nothing ridiculous about it. To most people in the EU, an IP address gives a very high resolution to a person.
> That means it is non-compliant to host your website at e.g. AWS
Yes, this is correct. AWS, Azure and GCP cannot possibly be compliant. It's taking everyone a while to figure this out. There's nothing wrong with that, privacy-sensitive information should never touch the US. No US-based company can guarantee your privacy.
> effectively everyone is non-compliant.
This is of course hyperbole. If you don't log or track you are perfectly compliant in every case.